Switzerland
(State
or other jurisdiction of
incorporation)
|
0-31983
(Commission
File
Number
)
|
98-0229227
(I.R.S.
Employer
Identification
No.)
|
¨
|
Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
|
¨
|
Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
|
¨
|
Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
|
¨
|
Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
|
Item
1.01
|
Entry
into a Material Definitive
Agreement.
|
|
·
|
Garmin
Cayman assigned to Garmin Switzerland, and Garmin Switzerland assumed, the
Equity Compensation and Benefit Plans (as such term is defined in the
Transaction Agreement) of Garmin Cayman, including all award or grant
documents or agreements thereunder;
and
|
|
·
|
Garmin
Switzerland agreed to continue the share repurchase program announced by
Garmin Cayman in February 2010.
|
Item
3.01
|
Notice
of Delisting or Failure to Satisfy a Continued Listing Rule or Standard;
Transfer of Listing.
|
Item
3.02
|
Unregistered
Sales of Equity Securities.
|
Item
3.03
|
Material
Modification to the Rights of Security
Holders.
|
Item
5.01
|
Changes
in Control of Registrant.
|
Item
5.03
|
Amendments
to Articles of Incorporation or Bylaws; Change in Fiscal
Year.
|
Item
8.01
|
Other
Events.
|
Item
9.01
|
Financial
Statements and Exhibits.
|
(d)
|
Exhibits.
|
Exhibit No.
|
Description
|
|
3.1
|
Articles
of Association, as amended, of Garmin Switzerland
|
|
3.2
|
Organizational
Regulations of Garmin Switzerland
|
|
10.1
|
Transaction
Agreement between Garmin Cayman and Garmin Switzerland, dated as of May
21, 2010
|
|
10.2
|
Garmin
Ltd. Amended and Restated 2000 Equity Incentive Plan
|
|
10.3
|
Garmin
Ltd. Amended and Restated 2000 Non-Employee Directors’ Option
Plan
|
|
10.4
|
Garmin
Ltd. Amended and Restated Employee Stock Purchase Plan
|
|
10.5
|
Garmin
Ltd. Amended and Restated 2005 Equity Incentive Plan
|
|
10.6
|
Form
of Stock Option Agreement pursuant to the Garmin Ltd. Amended and Restated
2000 Non-Employee Directors' Option Plan
|
|
10.7
|
Form
of Performance Shares Award Agreement pursuant to the Garmin Ltd. 2005
Equity Incentive Plan
|
|
10.8
|
Form
of Restricted Stock Unit Award Agreement pursuant to the Garmin Ltd. 2005
Equity Incentive Plan, for Swiss residents
|
|
10.9
|
Form
of Restricted Stock Unit Award Agreement pursuant to the Garmin Ltd. 2005
Equity Incentive Plan, for non-Swiss residents
|
|
99.1
|
Press
Release dated June 28, 2010
|
Garmin
Ltd.
|
||
By:
|
/s/ Andrew R. Etkind
|
|
Andrew
R. Etkind
|
||
Vice
President, General Counsel and
|
||
Secretary
|
Exhibit
Number
|
Description
|
|
3.1
|
Articles
of Association, as amended, of Garmin Switzerland
|
|
3.2
|
Organizational
Regulations of Garmin Switzerland
|
|
10.1
|
Transaction
Agreement between Garmin Cayman and Garmin Switzerland, dated as of May
21, 2010
|
|
10.2
|
Garmin
Ltd. Amended and Restated 2000 Equity Plan
|
|
10.3
|
Garmin
Ltd. Amended and Restated 2000 Non-Employee Directors’ Option Plan, as
amended
|
|
10.4
|
Garmin
Ltd. Amended and Restated Employee Stock Purchase Plan
|
|
10.5
|
Garmin
Ltd. Amended and Restated 2005 Equity Incentive Plan
|
|
10.6
|
Form
of Stock Option Agreement pursuant to the Garmin Ltd. Amended and Restated
2000 Non-Employee Directors' Option Plan
|
|
10.7
|
Form
of Performance Shares Award Agreement pursuant to the Garmin Ltd. 2005
Equity Incentive Plan
|
|
10.8
|
Form
of Restricted Stock Unit Award Agreement pursuant to the Garmin Ltd. 2005
Equity Incentive Plan, for Swiss residents
|
|
10.9
|
Form
of Restricted Stock Unit Award Agreement pursuant to the Garmin Ltd. 2005
Equity Incentive Plan, for non-Swiss residents
|
|
99.1
|
Press
Release dated June 28, 2010
|
Statuten
|
Articles
of Association
|
|
der
|
of
|
|
Garmin
Ltd.
|
Garmin
Ltd.
|
|
(Garmin
AG)
|
(Garmin
AG)
|
|
mit
Sitz in Schaffhausen
|
with
registered office in
Schaffhausen
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
2
|
|
|
I.
|
Firma,
Sitz und Zweck
|
5
|
|
I.
|
Company
Name, Registered Office and Objects
|
5
|
|
Art.
1
|
Firma
und Sitz
|
5
|
|
Art.
1
|
Company
Name and Registered Office
|
5
|
|
Art.
2
|
Zweck
|
5
|
|
Art.
2
|
Objects
|
5
|
|
II.
|
Aktienkapital
und Aktien
|
5
|
|
II.
|
Share
Capital and Shares
|
5
|
|
Art.
3
|
Aktienkapital
|
5
|
|
Art.
3
|
Share
Capital
|
5
|
|
Art.
3 a)
|
Sacheinlage
|
6
|
|
Art.
3 a)
|
Contribution
in Kind
|
6
|
|
Art.
4
|
Anerkennung
der Statuten
|
6
|
|
Art.
4
|
Recognition
of Articles of Association
|
6
|
|
Art.
5
|
Genehmigtes
Aktienkapital
|
6
|
|
Art.
5
|
Authorized
Share Capital
|
6
|
|
Art.
6
|
Bedingtes
Aktienkapital
|
7
|
|
Art.
6
|
Conditional
Share Capital
|
7
|
|
Art.
7
|
Aktienzertifikate
|
7
|
|
Art.
7
|
Share
Certificates
|
7
|
|
Art.
8
|
Aktienbuch,
Eintragungsbeschränkungen, Nominees
|
8
|
|
Art.
8
|
Share
Register, Restrictions on Registration, Nominees
|
8
|
|
Art.
9
|
Übertragung
|
9
|
|
Art.
9
|
Transfer
|
9
|
|
Art.
10
|
Umwandlung
und Zerlegung von Aktien
|
10
|
|
Art.
10
|
Conversion
and Splitting of Shares
|
10
|
|
Art.
11
|
Bezugsrechte
|
10
|
|
Art.
11
|
Subscription
Rights
|
10
|
|
III.
|
Organisation
|
10
|
|
III.
|
Organization
|
10
|
|
Art.
12
|
Befugnisse
|
10
|
|
Art.
12
|
Authority
|
10
|
|
Art.
13
|
Recht
zur Einberufung
|
11
|
|
Art.
13
|
Right
to call a General Meeting
|
11
|
|
Art.
14
|
Form
der Einberufung
|
11
|
|
Art.
14
|
Form
of the calling of a General Meeting
|
11
|
|
Art.
15
|
Universalversammlung
|
12
|
|
Art.
15
|
Universal
Meeting
|
12
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
3
|
|
|
Art.
16
|
Vorsitz
und Protokoll
|
12
|
|
Art.
16
|
Chairperson
and Minutes
|
12
|
|
Art.
17
|
Stimmrecht
und Vertretung
|
13
|
|
Art.
17
|
Voting
Rights and Representation
|
13
|
|
Art.
18
|
Teilnahme
der Mitglieder des Verwaltungsrates
|
13
|
|
Art.
18
|
Participation
of the Members of the Board of Directors
|
13
|
|
Art.
19
|
Beschlussfassung
und Wahlen
|
13
|
|
Art.
19
|
Resolutions
and Voting
|
13
|
|
Art.
20
|
Besonderes
Stimmen Quorum
|
13
|
|
Art.
20
|
Special
Vote
|
13
|
|
Art.
21
|
Auskunfts-
und Einsichtsrecht der Aktionäre
|
16
|
|
Art.
21
|
Information
and Inspection Rights of the Shareholders
|
16
|
|
Art.
22
|
Recht
auf Einleitung einer Sonderprüfung
|
16
|
|
Art.
22
|
Right
to Initiate a Special Audit
|
16
|
|
Art.
23
|
Präsenzquorum
|
16
|
|
Art.
23
|
Presence
Quorum
|
16
|
|
Art.
24
|
Zusammensetzung
|
17
|
|
Art.
24
|
Composition
|
17
|
|
Art.
25
|
Amtsdauer
|
17
|
|
Art.
25
|
Term
of Office
|
17
|
|
Art.
26
|
Konstituierung
|
18
|
|
Art.
26
|
Constitution
|
18
|
|
Art.
27
|
Aufgaben
|
18
|
|
Art.
27
|
Duties
|
18
|
|
Art.
28
|
Entschädigung
|
19
|
|
Art.
28
|
Compensation
|
19
|
|
Art.
29
|
Einberufung
und Beschlussfassung
|
21
|
|
Art.
29
|
Calling
of Meetings and Quorum
|
21
|
|
Art.
30
|
Delegation
und Ausschüsse
|
21
|
|
Art.
30
|
Delegation
and Committees
|
21
|
|
Art.
31
|
Protokoll
|
22
|
|
Art.
31
|
Minutes
|
22
|
|
Art.
32
|
Recht
auf Auskunft und Einsicht
|
22
|
|
Art.
32
|
Right
to Information and Inspection
|
22
|
|
Art.
33
|
Zeichnungsberechtigung
|
23
|
|
Art.
33
|
Signature
Power
|
23
|
|
Art.
34
|
Revision
|
23
|
|
Art.
34
|
Audit
|
23
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
4
|
|
|
Art.
35
|
Organisation
der Revisionsstelle
|
23
|
|
Art.
35
|
Organisation
of the Auditor
|
23
|
|
Art.
36
|
Jahresrechnung
|
24
|
|
Art.
36
|
Annual
Financial Accounts
|
24
|
|
Art.
37
|
Verwendung
des Jahresgewinnes
|
24
|
|
Art.
