Sprint - Nextel 2011 Annual Report Download - page 206

ARTICLE ONE
INTRODUCTION
The Sprint Nextel Corporation Change in Control Severance Plan (the “Plan”) provides primarily for severance compensation benefits
for certain key employees following termination of employment in connection with and/or following a Change in Control. Given the
level of acquisition and change in control activity in today’s business environment, the Board recognizes and understands that many
key employees face uncertainty with respect to their job security. In addition, the Board believes that the concerns of key employees
regarding a possible Change in Control transaction may cause them to consider career changes in an effort to assure financial security
for themselves and their families. Consequently, the Corporation desires to increase the willingness of its key employees to remain
with the Corporation (or its Subsidiaries) notwithstanding the employment uncertainties related to a possible Change in Control by
providing certain economic benefits in the event of a Change in Control, thus allowing such key employees to make career decisions
without undue time pressure and financial uncertainty.
The Plan is intended to provide severance compensation and benefits pursuant to the Plan if a Change in Control of the Corporation
has occurred and the Participant’s employment is either (a) terminated by a Company without Cause or (b) voluntarily terminated by
the Participant for Good Reason in accordance with the terms of this Plan. The purpose and intent of the Plan is to help the
Corporation attract and retain key employees and reduce distractions resulting from a potential Change in Control. The Board has
considered the effect that a Change in Control of the Corporation may have on key employees of the Corporation and its Subsidiaries,
and has found that such a Plan is in the best interest of the Corporation and its stockholders.
Capitalized terms used throughout the Plan have the meanings set forth in Article Two, except as otherwise defined in the Plan o
r
where the context clearly requires otherwise.
The Plan is intended to be a plan providing Severance Benefits following a Change in Control. The Plan is intended to be a top hat
plan for a select group of management or highly compensated executives, subject only to the administration and enforcement
provisions of ERISA.
This document, including any Appendix hereto, and any documents incorporated herein by reference set forth the provisions of the
Plan effective as of the date of this current amendment and restatement of the Plan.
1
1.01 Purpose of the Plan
1.02 Plan Status
1.03 Entire Plan