Alaska Airlines and Horizon Air 2009 Annual Report Download - page 93

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TAX WITHHOLDING
Notwithstanding anything else contained in this Plan herein to the contrary, the Company
may deduct from a Participant’s Account balance as of an Exercise Date, before the
exercise of the Participant’s Option is given effect on such date, the amount of taxes (if
any) which the Company reasonably determines it or any Subsidiary may be required to
withhold with respect to such exercise. In such event, the maximum number of whole
shares subject to such Option (subject to the other limits set forth in this Plan) shall be
purchased at the Option Price with the balance of the Participant’s Account (after
reduction for the tax withholding amount).
Should the Company for any reason be unable, or elect not to, satisfy its or any
Subsidiary’s tax withholding obligations in the manner described in the preceding
paragraph with respect to a Participant’s exercise of an Option, or should the Company or
any Subsidiary reasonably determine that it or an affiliated entity has a tax withholding
obligation with respect to a disposition of shares acquired pursuant to the exercise of an
Option prior to satisfaction of the holding period requirements of Section 423 of the
Code, the Company or Subsidiary, as the case may be, shall have the right at its option to
(1) require the Participant to pay or provide for payment of the amount of any taxes which
the Company or Subsidiary reasonably determines that it or any affiliate is required to
withhold with respect to such event or (2) deduct from any amount otherwise payable to
or for the account of the Participant the amount of any taxes which the Company or
Subsidiary reasonably determines that it or any affiliate is required to withhold with
respect to such event.
NOTICE OF SALE
Any person who has acquired shares under this Plan shall give prompt written notice to
the Company of any sale or other transfer of the shares if such sale or transfer occurs
(1) within the two-year period after the Grant Date of the Offering Period with respect to
which such shares were acquired, or (2) within the twelve-month period after the Exercise
Date of the Offering Period with respect to which such shares were acquired.
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