37
|
Application
of the Annual Profit
|
24
|
|
Art.
38
|
Auflösung
und Liquidation
|
25
|
|
Art.
38
|
Winding-up
and Liquidation
|
25
|
|
Art.
39
|
Mitteilungen
und Bekanntmachungen
|
25
|
|
Art.
39
|
Communications
and Notifications
|
25
|
|
Art.
40
|
Verbindlicher
Originaltext
|
26
|
|
Art.
40
|
Original
Language
|
26
|
|
Art.
41
|
Definitionen
|
26
|
|
Art.
41
|
Definitions
|
26
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
5
|
|
|
I. Firma,
Sitz und Zweck
|
I. Company
Name, Registered Office and Objects
|
|
Art.
1 Firma und Sitz
|
Art.
1 Company Name and Registered
Office
|
|
Unter
der Firma Garmin Ltd. (Garmin AG) besteht eine Aktiengesellschaft gemäss
den vorliegenden Statuten und den Vorschriften des Schweizerischen
Obligationenrechtes (OR). Der Sitz der Gesellschaft ist in
Schaffhausen.
|
Under
the company name of Garmin Ltd. (Garmin AG) exists a corporation pursuant
to the present Articles of Association and the provisions of the Swiss
Code of Obligations (CO). The registered office of the Company is in
Schaffhausen.
|
|
Art.
2 Zweck
|
Art.
2 Objects
|
|
Die
Gesellschaft bezweckt den Erwerb, das Halten, die Finanzierung, die
Verwaltung und den Verkauf von Beteiligungen an inländischen sowie auch an
ausländischen Unternehmen jeglicher Art.
|
The
objects of the Company are the acquisition, holding, financing, management
and sale of participations in Swiss and foreign enterprises of all
kinds.
|
|
Die
Gesellschaft kann jede Art von finanzieller Unterstützung für und an
Gruppengesellschaften gewähren, einschliesslich der Leistung von
Garantien.
|
The
Company may provide any kind of financial assistance, including
guarantees, to and for group companies.
|
|
Die
Gesellschaft kann ferner im In- und Ausland Zweigniederlassungen und
Tochtergesellschaften errichten, sich an anderen Unternehmen im In- und
Ausland beteiligen sowie solche Unternehmen erwerben und finanzieren. Im
Weiteren kann die Gesellschaft im In- und Ausland Grundstücke und
gewerbliche Schutzrechte erwerben, belasten, veräussern und verwalten
sowie alle Geschäfte tätigen, die geeignet sein können, den Zweck der
Gesellschaft zu fördern, oder die direkt oder indirekt damit in
Zusammenhang stehen.
|
The
Company may establish branches and subsidiaries in Switzerland and abroad
as well as participate in, acquire and finance other enterprises in
Switzerland and abroad. The company may acquire, encumber, sell and manage
real estate and intellectual property rights in Switzerland and abroad. It
may furthermore make all transactions which may be appropriate to promote
the purpose of the company or which are directly or indirectly connected
therewith.
|
|
II. Aktienkapital
und Aktien
|
II. Share
Capital and Shares
|
|
Art.
3 Aktienkapital
|
Art.
3 Share Capital
|
|
Das
Aktienkapital der Gesellschaft (
„Aktienkapital“)
beträgt
CHF 2,080,774,180 und ist eingeteilt in 208,077,418 Namenaktien (
„Aktien“
) mit einem
Nennwert von je CHF 10. Die Aktien sind vollständig
liberiert.
|
The
share capital of the Company (
“Share Capital”
) amounts
to CHF 2,080,774,180 and is divided into 208,077,418 registered
shares (
“Shares”
)
with a nominal value of CHF 10 each. The Shares are fully paid
up.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
6
|
|
|
Art.
3 a) Sacheinlage
|
Art.
3 a) Contribution in Kind
|
|
Die
Gesellschaft übernimmt bei der Kapitalerhöhung vom
27. Juni 2010
von der Garmin Ltd. mit Sitz in Camana Bay, Cayman Islands (
„
Garmin-Cayman”
), gemäss
Sacheinlagevertrag vom
27. Juni 2010
(
„
Sacheinlagevertrag”
)
198,077,148 Aktien (
common shares
) von
Garmin-Cayman. Diese Aktien werden zu einem Übernahmewert von insgesamt
CHF 9,515,296,140 übernommen. Als Gegenleistung für die Sacheinlage
(i) wird der Nennwert jeder Aktie von bisher CHF 0.01 auf neu
CHF 10 erhöht und
(ii)
gibt die Gesellschaft insgesamt 198,077,418 voll
einbezahlte Aktien mit einem Nennwert von je CHF 10
an
Garmin-Cayman, handelnd im eigenen Namen und auf Rechnung
derjenigen Aktionäre der Garmin-Cayman, die im Zeitpunkt unmittelbar vor
Vollzug des Sacheinlagevertrages Aktionäre der Garmin Cayman waren, aus.
Die Gesellschaft weist den Differenzbetrag von CHF 7,434,621,960
den Reserven aus
Kapitaleinlage der Gesellschaft zu.
|
In
connection with the capital increase of
June 27,
2010
, and in accordance with the contribution in kind agreement
dated as of
June 27, 2010
(
“Contribution in Kind
Agreement”
), the Company acquires 198,077,148 common shares of
Garmin Ltd., with registered office in Camana Bay, Cayman Islands (
“Garmin-Cayman”
) from
Garmin-Cayman. The shares of Garmin-Cayman have a total value of CHF
9,515,296,140. As consideration for this contribution, (i) the nominal
value of each Share is increased from CHF
0.01 to CHF 10 and
(ii)
the Company issues a total of 198,077,418 fully paid up Shares
with a par value of CHF 10
each
to
Garmin-Cayman, acting in its own name and for the account of the holders
of common shares of Garmin-Cayman outstanding immediately prior to the
completion of the Contribution in Kind Agreement. The difference of CHF
7,434,621,960 is allocated to the reserves from capital contribution of
the Company.
|
|
Art.
4 Anerkennung der Statuten
|
Art.
4 Recognition of Articles of
Association
|
|
Jede
Ausübung von Aktionärsrechten schliesst die Anerkennung der
Gesellschaftsstatuten in der jeweils gültigen Fassung in sich
ein.
|
Any
exercise of shareholders’ rights automatically comprises recognition of
the version of these Articles of Association in force at the
time.
|
|
Art.
5 Genehmigtes Aktienkapital
|
Art.
5 Authorized Share Capital
|
|
Der
Verwaltungsrat ist ermächtigt, das Aktienkapital jederzeit bis spätestens
zum
27
. Juni
2012
, im Maximalbetrag von CHF 1,040,387,090
[50 % des
Aktienkapitals]
durch Ausgabe von höchstens
104,038,709 vollständig zu liberierenden Aktien mit einem Nennwert
von je CHF 10 zu erhöhen. Eine Erhöhung des Aktienkapitals (i) auf dem Weg
einer Festübernahme durch eine Bank, ein Bankenkonsortium oder Dritte und
eines anschliessenden Angebots an die bisherigen Aktionäre sowie (ii) in
Teilbeträgen ist zulässig.
|
The
Board of Directors is authorized to increase the Share Capital no later
than
June
27
,
2012
, by a maximum amount of CHF 1,040,387,090
(50 % of the Share
Capital)
by issuing a maximum of 104,038,709 fully paid-up
registered Shares with a par value of CHF 10 each. An increase of the
Share Capital (i) by means of an offering underwritten by a financial
institution, a syndicate of financial institutions or another third party
or third parties, followed by an offer to the then-existing shareholders
of the Company, and (ii) in partial amounts, shall be
permissible.
|
|
Der
Verwaltungsrat legt den Zeitpunkt der Ausgabe der neuen Aktien, deren
Ausgabepreis, die Art der Liberierung, den Beginn der
Dividendenberechtigung, die Bedingungen für die Ausübung der Bezugsrechte
sowie die Zuteilung der Bezugsrechte, welche nicht ausgeübt wurden, fest.
Nicht ausgeübte Bezugsrechte kann der Verwaltungsrat verfallen lassen,
oder er kann diese bzw. die Aktien, für welche Bezugsrechte eingeräumt,
aber nicht ausgeübt worden sind, zu Marktkonditionen platzieren oder
anderweitig im Interesse der Gesellschaft verwenden.
|
The
Board of Directors shall determine the time of the issuance, the issue
price, the manner in which the new Shares have to be paid-up, the date
from which the Shares carry the right to dividends, the conditions for the
exercise of the preemptive rights and the allotment of preemptive rights
that have not been exercised. The Board of Directors may allow the
preemptive rights that have not been exercised to expire, or it may place
such rights or Shares, the preemptive rights of which have not been
exercised, at market conditions or use them otherwise in the interest of
the Company
|
|
Der
Verwaltungsrat ist ermächtigt, die Bezugsrechte der Aktionäre aus
wichtigen Gründen zu entziehen oder zu beschränken und Dritten zuzuweisen,
insbesondere:
|
The
Board of Directors is authorized to withdraw or limit the preemptive
rights of the shareholders and to allot them to third parties for
important reasons,
including:
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
7
|
|
|
(a)
wenn der Ausgabebetrag der neuen Aktien unter Berücksichtigung des
Marktpreises festgesetzt wird; oder
|
(a)
if the issue price of the new Shares is determined by reference to the
market price; or
|
|
(b)
für die Übernahme von Unternehmen, Unternehmensteilen oder Beteiligungen
oder für die Finanzierung oder Refinanzierung solcher Transaktionen oder
die Finanzierung von neuen Investitionsvorhaben der Gesellschaft;
oder
|
(b)
for the acquisition of an enterprise, part(s) of an enterprise or
participations, or for the financing or refinancing of any of such
transactions, or for the financing of new investment plans of the Company;
or
|
|
(c)
zum Zwecke der Erweiterung des Aktionärskreises in bestimmten Finanz- oder
Investoren-Märkten, zur Beteiligung von strategischen Partnern, oder im
Zusammenhang mit der Kotierung von neuen Aktien an in- oder ausländischen
Börsen.
|
(c)
for purposes of broadening the shareholder constituency of the Company in
certain financial or investor markets, for purposes of the participation
of strategic partners, or in connection with the listing of new Shares on
domestic or foreign Exchanges.
|
|
Die
neuen Aktien unterliegen den Eintragungsbeschränkungen in das Aktienbuch
gemäss Art. 8 dieser Statuten.
|
The
new Shares shall be subject to the limitations for registration in the
share register pursuant to Art. 8 of these Articles of
Association.
|
|
Art.
