3M 2015 Annual Report Download - page 146

Download and view the complete annual report

Please find page 146 of the 2015 3M annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 158

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158

and(c)theappropriateFairMarketValueandotherpricedeterminationsforsuchAwards.Intheeventofanyotherchangeaffecting
theCommonStockoranydistribution(other than normal cashdividends)toholdersofCommon Stock, such adjustments inthe
numberorkindofsharesandthepurchaseprices,FairMarketValueandotherpricedeterminationsoftheaffectedAwardsasthe
Committeeshall,initssolediscretion,determineareequitable,shallbemadeandshallbeeffectiveandbindingforallpurposesof
suchoutstandingAwards.Intheeventofacorporatemerger,consolidation,acquisitionofassetsorstock,separation,reorganization
or liquidation, the Committee shall be authorized to cause the Company to issue or assume stock options, whether or not in a
transactiontowhichsection424(a)oftheCodeapplies,bymeansofsubstitutionofnewstockoptionsforpreviouslyissuedstock
options or an assumption of previously issued stock options.  In such event, the aggregate number of shares of Common Stock
availableforissuanceordeliveryunderthe2005PrograminaccordancewithSection3willbeincreasedtoreflectsuchsubstitution
orassumption,andsuchsharessubstitutedorassumedshallnotbecountedagainsttheindividualParticipantmaximumsetforthin
Section6.
SECTION13TERM,AMENDMENT,AND
TERMINATIONOFTHE2005PROGRAM
The2005Programshallbecomeeffectiveonthedateitisapprovedbytherequisitevoteofthestockholdersof3MCompany,and
shallexpire(unlessitisterminatedbeforethen)onthethirdanniversaryofsucheffectivedate.Suchexpirationshallnotadversely
affectAwardsgrantedunderthe2005Programpriortosuchexpirationdate.TheCommitteemayatanytimeamendorterminate
the2005Program,exceptthatnoamendmentorterminationshalladverselyaffectAwardsgrantedunderthe2005Programpriorto
the effective date of such amendment or termination; provided, however, that no amendment shall be made without the prior
approvaloftheBoardofDirectorsandtheholdersofamajorityoftheissuedandoutstandingsharesofCommonStockrepresented
andentitledtovoteonsuchamendmentwhichwould(i)increasetheaggregatenumberofsharesofCommonStockavailablefor
issuanceordeliveryunderthe2005PrograminaccordancewithSection3(exceptforadjustmentsmadeinaccordancewithSection
12),(ii)permitthegrantingofAwardswithpurchasepriceslowerthanthosespecifiedinSection6,or(iii)beamaterialamendment
forwhichstockholderapprovalisrequiredbyapplicablelaw,regulationorstockexchangerule.
SECTION14CHANGEINCONTROL
(a) For purposes of this Section 14, the following words and phrases shall have the meanings indicated below, unless the
contextclearlyindicatesotherwise:
(i)"Person"shallhavethemeaningassociatedwiththattermasitisusedinSections13(d)and14(d)oftheAct.
(ii) "Affiliates and Associates" shall have the meanings assigned to such terms in Rule 12b-2 promulgated under
Section12oftheAct.
(iii)"Act"meanstheSecuritiesExchangeActof1934.
(iv) "Continuing Directors" shall have the meaning assigned to such term in Article Thirteenth of the Restated
CertificateofIncorporationof3MCompany.
(b) Notwithstanding any other provision of this 2005 Program to the contrary. all outstanding Options and Stock
AppreciationRightsshall(i)becomeimmediatelyexercisableinfullfortheremainderoftheirrespectivetermsupontheoccurrence
ofaChangeinControloftheCompany,and(ii)remainexercisableinfullforaminimumperiodofsixmonthsfollowingtheChange
inControl;provided,however,thatinnoeventshallanyOptionorStockAppreciationRightbeexercisablebeyondtheoriginal
expirationdate.
(c) Similarly, all restrictions regarding the Restricted Period or the satisfaction of other Conditions prescribed by the
Committee,ifany,withrespecttograntsofRestrictedStockorotherStockAwards,shallautomaticallylapse,expire,andterminate
andtheParticipantshallbeimmediatelyentitledtoreceiveastockcertificateforthenumberofsharesofCommonStockrepresented
bytheRestrictedStockorStockAwardsupontheoccurrenceofaChangeinControl.
8