The Hartford 2008 Annual Report Download - page 656

5. STOCK OPTIONS AND RIGHTS
(a) With respect to Options and Rights, the Committee shall: (i) authorize the granting of Incentive Stock Options,
non-qualified stock options, or a combination of Incentive Stock Options and non-qualified stock options; (ii) authorize the
granting of Rights which may be granted in connection with all or part of any Option granted under this Plan, either
concurrently with the grant of the Option or at any time thereafter during the term of the Option; (iii) determine the number
of shares of Stock subject to each Option or the number of shares of Stock that shall be used to determine the value of a
Right; and (iv) determine the time or times when and the manner in which each Option or Right shall be exercisable and the
duration of the exercise period.
(b) Any option issued hereunder which is intended to qualify as an Incentive Stock Option shall be subject to such
limitations or requirements as may be necessary for the purposes of Section 422 of the Code or any regulations and rulings
thereunder to the extent and in such form as determined by the Committee in its discretion.
(c) The exercise period for a non-qualified stock option and any related Right shall not exceed ten years and two days
from the date of grant, and the exercise period for an Incentive Stock Option and any related Right shall not exceed ten years
from the date of grant.
(d) The Option price per share shall be determined by the Committee at the time any Option is granted and shall be not
less than the Fair Market Value of one share of Stock on the date the Option is granted.
(e) No part of any Option or Right may be exercised until the Key Employee who has been granted the Award shall
have remained in the employ of a Participating Company for such period after the date of grant as the Committee may
specify, if any, and the Committee may further require exercisability in installments.
(f) Except as provided in Section 9, the purchase price of the shares as to which an Option shall be exercised shall be
paid to the Company at the time of exercise either in cash or Stock already owned by the optionee having a total Fair Market
Value equal to the purchase price, or a combination of cash and Stock having a total fair market value, as so determined,
equal to the purchase price. The Committee shall determine acceptable methods for tendering Stock as payment upon
exercise of an Option and may impose such limitations and prohibitions on the use of Stock to exercise an Option as it
deems appropriate.
(g) In case of a Key Employee’s termination of employment, the following provisions shall apply:
(A) If a Key Employee who has been granted an Option shall die before such Option has expired, his or her
Option may be exercised in full by: (i) the person or persons to whom the Key Employee’s rights under the Option pass by
will, or if no such person has such right, by his or her executors or administrators; (ii) his or her Transferee(s) (with respect
to non-qualified stock options); or (iii) his or her Beneficiary designated pursuant to Section 10, at any time, or from time to
time, within five years after the date of the Key Employee’s death or within such other period, and subject to such terms and
conditions as the Committee may specify, but not later than the expiration date specified in Section 5(c) above.
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Source: HARTFORD FINANCIAL S, 10-K, February 12, 2009