6 Bedingtes Aktienkapital
|
Art.
6 Conditional Share
Capital
|
|
Das
Aktienkapital kann sich durch Ausgabe von höchstens 104,038,709 voll zu
liberierenden Namenaktien im Nennwert von je CHF 104,038,709 um höchstens
CHF 10
[50 % des
Aktienkapitals]
erhöhen durch:
|
The
Share Capital may be increased in an amount not to exceed CHF 104,038,709
(50 % of the Share
Capital)
through the issuance of up to 104,038,709 fully paid-up
registered Shares with a par value of CHF 10 each
through:
|
|
die
Ausübung von Optionsrechten, die Mitarbeitern und / oder Mitgliedern des
Verwaltungsrates der Gesellschaft oder einer Gruppengesellschaft gewährt
werden.
|
the
exercise of option rights which are granted to employees and / or members
of the board of directors of the Company or group
companies.
|
|
Das
Bezugsrecht der Aktionäre ist ausgeschlossen.
|
The
preferential subscription rights of the shareholders are
excluded.
|
|
Die
Aktien, welche über die Ausübung von Umwandlungsrechten erworben werden,
unterliegen den Eintragungsbeschränkungen in das Aktienbuch gemäss Art. 8
dieser Statuten.
|
The
Shares acquired through the exercise of rights shall be subject to the
limitations for registration in the share register pursuant to Art. 8 of
these Articles of Association.
|
|
Art.
7 Aktienzertifikate
|
Art.
7 Share Certificates
|
|
Anstelle
von einzelnen Aktien können Aktienzertifikate über mehrere Aktien
ausgestellt werden. Aktien und Zertifikate sind durch ein Mitglied des
Verwaltungsrates zu unterzeichnen.
|
In
lieu of single shares, the Company may issue share certificates covering
several shares. Shares and certificates shall be signed by a member of the
Board of Directors.
|
|
Ein
Aktionär hat nur dann Anspruch auf die Ausgabe eines Aktienzertifikates,
wenn der Verwaltungsrat die Ausgabe von Aktienzertifikaten beschliesst.
Aktienzertifikate werden in der vom Verwaltungsrat festgelegten Form
ausgegeben. Ein Aktionär kann jederzeit eine Bescheinigung über die Anzahl
der von ihm gehaltenen Aktien verlangen.
|
A
shareholder shall be entitled to a share certificate only if the Board of
Directors resolves that share certificates shall be issued. Share
certificates, if any, shall be in such form as the Board of Directors may
determine. A shareholder may at any time request an attestation of the
number of registered Shares held by
it.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
8
|
|
|
Die
Gesellschaft kann jederzeit auf die Ausgabe und Aushändigung von
Zertifikaten verzichten und mit Zustimmung des Aktionärs ausgegebene
Urkunden, die bei ihr eingeliefert werden, ersatzlos
annullieren.
|
The
Company may dispense with the obligation to issue and deliver
certificates, and may, with the consent of the shareholder, cancel without
replacement issued certificates delivered to the
Company.
|
|
Der
Verwaltungsrat kann beschliessen, den Aktionären anstelle von Wertpapieren
einfache Beweisurkunden über ihre Beteiligung
auszustellen.
|
The
Board of Directors may decide to issue to the shareholders, in lieu of
securities, simple documentary evidence for their
participation.
|
|
Die
Gesellschaft kann ihre Aktien als Wertrechte gemäss Schweizerischem
Obligationenrecht und Bucheffekten gemäss Bucheffektengesetz
ausgeben.
|
The
Company may issue its Shares as uncertificated securities within the
meaning of the Swiss Code of Obligations and as intermediated securities
within the meaning of the Intermediated Securities Act.
|
|
Art.
8 Aktienbuch,
Eintragungsbeschränkungen, Nominees
|
Art.
8 Share Register,
Restrictions on Registration, Nominees
|
|
Die
Gesellschaft selbst oder ein von ihr beauftragter Dritter führt ein
Aktienbuch (
„Aktienbuch“
). Darin
werden die Eigentümer und Nutzniesser der Namenaktien sowie Nominees mit
Namen und Vornamen, Adresse und Staatsangehörigkeit (bei Rechtseinheiten
mit Firma und Sitz) eingetragen. Ändert eine im Aktienbuch eingetragene
Zivilrechtliche Person ihre Adresse, so hat sie dies dem Aktienbuchführer
mitzuteilen. Solange dies nicht geschehen ist, gelten alle schriftlichen
Mitteilungen der Gesellschaft an die im Aktienbuch eingetragenen
Zivilrechtlichen Personen als rechtsgültig an die bisher im Aktienbuch
eingetragene Adresse erfolgt.
|
The
Company shall maintain, itself or through a third party, a share register
(
“Share Register”
)
that lists the surname, first name, address and citizenship (or the name
and registered office for legal entities) of the owners and usufructuaries
of the registered Shares as well as the nominees. A Person recorded in the
Share Register shall notify the share registrar of any change in address.
Until such notification shall have occurred, all written communication
from the Company to Persons of record shall be deemed to have validly been
made if sent to the address recorded in the Share
Register.
|
|
Ein
Erwerber von Namenaktien wird auf Gesuch als Aktionär mit Stimmrecht im
Aktienbuch eingetragen, vorausgesetzt, dass ein solcher Erwerber auf
Aufforderung durch die Gesellschaft ausdrücklich erklärt, die Namenaktien
im eigenen Namen und auf eigene Rechnung erworben zu haben. Der
Verwaltungsrat kann Nominees, welche Namenaktien im eigenen Namen aber auf
fremde Rechnung halten, als Aktionäre mit Stimmrecht im Aktienbuch der
Gesellschaft eintragen. Der Verwaltungsrat kann Kriterien für die
Billigung solcher Nominees als Aktionäre mit Stimmrecht festlegen. Die an
den Namenaktien wirtschaftlich Berechtigten, welche die Namenaktien über
einen Nominee halten, üben Aktionärsrechte mittelbar über den Nominee
aus.
|
An
acquirer of registered Shares shall be recorded upon request in the Share
Register as a shareholder with voting rights; provided, however, that any
such acquirer upon request of the Company expressly declares to have
acquired the registered Shares in its own name and for its own account.
The Board of Directors may record nominees who hold registered Shares in
their own name, but for the account of third parties, as shareholders with
voting rights in the Share Register of the Company. The Board of Directors
may set forth the relevant requirements for the acceptance of nominees as
shareholders with voting rights. Beneficial owners of registered Shares
who hold registered Shares through a nominee exercise the shareholders’
rights through the intermediation of such
nominee.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
9
|
|
|
Sollte
der Verwaltungsrat die Eintragung eines Aktionärs als Aktionär mit
Stimmrecht ablehnen, muss dem Aktionär diese Ablehnung innerhalb von 20
Tagen nach Erhalt des Eintragungsgesuches mitgeteilt werden. Aktionäre,
die nicht als Aktionäre mit Stimmrecht anerkannt wurden, sind als
Aktionäre ohne Stimmrecht im Aktienbuch einzutragen.
|
If
the Board of Directors refuses to register a shareholder as a shareholder
with voting rights, it shall notify the shareholder of such refusal within
20 days upon receipt of the application. Nonrecognized shareholders shall
be entered in the Share Register as shareholders without voting
rights.
|
|
Der
Verwaltungsrat kann nach Anhörung des eingetragenen Aktionärs dessen
Eintragung im Aktienbuch als Aktionär mit Stimmrecht mit Rückwirkung auf
das Datum der Eintragung streichen, wenn diese durch falsche oder
irreführende Angaben zustande gekommen ist. Der Betroffene muss über die
Streichung sofort informiert werden.
|
After
hearing the registered shareholder concerned, the Board of Directors may
cancel the registration of such shareholder as a shareholder with voting
rights in the Share Register with retroactive effect as of the date of
registration if such registration was made based on false or misleading
information. The relevant shareholder shall be informed promptly of the
cancellation.
|
|
Sofern
die Gesellschaft an einer Börse im Ausland kotiert ist, ist es der
Gesellschaft mit Bezug auf den Regelungsgegenstand dieses Art. 8 und
soweit gesetzlich zulässig gestattet, die in der jeweiligen Rechtsordnung
geltenden Vorschriften und Normierungen anzuwenden.
|
In
case the Company is listed on any foreign Exchange, the Company is
permitted to comply with the relevant rules and regulations that are
applied in that foreign jurisdiction with regard to the subject of this
Art. 8 to the extent permitted by Swiss law.
|
|
Zehn
Tage vor einer Generalversammlung bis zu dem auf die Generalversammlung
folgenden Tag nimmt die Gesellschaft keine Eintragungen in das Aktienbuch
vor.
|
From
ten days prior to a general meeting of the shareholders until the day
following the general meeting of the shareholders, the Company shall not
undertake any registration in the Share Register.
|
|
Art.
9 Übertragung
|
Art.
9 Transfer
|
|
Die
Übertragung von Namenaktien und aller damit verbundenen Rechte zu Eigentum
oder zur Nutzniessung erfolgt durch Indossament (Unterschrift) auf dem
Aktientitel oder Zertifikat und Besitzesübertragung. Falls keine
Aktientitel oder Zertifikate bestehen, erfolgt die Übertragung der Aktien
zu Eigentum oder zur Nutzniessung durch eine schriftliche
Abtretungserklärung.
|
The
transfer of ownership or the granting of a usufruct in registered Shares
and in all the rights connected therewith shall be made by endorsement
(signature) of the share title or certificate and by transfer of
possession. If neither share titles nor certificates have been issued,
such transfer shall be made by written declaration of
assignment.
|
|
Die
Verfügung über die als Bucheffekten ausgegebenen Aktien erfolgt gemäss
Bucheffektengesetz.
|
The
transfer of Shares issued as intermediated securities, including the
granting of security interests, shall be made according to the
Intermediated Securities Act.
|
|
Im
Rahmen des gesetzlich zulässigen und unter Vorbehalt der übrigen
Bestimmungen dieses Art. 9 darf die Übertragung von unzertifizierten
Aktien, die im Namen eines Aktionärs durch einen Transfer Agenten, Trust
oder einer ähnlichen Einrichtung (der
„Transfer Agent“
)
verwaltet werden, nur in Co-Operation mit diesem Transfer Agenten
erfolgen.
|
Subject
to the provisions contained in this Art. 9 and to the extent permitted by
applicable law if uncertificated securities are administered on behalf of
a shareholder by a transfer agent, trust company or similar entity (
“Transfer Agent”
), such
securities and the rights deriving from them may be transferred only with
the cooperation of the Transfer
Agent.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
10
|
|
|
Art.
