Sprint - Nextel 2011 Annual Report Download - page 302

(g) Option Rights granted pursuant to this Section 4 may be Nonqualified Options or Incentive Stock Options or combinations
thereof; provided, however, that Incentive Stock Options may only be granted to Participants who meet the definition of “employees” under
Section 3401(c) of the Code.
(h) No Option Right granted pursuant to this Section 4 may be exercised more than 10 years from the Date of Grant.
(i) Each grant shall be evidenced by an Evidence of Award, which Evidence of Award shall contain such terms and provisions as the
Committee may determine consistent with this Plan.
5. APPRECIATION RIGHTS. The Committee may authorize grants to Participants of Appreciation Rights. An Appreciation Right shall be
a right of the Participant to receive from the Corporation an amount that shall be determined by the Committee and shall be expressed as a
p
ercentage (not exceeding 100 percent) of the Spread at the time of the exercise of the Appreciation Right. Any grant of Appreciation Rights
under this Plan shall be upon such terms and conditions as the Committee may determine in accordance with the following provisions:
(a) Any grant may specify that the amount payable upon the exercise of an Appreciation Right may be paid by the Corporation in
cash, Common Shares or any combination thereof and may (i) either grant to the Participant or reserve to the Committee the right to elect
among those alternatives or (ii) preclude the right of the Participant to receive and the Corporation to issue Common Shares or other equity
securities in lieu of cash.
(b) Any grant may specify that the amount payable upon the exercise of an Appreciation Right shall not exceed a maximum
specified by the Committee on the Date of Grant.
(c) Each grant (i) shall specify the period or periods of continuous employment before Appreciation Rights shall become
exercisable, (ii) shall specify the permissible dates or periods on or during which Appreciation Rights shall be exercisable and (iii) unless
otherwise expressly determined in a resolution duly adopted by the Committee on the Date of Grant or such later date on which the
Committee may ratify such grant, shall provide for accelerated vesting of the Appreciation Rights subject to such grant in the event of a
Change of Control, in accordance with Section 15 of this Plan.
(d) Each grant shall be evidenced by an Evidence of Award, which Evidence of Award shall describe such Appreciation Rights and
contain such terms and provisions as the Committee may determine consistent with this Plan.
(e) Regarding Tandem Appreciation Rights only: Each grant shall specifically identify the related Option Right (or similar right
granted under any other plan of the Corporation) and shall provide that the Tandem Appreciation Right may be exercised only (i) at a time
when the related Option Right (or such similar right) is also exercisable and the Spread is positive and (ii) by surrender of the related Option
Right (or such similar right) for cancellation.
(f) Regarding Free-Standing Appreciation Rights only:
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