PLEASE RETURN EXECUTED ORIGINAL TO KATHY SENA WITHIN 5 BUSINESS DAYS OF RECEIPT PLAN OF AMETEK, INC. RESTRICTED STOCK AGREEMENT
Exhibit 10.9
PLEASE RETURN EXECUTED ORIGINAL TO ▇▇▇▇▇ ▇▇▇▇ WITHIN 5
BUSINESS DAYS OF RECEIPT
BUSINESS DAYS OF RECEIPT
PLAN
OF
AMETEK, INC.
OF
AMETEK, INC.
RESTRICTED STOCK AGREEMENT (“Agreement”), made as of Date , by and between
AMETEK, Inc., a Delaware corporation (the “Company”), and Name (the
“Recipient”).
W I T N E S S E T H :
WHEREAS, the Company has adopted the Year of Stock Incentive Plan Plan of
AMETEK, Inc. (the “Stock Incentive Plan”), pursuant to which the Compensation Committee of the
Board of Directors of the Company (the “Committee”) may, inter alia, award shares
of the Company’s common stock, par value $0.01 per share (“Shares”), to such key employees of the
Company as the Committee may determine, and subject to such terms, conditions and restrictions as
the Committee may deem advisable; and
WHEREAS, pursuant to the Stock Incentive Plan, the Committee has awarded to the Recipient a
restricted stock award, subject to the terms, conditions and restrictions set forth in the Stock
Incentive Plan and in this Agreement;
NOW, THEREFORE, in consideration of the mutual covenants herein contained and other valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as
follows:
FIRST:
Pursuant to the Stock Incentive Plan, the Company hereby grants to the
Receipient on Date (the “Award Date”), a restricted stock award with respect to Shares
(the “Restricted Stock Award”, and such Shares, the “Restricted Shares”), subject
Restricted Stock Agreement – Date
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to the terms, conditions and restrictions set forth in the Stock Incentive Plan
and in this Agreement. On the Award Date, the Company shall issue one or more certificates in the
name of the Participant for the number of Shares granted in this Agreement, and such Shares shall
be held by the transfer agent until such time as the Shares become nonforfeitable. Capitalized
terms not otherwise defined in this Agreement shall have the same meanings as defined in the Stock
Incentive Plan.
SECOND: The Restricted Shares shall become nonforfeitable on the earliest to occur of:
| (a) | the fourth anniversary of the Award Date if the Recipient is in the continuous employ of the Company (or any successor or Affiliate of the Company) through such fourth anniversary date; | ||
| (b) | the death or disability (as defined in Section 22(e)(3) of the Internal Revenue Code of 1986, as amended) of the Recipient; | ||
| (c) | the Recipient’s termination of employment with the Company (or any successor or Affiliate of the Company) in connection with a Change in Control; or | ||
| (d) | the fair market value of a Share equaling or exceeding a target price (the “Target Price”) of 200% of the closing price of a Share on the Award Date on the New York Stock Exchange, on each of five consecutive trading days occurring during the period beginning on the day after the Award Date and ending on the fourth anniversary of the Award Date. For purposes hereof, notwithstanding any other provision of the Stock Incentive Plan, the fair market value of a Share on any given day shall be the closing price on that day on the stock exchange or market on which the Shares are primarily traded. |
In addition, in the event of the Recipient’s Retirement (as defined below) prior to the fourth
anniversary of the Award Date, then a pro rata portion of the Restricted Shares shall become
nonforfeitable. The pro rata portion of the Restricted Shares which shall become nonforfeitable
shall be the number of Restricted Shares equal to the total number of Restricted Shares multiplied
by a fraction, the numerator of which shall be the number of full months of the
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Recipient’s employment with the Company (or any successor or Affiliate) following the Award Date and the
denominator of which shall be 48; provided, however, that no fractional Shares shall become
nonforfeitable and cash shall be paid in lieu thereof. For purposes hereof, “Retirement” shall
mean the Recipient’s retirement from the Company (or any successor or Affiliate) at or after age 55
and the completion of at least 10 years of employment with the Company (or any successor or
Affiliate). Except to the extent, if any, that the Restricted Shares shall have become
nonforfeitable pursuant to the foregoing provisions of this paragraph SECOND, if the Recipient
shall voluntarily or involuntarily leave the employ of the Company and its Affiliates prior to the
fourth anniversary of the Award Date, the Restricted Shares (and any dividends, distributions and
adjustments retained by the Company with respect thereto) shall be forfeited.
THIRD: The Recipient shall not sell, assign, transfer, pledge, hypothecate or
otherwise dispose of, by operation of law or otherwise (collectively, “transfer”) any Restricted
Shares, or any interest therein. The Company shall not be required (a) to transfer on its books
any of the Restricted Shares which shall have been sold or transferred in violation of any of the
provisions set forth in this Agreement or the Plan or (b) to treat as owner of such Shares or to
pay dividends to any transferee to whom any such Shares shall have been sold or transferred. Each
certificate representing ownership of Shares acquired pursuant to this Agreement shall, prior to
the expiration or lapse of all restrictions or conditions on such Shares under this Agreement, have
affixed thereto, in addition to any legends required under the Plan or under federal or state
securities laws, a legend in substantially the following form:
“Transfer of the securities is restricted by that certain restricted stock
agreement dated as of [DATE], between AMETEK, Inc., a Delaware corporation,
and the registered holder hereof, and certain terms of the [YEAR] Stock
Incentive Plan of AMETEK, Inc., copies of which
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agreement and plan are on file at the principal corporate offices of AMETEK, Inc.”