10 Umwandlung und Zerlegung von
Aktien
|
Art.
10 Conversion and Splitting of
Shares
|
|
Durch
Änderung der Statuten kann die Generalversammlung jederzeit Namenaktien in
Inhaberaktien umwandeln und umgekehrt.
|
The
general meeting of the shareholders may at any time convert registered
shares into bearer shares and vice versa by amending the Articles of
Association.
|
|
Sie
ist ferner befugt, Aktien in solche von kleinerem Nennwert zu zerlegen
oder mit Zustimmung des Aktionärs zu solchen von grösserem Nennwert
zusammenzulegen.
|
Furthermore,
it is authorized to split shares into shares with lower nominal value or
with the approval of the shareholder to consolidate shares into
shares with higher nominal value.
|
|
Art.
11 Bezugsrechte
|
Art.
11 Subscription Rights
|
|
Im
Falle der Erhöhung des Aktienkapitals durch Ausgabe neuer Aktien haben die
bisherigen Aktionäre ein Bezugsrecht im Verhältnis ihrer bisherigen
Beteiligung, sofern die Generalversammlung dieses Recht nicht aus
wichtigen Gründen einschränkt oder ausschliesst. Wichtige Gründe sind
insbesondere die Übernahme von Unternehmen, Unternehmensteilen oder
Beteiligungen sowie die Beteiligung der Arbeitnehmer.
|
In
the event of an increase of the Share Capital by issuing new shares, each
existing shareholder has subscription rights in proportion to his/her
existing shareholding, to the extent the general meeting of the
shareholders does not restrict or exclude this right for important
reasons. Important reasons are, in particular, the takeover of
companies, of company parts, or of participations, as well as the
participation of employees.
|
|
Die
Generalversammlung setzt die Emissionsbedingungen fest, sofern sie
nicht durch Beschluss den Verwaltungsrat dazu ermächtigt. Der
Verwaltungsrat setzt die Einzahlungsbedingungen fest und gibt die
Emissions- und Einzahlungsbedingungen den bezugsberechtigten Aktionären
bekannt.
|
The
general meeting of the shareholders shall determine the terms of the share
issue to the extent it has not, by resolution, authorized the Board
of Directors to do so. The Board of Directors shall determine the payment
terms and communicate the issue and payment terms to the shareholders
entitled to subscription rights.
|
|
III.
Organisation
|
III. Organization
|
|
A.
Die Generalversammlung
|
A. The
General Meeting
|
|
Art.
12 Befugnisse
|
Art.
12 Authority
|
|
Oberstes
Organ der Gesellschaft ist die Generalversammlung. Ihr stehen folgende
unübertragbare Befugnisse zu:
|
The
general meeting of the shareholders is the supreme corporate body of the
Company. It has the following non-transferable powers:
|
|
1. Festsetzung
und Änderung der Statuten; vorbehalten bleibt Art. 27;
|
1. adoption
and amendment of the Articles of Association; Art. 27 remains
reserved;
|
|
2. Festsetzung
der Zahl der Mitglieder des Verwaltungsrates sowie Wahl und Abberufung
derselben;
|
2. determination
of the number of members of the Board of Directors as well as their
appointment and removal;
|
|
3. Wahl
und Abberufung der Revisionsstelle;
|
3. appointment
and removal of the Auditors;
|
|
4. Genehmigung
des Jahresberichtes des Verwaltungsrates;
|
4. approval
of the annual report of the Board of Directors;
|
|
5. Genehmigung
der Jahresrechnung und einer allfälligen Konzernrechnung;
|
5. approval
of the annual financial accounts and (if applicable) the group
accounts;
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
11
|
|
|
6. Beschlussfassung
über die Verwendung des Bilanzgewinnes, insbesondere Festsetzung der
Dividende sowie der Tantième des Verwaltungsrates;
|
6. resolution
on the application of the balance sheet profit, in particular,
determination of dividend and the profit share of the Board of
Directors;
|
|
7. Entlastung
der Mitglieder des Verwaltungsrates und der übrigen mit der
Geschäftsführung betrauten Zivilrechtlichen Personen;
|
7. discharge
of the members of the Board of Directors and the Persons entrusted with
the management;
|
|
8. Beschlussfassung
über die Gegenstände, die der Generalversammlung durch das Gesetz oder die
Statuten vorbehalten sind;
|
8. resolution
on matters which are reserved to the general meeting of the shareholders
either by law or the Articles of Association;
|
|
9. Die
Genehmigung von Zusammenschlüssen (die Definition eines Zusammenschlusses
findet sich in Art. 41 dieser Statuten), (i) soweit sich die Zuständigkeit
der Generalversammlung nicht bereits aus Art. 12 Ziff. 1. bis 8 ergibt und
(ii) soweit nicht zwingend ein anderes Organ der Gesellschaft zuständig
ist.
|
9. the
approval of Business Combinations (definition of this term is in Art. 41
of these Articles of Association), if and to the extent that such approval
(i) is not covered by the powers of the general meeting pursuant to Art.
12 (1) to (8) and (ii) that it is not an inalienable power of another
corporate body of the Company.
|
|
Art.
13 Recht zur Einberufung
|
Art.
13 Right to call a General
Meeting
|
|
Die
Generalversammlung wird vom Verwaltungsrat, nötigenfalls von der
Revisionsstelle, einberufen. Das Einberufungsrecht steht auch den
Liquidatoren und den Vertretern der Anleihensgläubiger zu. Sie findet
am Gesellschaftssitz oder an einem anderen Ort im In- oder Ausland
statt.
|
The
general meeting of the shareholders shall be called by the Board of
Directors or, if necessary, by the Auditors. Liquidators and
representatives of bond creditors are also entitled to call the general
meeting of the shareholders. It shall be held at the Company's registered
office or at another place in Switzerland or abroad.
|
|
Die
ordentliche Generalversammlung findet alljährlich innerhalb von sechs
Monaten nach Abschluss des Geschäftsjahres statt, ausserordentliche
Versammlungen werden nach Bedürfnis abgehalten.
|
The
ordinary general meeting of the shareholders shall take place annually
within six months after the end of the business year, extraordinary
general meetings of the shareholders shall be held as
necessary.
|
|
Art.
14 Form der Einberufung
|
Art.
14 Form of the calling of a General
Meeting
|
|
Die
Generalversammlung wird durch einmalige Anzeige in der in Art. 39 für
Mitteilungen an die Aktionäre vorgeschriebenen Art und Weise einberufen.
Diese Anzeige muss mindestens 20 Tage vor der Generalversammlung
ergehen.
|
The
general meeting of the shareholders shall be convened by a single notice
as provided for in Art. 39 regarding the manner of communications to
shareholders. Such notice must be given at least 20 days prior to the
general meeting of the shareholders.
|
|
Tag,
Zeit und Ort der Generalversammlung, die Verhandlungsgegenstände
(Traktandenliste) sowie die Anträge des Verwaltungsrates und der
Aktionäre, welche die Durchführung der Generalversammlung oder
die Traktandierung eines Verhandlungsgegenstandes verlangt
haben, sind bei der Einberufung bekannt zu geben.
|
The
calling shall state the date, time and place of the general meeting of the
shareholders as well as the agenda and motions of the Board of Directors
and of the shareholders who have requested the holding of a general
meeting of the shareholders or the inclusion of an item on the
agenda.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
12
|
|
|
Die
Aktionäre sind bei der ordentlichen Generalversammlung darüber zu
orientieren, dass der Geschäftsbericht (Jahresbericht des Verwaltungsrates
und Jahresrechnung, bestehend aus Erfolgsrechnung, Bilanz und Anhang)
und der Revisionsbericht mindestens 20 Tage vor dem
Versammlungstag zur Einsicht der Aktionäre am Sitz der
Gesellschaft aufliegen, sowie dass jeder Aktionär verlangen
kann, dass ihm unverzüglich eine Ausfertigung dieser Unterlagen zugestellt
wird.
|
As
far as the ordinary general meeting is concerned, the shareholders have to
be notified, that the annual business report (the management report
of the Board of Directors and the annual financial accounts, comprising
the profit and loss statement, the balance sheet and notes) and the audit
report are open to inspection by the shareholders at the registered office
at least 20 days prior to the date of the general meeting of the
shareholders and that any shareholder may request that a copy of these
documents be immediately sent to him/her.
|
|
Über
Gegenstände, die nicht in dieser Weise angekündigt worden sind, können
Beschlüsse nicht gefasst werden, ausser über einen Antrag auf Einberufung
einer ausserordentlichen Generalversammlung, auf
Durchführung einer Sonderprüfung oder auf Wahl einer Revisionsstelle
infolge eines Begehrens eines Aktionärs nach Art. 727a Abs. 4
OR.
|
No
resolutions may be passed on agenda items which have not been announced in
this manner, except on motions for the calling of an extraordinary general
meeting of the shareholders, for the conduct of a special audit or the
appointment of auditors at the request of a shareholder pursuant to Art.
727a paragraph 4 CO.
|
|
Art.
15 Universalversammlung
|
Art.
