Delta Airlines 2013 Annual Report Download - page 129

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(d) Stock Option
(i) Award Grant . A Participant may receive a Non-Qualified Stock Option covering the number of Shares as
specified in the Participant’s Award Agreement (the “ Option ”).
(ii) Grant Date .
The Grant Date of the Option will be determined by the Committee in accordance with the
Company’s Equity Award Grant Policy, as in effect from time to time, and set forth in a Participant’s Award Agreement.
(iii) Exercise Price
. The exercise price of the Option is the closing price of a Share on the New York Stock
Exchange on the Grant Date.
(iv) Exercise Period/Performance Measures .
Subject to the terms of the 2007 Performance Plan and the 2014
LTIP, an Option shall:
(A)
vest and become exercisable upon the achievement of either of the following two performance
measures in the proportion and on the dates (each an “ Option Installment Vesting Date ”) set forth below:
(B)
be exercisable through and including the day immediately preceding the tenth anniversary of the
Grant Date (the “ Expiration Date ”).
In the event there is no Profit Sharing Program payout for either 2014 or 2015, the Option shall be immediately forfeited
(regardless of whether there is a Profit Sharing Program payout for 2016).
(v) Change in Exercisability and Exercise Period upon Termination of Employment . The exercisability of the
Option and the exercise period set forth in Section 4(d)(iv) are subject to the following terms and conditions:
(A) Without Cause or For Good Reason. Upon a Participant’s Termination of Employment by the
Company without Cause or by the Participant for Good Reason (including the Termination of Employment of the
Participant if he is employed by an Affiliate at the time the Company sells or otherwise divests itself of such
Affiliate), the Pro Rata Option Portion of any Option Installment that is not exercisable at the time of such
Termination of Employment (1) will vest and become exercisable, if applicable, under Section 4(d)(iv) of the LTIP
in the same manner and to the same extent as if the Participant’s employment had continued and (2) the entire then
exercisable portion of the
16
(1) If there is a payout under the Company’s broad-based employee profit sharing program (the “
Profit Sharing Program ”)
for 2014, the Option shall vest and become exercisable with respect to
one-third of the Shares on each of the following dates: (I) February 1, 2015 (the “
First Option
Installment ”), (II) February 1, 2016 (the “ Second Option Installment ”)
and (III) February 1,
2017 (the “ Third Option Installment ”); or
(2)
If there is no payout under the Profit Sharing Program for 2014, but there is a payout under the
Profit Sharing Program for 2015, the Option shall vest and become exercisable with respect to (I)
the First and Second Option Installments on February 1, 2016 and (II) the Third Option Installment
on February 1, 2017; and