FOURTH: Prior to the lapse of the restrictions on the transferability of the
Restricted Shares, the Recipient shall have all other rights and privileges of a beneficial and
record owner with respect to such Shares, including, without limitation, voting rights and the
right to receive dividends, distributions and adjustments with respect to such Shares; provided,
however, that any dividends, distributions and adjustments with respect to the Restricted Shares,
plus interest credited on any such dividends, shall be retained by the Company for the Recipient’s
account and for delivery to the Recipient, together with the stock certificate representing such
Shares, only as and when such Restricted Shares have become nonforfeitable, and in no event later
than two-and-a-half months after the end of the calendar year in which the Restricted Shares become
nonforfeitable. For purposes of this paragraph FOURTH, interest shall be credited from the date a
dividend with respect to the Restricted Shares is made to the date on which the Company distributes
such amounts to the Recipient, at the five-year Treasury Note rate, plus 0.5%, as such rate is set
forth in the Wall Street Journal as of the first business day of each calendar quarter.
FIFTH: If prior to the expiration or lapse of all of the restrictions and conditions
on the Restricted Shares under this Agreement, there shall be declared and paid a stock dividend
upon the Restricted Shares or if the Restricted Shares shall be split up, converted, exchanged,
reclassified or in any way substituted for, the Recipient shall receive, subject to the same
restrictions and conditions as the original Restricted Shares subject to this Agreement, the same
securities or other property as are received by the holders of the Company’s Shares pursuant to
such stock dividend, split up, conversion, exchange, reclassification or substitution. If the
Recipient receives any securities or property of the Company (or any acquiring entity)
pursuant to this Paragraph FIFTH, such securities or other property shall thereafter be deemed to
be
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“Shares” and “Restricted Shares” within the meaning of this Agreement. In the event of any
transaction to which this Paragraph FIFTH applies (other than a stock dividend), the Committee (or
the Company, if the Committee no longer exists) shall adjust the Target Price in Paragraph SECOND,
subparagraph (d), to take into account the effect of the transaction.
SIXTH: If, with respect to the Restricted Shares (and any dividends, distributions and
adjustments to such Shares), the Company (or any successor or Affiliate) shall be required to
withhold amounts under applicable federal, state or local tax laws, rules or regulations, the
Company will withhold such number of Restricted Shares as shall have a Fair Market Value, valued on
the date on which such withholding requirement arises, equal to the amount required to be withheld
to satisfy our minimum withholding obligations. The Recipient acknowledges that he has been
informed of the availability of making an election in accordance with Section 83(b) of the Code, as
amended; that such election must be filed with the Internal Revenue Service within 30 days of the
transfer of Shares to the Recipient; and that the Recipient is solely responsible for making such
election.
SEVENTH: The Company and the Recipient each hereby agrees to be bound by the terms and
conditions set forth in the Stock Incentive Plan.
EIGHTH: Any notices or other communications given in connection with this Agreement
shall be sent either by registered or certified mail, return receipt requested, or by overnight
mail, or by facsimile, to the indicated address or number as follows:
| If to the Company: | AMETEK, Inc. | |||||
| ▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇ ▇▇▇▇ — ▇▇▇▇▇▇▇▇ ▇ | ||||||
| ▇.▇. ▇▇▇ ▇▇▇▇ | ||||||
| ▇▇▇▇▇, ▇▇ ▇▇▇▇▇ | ||||||
| Facsimile: ▇▇▇-▇▇▇-▇▇▇▇ | ||||||
| Attention: Corporate Secretary | ||||||
| If to the Recipient: | Name | |||||
| Address line 2 | ||||||
| Country |
Restricted Stock Agreement — Date
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or to such changed address or number as to which either party has given notice to the other party
in accordance with this Paragraph EIGHTH. All notices shall be deemed given when so mailed, or if
sent by facsimile, when electronic confirmation of the transmission is received, except that a
notice of change of address shall be deemed given when received.
NINTH: This Agreement and the Stock Incentive Plan constitute the whole agreement
between the parties hereto with respect to the Restricted Stock Award.
TENTH: This Agreement shall not be construed as creating any contract of employment
between the Company and the Recipient.
ELEVENTH: This Agreement shall inure to the benefit of, and be binding on, the Company
and its successors and assigns, and shall inure to the benefit of, and be binding on, the Recipient
and his heirs, executors, administrators and legal representatives. This Agreement shall not be
assignable by the Recipient.
TWELFTH: Except as required by Delaware corporate law, this Agreement shall be subject
to and construed in accordance with, the laws of the State of New York without giving effect to
principles of conflicts of law.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first
written above.
| AMETEK, INC. | ||||
By: |
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| ▇▇▇▇▇ ▇. ▇▇▇▇▇▇▇▇ | ||||
| Assistant Secretary | ||||
| Recipient | ||||
| Name | ||||
Restricted Stock Agreement — Date
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