15 Universal Meeting
|
|
Die
Eigentümer oder Vertreter sämtlicher Aktien können, falls kein Widerspruch
erhoben wird, eine Generalversammlung ohne Einhaltung der für die
Einberufung vorgeschriebenen Formvorschriften
abhalten.
|
The
holders of all Shares or their representatives may, if no objection is
raised, hold a general meeting of the shareholders without observing the
formalities required for the calling of a general meeting of the
shareholders.
|
|
In
dieser Versammlung kann über alle in den Geschäftskreis der
Generalversammlung fallenden Gegenstände gültig verhandelt und
Beschluss gefasst werden, solange die Eigentümer oder Vertreter
sämtlicher Aktien anwesend sind.
|
Provided
the holders of all shares or their representatives are present, all items
within the powers of a general meeting of the shareholders may validly be
discussed and resolved at such a meeting.
|
|
Art.
16 Vorsitz und Protokoll
|
Art.
16 Chairperson and Minutes
|
|
Die
Generalversammlung wird durch den Präsidenten bzw. Vizepräsidenten des
Verwaltungsrates oder einen von der Generalversammlung ad hoc
gewählten Tagespräsidenten geleitet.
|
The
general meeting of the shareholders shall be chaired by the Chairman,
respectively the vice-chairman of the Board of Directors or a
chairman-for-the-day appointed by the general meeting of the
shareholders.
|
|
Der
Vorsitzende ernennt den Protokollführer und den oder die Stimmenzähler.
Der Protokollführer und der oder die Stimmenzähler müssen nicht Aktionäre
sein. Der Vorsitzende kann zugleich auch Protokollführer und Stimmenzähler
sein.
|
The
chairperson shall appoint the keeper of the minutes and the scrutineer(s).
The keeper of the minutes and the scrutineer(s) need not be shareholders.
The chairperson may also be the keeper of the minutes and the
scrutineer.
|
|
Über
die Beschlüsse und Wahlen der Generalversammlung ist ein Protokoll zu
führen, das vom Vorsitzenden und vom Protokollführer zu
unterzeichnen ist. Es hält die Angaben gemäss Art. 702 Abs. 2 OR
fest.
|
Minutes
shall be kept of the resolutions and votes of the general meeting of the
shareholders that shall be signed by the chairperson and the keeper of the
minutes. They shall contain the information required by Art. 702 paragraph
2 CO.
|
|
Die
Aktionäre sind berechtigt, das Protokoll einzusehen.
|
Shareholders
may inspect the minutes.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
13
|
|
|
Art.
17 Stimmrecht und Vertretung
|
Art.
17 Voting Rights and
Representation
|
|
Jede
Aktie berechtigt zu einer Stimme.
|
Each
share carries one vote.
|
|
Sofern
die Statuten es vorsehen, ist jeder an einem bestimmten, durch den
Verwaltungsrat vorgegebenen Stichtag, im Aktienbuch eingetragene Aktionär
berechtigt, an der Generalversammlung teilzunehmen und an der
Beschlussfassung mitzuwirken.
|
If
provided in these Articles of Association, each shareholder recorded in
the Share Register on a specific qualifying day which may be designated by
the Board of Directors shall be entitled to participate at the general
meeting of the shareholders and in any vote taken.
|
|
Jeder
Aktionär kann sich in der Generalversammlung durch einen anderen Aktionär
oder einen Dritten vertreten lassen. Vertreter haben sich durch eine
schriftliche Vollmacht auszuweisen.
|
Each
shareholder may arrange representation through another shareholder or
third party. The representative must produce a written power of
attorney.
|
|
Die
Gesellschaft anerkennt nur einen Vertreter für jede Aktie.
|
The
Company shall acknowledge only one representative for each
share.
|
|
Der
Verwaltungsrat kann die Einzelheiten über die Vertretung und Teilnahme an
der Generalversammlung in Verfahrensvorschriften regeln.
|
The
Board of Directors may issue the particulars of the right to
representation and participation at the general meeting of the
shareholders in procedural rules.
|
|
Stimmrechte
und die damit verbundenen Rechte können der Gesellschaft gegenüber von
einem Aktionär oder Nutzniesser der Aktien jeweils nur in dem Umfang
ausgeübt werden, wie diese Person mit Stimmrecht im Aktienbuch eingetragen
ist.
|
Voting
rights and rights derived from them may be exercised in relation to the
Company by a shareholder or usufructuary of Shares only to the extent that
such Person is recorded in the Share Register with the right to exercise
his voting rights.
|
|
Art.
18 Teilnahme der Mitglieder des
Verwaltungsrates
|
Art.
18 Participation of the Members of the Board
of Directors
|
|
Die
Mitglieder des Verwaltungsrates sind berechtigt, an der Generalversammlung
teilzunehmen. Sie können Anträge stellen.
|
The
members of the Board of Directors may take part in the general meeting of
the shareholders. They may submit motions.
|
|
Art.
19 Beschlussfassung und
Wahlen
|
Art.
19 Resolutions and Voting
|
|
Die
Generalversammlung fasst ihre Beschlüsse und vollzieht ihre Wahlen mit der
Mehrheit der abgegebenen Aktienstimmen, unter Ausschluss der leeren,
ungültigen und nicht ausübbaren Stimmen, soweit Gesetz oder Statuten
nichts anderes bestimmen. Bei Stimmengleichheit gilt ein Beschluss
als nicht zustande gekommen; bei Wahlen entscheidet das
Los.
|
The
general meeting of the shareholders shall pass its resolutions and votes
with a majority of the share votes cast, excluding unmarked, invalid and
non-exercisable votes, to the extent not otherwise stated by the law or
the Articles of Association. Where the votes are tied, a resolution shall
be deemed not to be passed; in the case of a vote, the decision shall be
by lot.
|
|
Art.
20 Besonderes Stimmen Quorum
|
Art.
20 Special Vote
|
|
Folgende
Beschlüsse müssen von Gesetzes wegen mindestens zwei Drittel der
vertretenen Stimmen und die absolute Mehrheit der vertretenen
Aktiennennwerte auf sich vereinigen:
|
The
following resolutions require by law two thirds of the votes represented
and the absolute majority of the nominal value of the Shares represented
in favor:
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
14
|
|
|
1. Änderung
des Gesellschaftszweckes;
|
1. amendment
of the Company objects;
|
|
2. Einführung
von Stimmrechtsaktien;
|
2. creation
of Shares with privileged voting rights;
|
|
3. Beschränkung
der Übertragbarkeit von Namenaktien;
|
3. restriction
on the transferability of registered Shares;
|
|
4. Genehmigte
oder bedingte Kapitalerhöhung;
|
4. approved
or conditional capital increase;
|
|
5. Kapitalerhöhung
aus Eigenkapital, gegen Sacheinlage oder zwecks Sachübernahme und die
Gewährung von besonderen Vorteilen;
|
5. capital
increase out of equity, by way of contributions in kind or for the purpose
of acquisition of assets and the granting of special
benefits;
|
|
6. Einschränkung
oder Aufhebung des Bezugsrechtes;
|
6. restriction
or withdrawal of subscription rights;
|
|
7. Verlegung
des Sitzes der Gesellschaft;
|
7. relocation
of the registered office of the Company;
|
|
8. Auflösung
der Gesellschaft;
|
8. winding-up
of the Company;
|
|
9. Fusionsbeschluss
gemäss Art. 18 des Fusionsgesetzes (FusG), Spaltungsbeschluss gemäss
Art. 43 FusG und Umwandlungsbeschluss gemäss Art. 64
FusG.
|
9. merger
resolution pursuant to Art. 18 of the Merger Act (FusG), demerger
resolution pursuant to Art. 43 FusG and transformation resolution pursuant
to Art. 64 FusG.
|
|
Im
Rahmen des gesetzlich Zulässigen und unter Vorbehalt anderslautender
Vorschriften in diesem Art. 20 ist für folgende Gegenstände ein Beschluss
der Generalversammlung erforderlich, der mindestens 75 % der an der
Generalversammlung vertretenen Aktien auf sich vereinigt:
|
Subject
to the provisions of the applicable law and except as otherwise expressly
provided in this Art. 20, the approval of at least 75 % of the Shares
represented at a general meeting of the shareholders shall be required
for:
|
|
1. Die
Genehmigung von Zusammenschlüssen (die Definition eines Zusammenschlusses
findet sich in Art. 41 dieser Statuten) gemäss Art. 12 (9) dieser
Statuten. Dieses besondere Zustimmungserfordernis ist nicht erforderlich
für Zusammenschlüsse, welche von der Mehrheit der Unparteiischen
Mitgliedern des Verwaltungsrates (die Definition der Unparteiischen
Mitglieder des Verwaltungsrates findet sich in Art. 41 der Statuten)
genehmigt wurden. Für solche von der Mehrheit der Unparteiischen
Mitgliedern des Verwaltungsrates genehmigte Zusammenschlüsse genügen die
im Gesetz oder in den Statuten vorgesehenen Mehrheiten, je nach dem welche
strenger sind. Für den Zweck dieser Bestimmung ist die Mehrheit der
Unparteiischen Mitglieder des Verwaltungsrates berechtigt und
verpflichtet, gestützt auf die ihnen nach angemessenem Aufwand zur
Verfügung stehenden Informationen zu bestimmen, (i) ob eine Person ein
Nahestehender Aktionär ist; (ii) die Anzahl Aktien, die eine Person oder
eine Gesellschaft direkt oder indirekt hält; (iii) ob eine Gesellschaft
eine Nahestehende Gesellschaft einer anderen ist; und ob (iv) die Aktiven,
welche Gegenstand eines solchen Zusammenschlusses sind oder die von der
Gesellschaft oder einer ihrer Tochtergesellschaften im Zusammenhang mit
einem solchen Zusammenschluss ausgegebenen oder übertragenden Effekten
einen aggregierten Marktwert von mindestens 25 % des Marktwertes der
gesamten Aktiven unmittelbar vor dem Zusammenschluss haben. Die Mehrheit
der Unparteiischen Mitglieder des Verwaltungsrates hat zudem das Recht,
sämtliche Bestimmungen und Begriffe dieses Art. 20
auszulegen.
|
1. The
approval of Business Combinations (definition of this term is in Art. 41
of these Articles of Association) pursuant to Art. 12 (9) of these
Articles of Association. The foregoing requiring a special resolution of
the shareholders shall not be applicable to any particular Business
Combination, and such Business Combination shall require only such vote as
is required by the law or by these Articles of Association, whichever is
greater, if the Business Combination shall have been approved by a
majority of the Disinterested Directors (as hereinafter defined in Art. 41
of these Articles of Association) whereby it is understood that such
majority of the Disinterested Directors shall have the power and duty to
determine for the purposes of this Article, on the basis of information
known to them after reasonable inquiry, (i) whether a person is an
Interested Shareholder; (ii) the number of Shares of which any person is
the beneficial owner; (iii) whether a Person is an Affiliate of another;
and (iv) whether the assets which are the subject of any Business
Combination have, or any securities to be issued or transferred by the
Company or any Subsidiary in any Business Combination have, an aggregate
Fair Market Value equaling or exceeding twenty-five percent (25 %) of the
Fair Market Value of the combined assets immediately prior to such
transfer of the Company and its subsidiaries. A majority of the
Disinterested Directors shall have the further power to interpret all of
the terms and provisions of this Art.
