EX-10.7
from 10-K
5 pages
Graco Inc. Retirement Plan for Non-Employee Directors Graco Inc. ("Graco"), a Minnesota Corporation, Hereby Establishes a Retirement Plan for Non-Employee Directors (The "Plan") for the Benefit of Certain Members of the Board of Directors of Graco as Defined Herein, and Upon the Terms and Conditions Set Forth Below. Effective Date. the Plan Is Effective November I, 1988. 2. Eligibility. a Member of the Board of Directors of Graco Is Eligible for the Retirement Benefits Provided Herein If: (A) He or She Is Not an Employee of Graco at the Time of Retirement From the Board of Directors, and (B) He or She Has at Least Five (5) Full Years of Service as a Director of Graco (Whether or Not Consecutive) And, During That Entire Time, Was Not an Employee of Graco, and (C) He or She Retires After November I, 1988. Years of Service as a Director Shall Be Measured by the Twelve (12) Consecutive Month Period Beginning With the Date the Individual First Becomes a Non-Employee Director of Graco and All Twelve (12) Consecutive Month Periods Beginning on the Annual Anniversary of Such Date (Irrespective of Any Termination of Membership and Subsequent Reinstatement). an Individual Who Is Eligible for Retirement Benefits Is Referred to as a "Participant." 3. Payments Upon Retirement. Upon Retirement, Payments Will Be Made as Follows: 3.1. Commencement. Payments Will Commence on the Quarterly Payment Date Immediately Following the Date of the Participant’s Retirement. the Quarterly Payments Date Means the Date on Which Regular Quarterly Payments Are Made to Active Members of the Board of Directors. 3.2 Amount. Each Payment Shall Be Equal to One-Fourth (I/4th) of the Annual Amount Being
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