Pier 1 2008 Annual Report Download - page 134

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ARTICLE V
COMPANY CONTRIBUTIONS
The Company will contribute an amount equal to 25% of the Compensation deduction of each employee
Participant, including an employee Participant who is also a Director, for the purchase of Common Stock
under the Plan for each Participant. The Company will contribute an amount equal to 25% of the non-
employee Director’s deduction from his cash director compensation payments for the purchase of Common
Stock under the Plan for such non-employee Director.
ARTICLE VI
TERMINATION OF COMPENSATION DEDUCTIONS
A Participant’s compensation deduction authorization shall automatically terminate upon death, termina-
tion of employment or cessation of service as a Director, as the case may be. Compensation deductions may
also be voluntarily terminated at any time by Participant’s written notice to the Human Resources Department
of the Participant’s employer, or notice to the Company with respect to a non-employee Director Participant
(“Withdrawal Request”). Voluntary termination of deductions shall become effective as of the first day of a
payroll period, provided that it is administratively practicable, and after receipt of a Withdrawal Request. After
termination of compensation deductions, a Participant’s Account shall be closed in accordance with the terms
set forth in Article IX.
ARTICLE VII
TERM; AMENDMENT OR TERMINATION OF PLAN
Unless previously terminated by the Board of Directors, the Plan will automatically terminate on the
earlier of (i) the fifth anniversary of the Effective Date (i.e., June 20, 2013), or (ii) when an aggregate of
2,500,000 shares of Common Stock, plus 41,025 authorized shares of Common Stock which remained
available for issuance under the Plan on the Suspension Date, have been issued after the Effective Date. The
Board of Directors reserves the right to amend, suspend or terminate the Plan at any time. Any such action
will not result in the forfeiture of any funds deducted from the compensation of any Participant or contributed
by the Company on behalf of any Participant, or of any Common Stock shares or fractional interest in
Common Stock shares held in a Participant’s Account, or of any dividends or other distributions in respect of
such shares, which occur before the effective date of the amendment, suspension or termination of the Plan.
Any amendment to the Plan will be submitted to the shareholders of Pier 1 Imports Inc. for approval by
the affirmative vote of a majority of the shares of the Common Stock present or represented by proxy and
entitled to a vote on the matter at a meeting called therefor, if the amendment would:
(a) materially increase the benefits accruing to Participants; or
(b) materially increase the number of shares of Common Stock which may be issued under the
Plan; or
(c) materially modify the requirements as to eligibility for participation in the Plan.
ARTICLE VIII
PARTICIPANTS’ ACCOUNTS
Each Participant for whose Account purchases of shares of Common Stock were allocated acquires full
ownership of all such allocated shares and any fractional interest therein. All shares will be registered in the
name of the Plan and will remain so registered until delivery of the shares to the Participant pursuant to the
Plan. Shares of Common Stock held by the Plan in a Participant’s Account may not be sold or assigned, nor
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