20.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
15
|
|
|
2. Jede
Änderung dieser Bestimmung.
|
2. Any
change to this paragraph of Art. 20 of the Articles of
Association.
|
|
Ein
Beschluss der Generalversammlung der mindestens zwei Drittel der
Gesamtstimmen (die Definition von Gesamtstimmen findet sich in Art. 41
dieser Statuten) auf sich vereinigt, ist erforderlich für:
|
The
approval of at least two thirds of the Total Voting Shares shall be
required for (definition of the term Total Voting Shares is in Art. 41 of
these Articles of Association):
|
|
1. Die
Abwahl eines amtierenden Mitglieds des Verwaltungsrates
|
1. A
resolution with respect to the removal of a serving member of the Board of
Directors.
|
|
2. Jede
Änderung dieser Bestimmung
|
2. Any
change to this paragraph of Art. 20 of the Articles of
Association.
|
|
Ein
Beschluss der Generalversammlung der mindestens 75 % der Gesamtstimmen
(die Definition von Gesamtstimmen findet sich in Art. 41 dieser Statuten)
auf sich vereinigt, ist erforderlich für:
|
The
approval of at least 75 % of the Total Voting Shares shall be required for
(definition of the term Total Voting Shares is in Art. 41 of these
Articles of Association):
|
|
1. Die
Reduktion oder Erhöhung der Anzahl Verwaltungsräte in Art. 24 dieser
Statuten.
|
1. The
increase or reduction of the number of members of the Board of Directors
in Art. 24 of these Articles of Association.
|
|
2. Jede
Änderung dieser Bestimmung.
|
2. Any
change to this paragraph of Art. 20 of the Articles of
Association.
|
|
Auf
Verlangen eines Aktionärs erfolgt die Wahl der Mitglieder des
Verwaltungsrates in geheimer Abstimmung. Die übrigen Wahlen und
Beschlussfassungen erfolgen in offener Abstimmung, falls die
Generalversammlung nichts anderes beschliesst.
|
At
the request of a shareholder the election of members of the Board of
Directors shall take place by secret ballot. All other voting and passing
of resolutions shall occur by open ballot unless otherwise resolved by the
general meeting of the
shareholders.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
16
|
|
|
Ist
die Gesellschaft verpflichtet, ihre Jahresrechnung und gegebenenfalls ihre
Konzernrechnung durch eine Revisionsstelle prüfen zu lassen, muss der
Revisionsbericht vorliegen, bevor die Generalversammlung die
Jahresrechnung und die Konzernrechnung genehmigt und über die Verwendung
des Bilanzgewinns beschliesst. Wird eine ordentliche Revision
durchgeführt, so muss die Revisionsstelle an der Generalversammlung
anwesend sein. Die Generalversammlung kann durch einstimmigen Beschluss
auf die Anwesenheit der Revisionsstelle verzichten.
|
Where
the Company is required to have its annual financial accounts and, where
relevant, its group accounts audited by auditors, the audit report shall
be presented to the general meeting of the shareholders prior to approval
of the annual financial accounts and group accounts and prior to resolving
on the application of the balance sheet profit. Where an ordinary audit is
to be conducted, the Auditors shall be present at the general meeting of
the shareholders. The general meeting of the shareholders may by way of a
unanimous resolution, waive the requirement for the presence of the
Auditors.
|
|
Art.
21 Auskunfts- und Einsichtsrecht der
Aktionäre
|
Art.
21 Information and Inspection Rights of the
Shareholders
|
|
Jeder
Aktionär ist berechtigt, an der Generalversammlung vom Verwaltungsrat
Auskunft über die Angelegenheiten der Gesellschaft und von der
Revisionsstelle über Durchführung und Ergebnis ihrer Prüfung zu
verlangen.
|
At
the general meeting of the shareholders, any shareholder is entitled to
request information from the Board of Directors concerning the affairs of
the Company and from the Auditors concerning the conduct and the results
of their review.
|
|
Die
Auskunft ist insoweit zu erteilen, als sie für die Ausübung der
Aktionärsrechte erforderlich ist. Sie kann verweigert werden, wenn
durch sie Geschäftsgeheimnisse oder andere schutzwürdige Interessen
der Gesellschaft gefährdet werden.
|
The
information shall be given to the extent necessary for the exercising of
shareholders' rights. It may be denied if business secrets or other
interests of the Company worth being protected are
jeopardized.
|
|
Die
Geschäftsbücher und Korrespondenzen können nur mit ausdrücklicher
Ermächtigung der Generalversammlung oder durch Beschluss
des Verwaltungsrates und unter Wahrung des
Geschäftsgeheimnisses eingesehen werden.
|
Company
books and correspondence may only be inspected with the express
authorization of the general meeting of the shareholders or by resolution
of the Board of Directors and under the condition that business
secrets are safeguarded.
|
|
Art.
22 Recht auf Einleitung einer
Sonderprüfung
|
Art.
22 Right to Initiate a Special
Audit
|
|
Jeder
Aktionär kann der Generalversammlung beantragen, bestimmte
Sachverhalte durch eine Sonderprüfung abklären zu lassen, sofern
dies zur Ausübung der Aktionärsrechte erforderlich ist und er
das Recht auf Auskunft oder das Recht auf Einsicht bereits ausgeübt
hat.
|
Any
shareholder may, at the general meeting of the shareholders, request that
certain matters be subject to a special audit to the extent this is
necessary for the exercising of shareholders' rights and he/she has
previously exercised the right to information or the right to
inspection.
|
|
Art.
23 Präsenzquorum
|
Art.
23 Presence Quorum
|
|
Jede
Beschlussfassung oder Wahl setzt zu ihrer Gültigkeit im Zeitpunkt der
Konstituierung der Generalversammlung ein Präsenzquorum von Aktionären,
welche mindestens die Mehrheit aller Gesamtstimmen vertreten, voraus. Die
Aktionäre können mit der Behandlung der Traktanden fortfahren, selbst wenn
Aktionäre nach Bekanntgabe des Quorums durch den Vorsitzenden die
Generalversammlung verlassen.
|
The
adoption of any resolution or election requires the presence of at least a
majority of the Total Voting Shares at the time when the general meeting
of the shareholders proceeds to business. The shareholders present at a
general meeting of the shareholders may continue to transact business,
despite the withdrawal of shareholders from such general meeting of the
shareholders following announcement of the presence quorum at that
meeting.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
17
|
|
|
B.
Der Verwaltungsrat
|
B.
The Board of Directors
|
|
Art.
24 Zusammensetzung
|
Art.
24 Composition
|
|
Der
Verwaltungsrat besteht aus mindestens einem und höchstens zehn
Mitgliedern.
|
The
Board of Directors shall consist of no less than one and no more than ten
members.
|
|
Solange
die Namenaktien der Gesellschaft an einer in- oder ausländischen Börse
kotiert sind, soll der Verwaltungsrat mindestens drei unabhängige
Verwaltungsräte (Unabhängige Verwaltungsräte) ausweisen.
|
As
long as the registered Shares of the Company are listed on a domestic or
foreign Exchange, the Company shall maintain a minimum of three
Independent Directors on its Board of Directors.
|
|
Art.
25 Amtsdauer
|
Art.
25 Term of Office
|
|
Die
Verwaltungsräte werden vom Verwaltungsrat in drei Klassen aufgeteilt,
welche als Klasse I, Klasse II und Klasse III bezeichnet werden. Die
Verwaltungsräte sollen gleichmässig auf die drei Klassen aufgeteilt
werden. Die erste Amtszeit der gewählten Verwaltungsräte endet wie
folgt:
|
The
Board of Directors shall divide its members into three classes, designated
Class I, Class II and Class III. All Classes shall be as nearly equal in
number as possible. The members of the Board of Directors as initially
classified shall hold office for terms as follows:
|
|
Die
Amtszeit der Verwaltungsratsmitglieder der Klasse I endet mit der
ordentlichen Generalversammlung des Jahres 2011 oder mit der Wahl ihrer
Nachfolger;
|
The
Class I members of the Board of Directors shall hold office until the date
of the ordinary general meeting of the shareholders in 2011 or until their
successors shall be elected and qualified;
|
|
Die
Amtszeit der Verwaltungsratsmitglieder der Klasse II endet mit der
ordentlichen Generalversammlung des Jahres 2012 oder mit der Wahl ihrer
Nachfolger;
|
The
Class II members of the Board of Directors shall hold office until the
date of the ordinary general meeting of the shareholders in 2012 or until
their successors shall be elected and qualified;
|
|
Die
Amtszeit der Verwaltungsratsmitglieder der Klasse III endet mit der
ordentlichen Generalversammlung des Jahres 2013 oder mit der Wahl ihrer
Nachfolger.
|
The
Class III members of the Board of Directors shall hold office until the
date of the ordinary general meeting of the shareholders in 2013 or until
their successors shall be elected and qualified.
|
|
An
jeder ordentlichen Generalversammlung soll jede Klasse Verwaltungsräte,
deren Amtsdauer abläuft, für eine Amtsdauer von drei Jahren bzw. bis zur
Wahl ihrer Nachfolger gewählt werden. Die Verwaltungsräte sind wieder
wählbar.
|
At
each ordinary general meeting of the shareholders, each class of the
members of the Board of Directors whose term shall then expire shall be
elected to hold office for a three-year term or until the election of
their respective successor in office. The members of the Board of
Directors are re-electable.
|
|
Der
Verwaltungsrat legt die Reihenfolge der Wiederwahl fest, wobei die erste
Amtszeit einer bestimmten Klasse von Verwaltungsräten auch weniger als
drei Jahre betragen kann. Für den Zweck dieser Bestimmung ist unter einem
Jahr der Zeitabschnitt zwischen zwei ordentlichen Generalversammlungen zu
verstehen.
|
The
Board of Directors shall establish the order of rotation, whereby the
first term of office of members of a particular class may be less than
three years. For purposes of this provision, one year shall mean the
period between two ordinary general meetings of the
shareholders.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
18
|
|
|
Wenn
ein Verwaltungsratsmitglied vor Ablauf seiner Amtsdauer aus welchen
Gründen auch immer ersetzt wird, endet die Amtsdauer des an seiner Stelle
gewählten neuen Verwaltungsratsmitgliedes mit dem Ende der Amtsdauer
seines Vorgängers.
|
If,
before the expiration of his term of office, a member of the Board of
Director should be replaced for whatever reason, the term of office of the
newly elected member of the Board of Directors shall expire at the end of
the term of office of his predecessor.
|
|
Ist
an der Gesellschaft eine juristische Person oder eine Handelsgesellschaft
beteiligt, so ist sie als solche nicht als Mitglied des Verwaltungsrates
wählbar; dagegen können an ihrer Stelle ihre Vertreter gewählt
werden.
|
If
a legal entity or another commercial enterprise is a shareholder of the
Company, it shall not be eligible for membership on the Board of
Directors; however, its representatives may be elected in lieu
thereof.
|
|
Art.
26 Konstituierung
|
Art.
26 Constitution
|
|
Besteht
der Verwaltungsrat aus mehreren Personen, so konstituiert er sich selbst,
indem er seinen Präsidenten (
„Verwaltungsratspräsident“ oder
„Präsident“
), seinen Sekretär sowie allfällige Vizepräsidenten
wählt. Der Sekretär muss dem Verwaltungsrat nicht
angehören.
|
Where
the Board of Directors consists of several persons it shall organize
itself so that it elects its own chairman (
“Chairman of the Board of
Directors” or “Chairman”
) and the Secretary and it may elect one or
more vice-chairman. The Secretary need not belong to the Board of
Directors.
|
|
Art.
27 Aufgaben
|
Art.
27 Duties
|
|
Der
Verwaltungsrat besorgt die laufenden Geschäfte und vertritt die
Gesellschaft nach aussen.
|
The
Board of Directors shall manage the ongoing business and represent the
Company externally.
|
|
Der
Verwaltungsrat hat die folgenden unübertragbaren und unentziehbaren
Aufgaben:
|
The
Board of Directors has the following non-transferable and inalienable
duties:
|
|
Oberleitung
der Gesellschaft und Erteilung der nötigen Weisungen;
|
Supreme
management of the Company and issuance of the relevant
instructions;
|
|
Festlegung
der Organisation;
|
Determination
of the organisation;
|
|
Ausgestaltung
des Rechnungswesens, der Finanzkontrolle sowie der
Finanzplanung, sofern diese für die Führung der
Gesellschaft notwendig ist;
|
Structuring
of the accounting system, the financial controls and the financial
planning to the extent that this is necessary for the management of the
Company;
|
|
Ernennung
und Abberufung der mit der Geschäftsführung und der Vertretung
betrauten Personen sowie Regelung der
Zeichnungsberechtigung;
|
Appointment
and removal of the persons entrusted with the management and
representation of the Company as well as regulation of signatory
power;
|
|
Oberaufsicht
über die mit der Geschäftsführung betrauten Personen, namentlich im
Hinblick auf die Befolgung der Gesetze, Statuten, Reglemente und
Weisungen;
|
Overall
supervision of the persons entrusted with the management of the Company,
in particular with regard to their compliance with the law, the Articles
of Association and other internal rules and
regulations;
|
|
Erstellung
des Geschäftsberichtes sowie Vorbereitung der Generalversammlung und
Ausführung ihrer Beschlüsse;
|
Preparation
of the annual business report and the general meeting of the shareholders,
as well as implementation of its resolutions;
|
|
Benachrichtigung
des Richters im Falle der Überschuldung;
|
Notification
of the judge in the case of over-indebtedness;
|
|
Beschlussfassung
über die nachträgliche Leistung von Einlagen auf nicht voll liberierte
Aktien;
|
Passing
of resolutions regarding retroactive payments related to partly paid-in
shares;
|
|
Feststellungsbeschlüsse
bei Kapitalerhöhungen und daraus folgende
Statutenänderungen.
|
Declaratory
resolutions regarding capital increases and consequential amendments of
the Articles of
Association.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
19
|
|
|
Er
hat überdies die folgenden Aufgaben:
|
In
addition, the Board of Directors shall have the following
duties:
|
|
Führung
der gemäss Organisationsreglement dem Verwaltungsrat vorbehaltenen
Geschäfte (vgl. Art. 30 Abs. 2);
|
Management
of transactions reserved to the Board of Directors by the Organizational
Regulations (cf. Art. 30 paragraph 2);
|
|
Antragstellung
betreffend Verwendung des Bilanzgewinnes;
|
Proposals
regarding the application of the balance sheet profit;
|
|
Festlegung
des Geschäftsjahres (vgl. Art. 36);
|
Defining
the business year (cf. Art. 36).
|
|
Behandlung
von Eintragungsgesuchen (vgl. Art. 8).
|
Treatment
of registration applications (cf. Art. 8).
|
|
Im
Übrigen kann der Verwaltungsrat in allen Angelegenheiten Beschluss fassen,
die nicht nach Gesetz, Statuten oder Reglement der Generalversammlung oder
einem anderen Organ der Gesellschaft vorbehalten oder
übertragen sind.
|
Otherwise,
the Board of Directors may resolve on all matters not reserved or assigned
to the general meeting of the shareholders or another corporate body of
the Company by law, the Articles of Association or other internal rules
and regulations.
|
|
Die
Mitglieder des Verwaltungsrates zeichnen kollektiv zu zweien. Gehört dem
Verwaltungsrat nur eine Person an, so ist diese
einzelzeichnungsberechtigt.
|
The
members of the Board of Directors shall have the power of joint
signatories. Where the Board of Directors consists of just one person, he
shall have the power of single signatory.
|
|
Art.
28 Entschädigung
|
Art.
28 Compensation
|
|
Die
Mitglieder des Verwaltungsrates haben Anspruch auf Ersatz ihrer im
Interesse der Gesellschaft aufgewendeten Auslagen sowie auf eine
ihrer Tätigkeit entsprechende Entschädigung. Der Betrag wird vom
Verwaltungsrat festlegt.
|
The
members of the Board of Directors shall have a claim to compensation for
their expenses incurred in the interests of the Company as well as
remuneration for their activities. The amount of the remuneration shall be
determined by the Board of Directors.
|
|
Im
Rahmen des gesetzlich Zulässigen, hält die Gesellschaft sämtliche Personen
sowie deren Erben, Konkurs- oder Nachlassmassen, welche wegen ihrer
Tätigkeit als Verwaltungsrat, Mitglied der Geschäftsleitung, Angestellte,
Agent oder weil sie in einer anderen Funktion für oder im Namen der
Gesellschaft (einschliesslich solcher Tätigkeiten, die diese Personen für
eine andere Gesellschaft, eine nicht rechtsfähige Personengesellschaft,
einen Joint Ventures, einen Trusts, eine sonstige Geschäftseinheit oder
fiduziarisch im Zusammenhang mit von der Gesellschaft unterhaltenen
Mitarbeiterbeteiligungsplänen für oder im Namen oder auf Aufforderung der
Gesellschaft ausübten oder ausüben) tätig wurden, Partei in drohenden,
hängigen oder abgeschlossenen Klagen, Verfahren oder Untersuchungen
zivil-, straf-, verwaltungsrechtlicher oder anderer Natur (einschliesslich
allfälliger Klagen der Gesellschaft) waren oder werden, schadlos von
sämtlichen Auslagen (einschliesslich Anwaltskosten), Abgaben, Verlusten
und Schäden, die diese in diesem Zusammenhang zu bezahlen und damit
erlitten haben. Im Rahmen des gesetzlich zulässigen soll die Gesellschaft
Gerichts- und Anwaltskosten im Zusammenhang mit solchen Klagen und
Verfahren (einschliesslich Rechtsmittelverfahren)
bevorschussen.
|
The
Company shall indemnify, to the full extent now or hereafter permitted by
law, any person (including his heirs, executors and administrators) who
was or is a party or is threatened to be made a party to any threatened,
pending or completed action, suit or proceeding, whether civil, criminal,
administrative or investigative (including, without limitation, an action
by or in the right of the Company), by reason of his acting as, or having
in the past acted as, a member of the Board of Director, officer, employee
or agent of, or his acting in any other capacity for or on behalf of, the
Company (including his serving for, on behalf of or at the request of the
Company as a member of the Board of Director, officer employee or agent of
another company, partnership, joint venture, trust or other enterprise, or
in a fiduciary or other capacity with respect to any employee benefit plan
maintained by the Company) against any expense (including attorneys’
fees), judgments, fines and amounts paid in settlement actually and
reasonably incurred by such person (or his heirs, executors and
administrators) in respect thereof. The Company shall advance the expenses
of defending any such action, suit or proceeding (including appeals) in
accordance with and to the full extent now or hereafter permitted by
law.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
20
|
|
|
Der
Verwaltungsrat ist unabhängig von der Interessenlage des einzelnen
Mitgliedes berechtigt, namens der Gesellschaft und zugunsten der in Art.
28 Abs. 2 dieser Statuten erwähnten Personen Versicherungen für die gegen
diese Personen im Zusammenhang mit den oben beschriebenen Funktionen
erhobenen Haftungsansprüche sowie deren Folgen abzuschliessen, unabhängig
davon, ob die Gesellschaft das Recht bzw. die Macht hätte, diese Person in
Anwendung von Art. 28 schadlos zu halten.
|
The
Board of Directors may, notwithstanding any interest of the member of the
Board of Directors in such action, authorize the Company to purchase and
maintain insurance on behalf of any person described in Art. 28 paragraph
2 of these Articles of Association, against any liability asserted against
him and incurred by him in any such capacity, or arising out of his status
as such, whether or not the Company would have the power to indemnify him
against such liability under the provisions of this Art.
28.
|
|
Art.
28 ist auf alle Ansprüche, Klagen, Prozesse anwendbar, die nach
Inkrafttreten dieser Bestimmung eingeleitet werden, unabhängig davon, ob
sich diese auf Tätigkeiten oder Unterlassungen vor Inkrafttreten dieser
Bestimmung stützen. Die Vorschrift in diesem Art. 28 soll als Vertrag
zwischen der Gesellschaft und jedem Verwaltungsratsmitglied, Mitglied der
Geschäftsleitung, Direktor, Angestellten und Agenten, der in den weiter
oben beschriebenen Funktionen zu einem beliebigen Zeitpunkt während der
Gültigkeit dieser Bestimmung und des anwendbaren Rechts tätig war, gelten,
und die Aufhebung oder Änderung dieser Bestimmung soll die zu jenem
Zeitpunkt bestehenden Rechte und Pflichten bezüglich des zu jenem
Zeitpunkt bestehenden Tatbestandes oder der zu jenem oder einem späteren
Zeitpunkt gestützt auf diesen Sachverhalt geltend gemachten oder
angedrohten Klagen, Ansprüchen oder Prozessen nicht berühren. Sollten
einzelne Bestimmungen dieses Art. 28 aus gesetzlichen oder regulatorischen
Gründen ungültig sein oder in ihrer Anwendung eingeschränkt werden, soll
dies die Anwendung dieser Bestimmung oder die Gültigkeit dieser Bestimmung
nicht berühren. Die Rechte im Zusammenhang mit der Schadloshaltung und der
Bevorschussung in diesem Artikel sind weder exklusiv noch sollen sie
allfällige bestehende andere Rechte der betroffenen
Verwaltungsratsmitglieder, Geschäftsleitungsmitgliedern, Direktoren,
Angestellten oder Agenten limitieren, die diese gestützt auf Verträge oder
gestützt auf Beschlüsse der Organe der Gesellschaft oder in ihrer Funktion
haben, limitieren. Die Gesellschaft ist dem Grundsatz verpflichtet, wonach
die Schadloshaltung der in diesem Artikel definierten Personen im Rahmen
des gesetzlich zulässigen entsprochen werden soll.
|
The
provisions of this Art. 28 shall be applicable to all actions, claims,
suits or proceedings made or commenced after the adoption hereof, whether
arising from acts or omissions to act occurring before or after its
adoption. The provisions of this Art. 28 shall be deemed to be a contract
between the Company and each member of the Board of Director, officer,
employee or agent who serves in such capacity at any time while this
Article and the relevant provisions of the law, if any, are in effect, and
any repeal or modification thereof shall not affect any rights or
obligations then existing with respect to any state of facts or any
action, suit or proceeding then or theretofore existing, or any action,
suit or proceeding thereafter brought or threatened based in whole or in
part on any such state of facts. If any provision of this Art. 28 shall be
found to be invalid or limited in application by reason of any law or
regulation, it shall not affect any other application of such provision or
the validity of the remaining provisions hereof. The rights of
indemnification and advancement of expenses provided in this Article shall
neither be exclusive of, nor be deemed in limitation of, any rights to
which any such member of the Board of Director, officer, employee or agent
may otherwise be entitled or permitted by contract, vote of members or
directors or otherwise, or as a matter of law, both as to actions in his
official capacity and actions in any other capacity while holding such
office, it being the policy of the Company that indemnification of the
specified individuals shall be made to the fullest extent permitted by
law.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
21
|
|
|
Art.
29 Einberufung und
Beschlussfassung
|
Art.
29 Calling of Meetings and
Quorum
|
|
Der
Verwaltungsrat versammelt sich, so oft es die Geschäfte erfordern, jedoch
mindestens einmal im Jahr. Er wird durch seinen Präsidenten oder den
Vizepräsidenten einberufen. Jedes Mitglied hat jederzeit das Recht, unter
schriftlicher Angabe der Gründe die unverzügliche Einberufung einer
Verwaltungsratssitzung zu verlangen.
|
The
Board of Directors shall meet as often as business demands but at least
once a year. It shall be called by the Chairman of the Board of Directors
or the vice-chairman. Each member may, by giving written reasons
therefore, demand that a meeting of the Board of Directors be held without
delay.
|
|
Die
Einberufung des Verwaltungsrates hat in der Regel mindestens fünf Werktage
vor dem Sitzungstage zu erfolgen. Tag, Zeit und Ort der Sitzung und
die Verhandlungsgegenstände (Traktandenliste) sind bei der Einberufung
bekannt zu geben. Gleichzeitig werden die massgebenden
Sitzungsunterlagen zugestellt. Über Gegenstände, die in der
Traktandenliste nicht aufgeführt sind, können in dringenden Fällen
Beschlüsse gefasst werden.
|
The
calling of a meeting of the Board of Directors shall, as a rule, be made
at least five working days before the date of the meeting. Day, time, and
place of the meeting as well as the matters for discussion (agenda) shall
be notified at the time of the calling. At the same time, the related
documents for the meeting shall be provided. Matters not contained in the
agenda may be resolved upon in urgent cases.
|
|
Der
Verwaltungsrat ist beschlussfähig, wenn die absolute Mehrheit der
Mitglieder anwesend ist. Für Beschlüsse, die im Rahmen von
Kapitalerhöhungen zu treffen sind, ist der Verwaltungsrat auch
beschlussfähig, wenn nur ein Mitglied anwesend ist.
|
The
Board of Directors is quorate when the absolute majority of members is
present. Where a resolution is to be taken in the context of a capital
increase, the Board of Directors is also quorate when only one member is
present.
|
|
Der
Verwaltungsrat fasst seine Beschlüsse und trifft seine Wahlen mit der
Mehrheit der abgegebenen Stimmen. Er kann höhere Beschlussfassungsquoren
einführen. Diese müssen in einem Reglement festgehalten werden. Bei
Stimmengleichheit gibt der Vorsitzende den Stichentscheid, bei
Wahlen entscheidet das Los.
|
The
Board of Directors shall pass its resolutions and votes with a majority of
the votes cast. The Board of Directors may introduce higher requirements
to pass votes. Such requirements shall be contained in an internal
regulation. Where votes are tied, the chairperson shall give the casting
vote; in the case of elections this shall be decided by
lot.
|
|
Beschlüsse
können auch auf dem Weg der schriftlichen Zustimmung (durch Brief, Telefax
oder E-Mail) zu einem Antrag gefasst werden, sofern nicht ein Mitglied
mündliche Beratung verlangt. Diese Beschlüsse bedürfen der Einstimmigkeit
und sind zusammen mit den anderen Verwaltungsratsprotokollen
aufzubewahren.
|
Resolutions
may also be passed by way of written consent (by letter, fax or email)
provided no member has demanded an oral consultation. These resolutions
require unanimity and shall be kept with the minutes of the meetings of
the Board of Directors.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
22
|
|
|
Art.
30 Delegation und Ausschüsse
|
Art.
30 Delegation and
Committees
|
|
Der
Verwaltungsrat kann die Vorbereitung, die Ausführung seiner
Beschlüsse und die Überwachung von Geschäften Ausschüssen oder einzelnen
Mitgliedern zuweisen.
|
The
Board of Directors may delegate the preparation and implementation of its
resolutions and the oversight of business to committees or individual
members.
|
|
Unter
Vorbehalt seiner unübertragbaren und unentziehbaren Aufgaben ist
der Verwaltungsrat ferner befugt, die Geschäftsführung oder
einzelne Zweige derselben und die Vertretung der Gesellschaft an eine
oder mehrere Personen, Mitglieder des Verwaltungsrates (Delegierte)
oder Dritte (Direktoren oder Geschäftsführer), zu übertragen. Er legt die
dazu notwendigen Einzelheiten in einem Organisationsreglement
fest.
|
Subject
to its non-transferable and inalienable duties, the Board of Directors is
furthermore empowered to transfer management of the business or individual
branches of the same and the representation of the Company to one or more
persons, members of the Board of Directors (delegates) or third parties
(directors or managers). The Board of Directors shall stipulate the
necessary details in the Organizational Regulations.
|
|
Art.
31 Protokoll
|
Art.
31 Minutes
|
|
Über
die Verhandlungen und Beschlüsse des Verwaltungsrates ist ein Protokoll zu
führen. Das Protokoll ist vom Vorsitzenden und vom Sekretär zu
unterzeichnen. Besteht der Verwaltungsrat aus nur einem Mitglied, muss
auch dieser über seine Entscheidungen Protokoll führen.
|
Minutes
shall be recorded of the discussions and resolutions of the Board of
Directors. The minutes shall be signed by the Chairperson and the
Secretary. Where the Board of Directors consists of only one member, such
person must also keep a record of his decisions.
|
|
Die
Protokolle sind vom Verwaltungsrat jeweils in der nächsten Sitzung zu
genehmigen.
|
The
minutes shall be approved by the Board of Directors in the next
meeting.
|
|
Art.
32 Recht auf Auskunft und
Einsicht
|
Art.
32 Right to Information and
Inspection
|
|
Jedes
Mitglied des Verwaltungsrates kann Auskunft über alle Angelegenheiten der
Gesellschaft verlangen. In den Sitzungen sind alle Mitglieder
des Verwaltungsrates sowie die mit der Geschäftsführung
betrauten Personen zur Auskunft verpflichtet. Ausserhalb der
Sitzungen kann jedes Mitglied von den mit der Geschäftsführung
betrauten Personen Auskunft über den Geschäftsgang und, mit
Ermächtigung des Präsidenten, auch über einzelne Geschäfte
verlangen.
|
Each
member of the Board of Directors may demand information on all matters
concerning the Company. At meetings, all members of the Board of Directors
as well as the persons entrusted with the management of the Company are
under a duty to provide information. Outside the meetings, each member can
demand information from those persons entrusted with the management about
the course of business and, with the authorization of the president, about
individual transactions.
|
|
Soweit
es für die Erfüllung einer Aufgabe erforderlich ist, kann jedes
Mitglied dem Präsidenten beantragen, dass ihm Bücher und
Akten vorgelegt werden. Weist der Präsident ein Gesuch auf Auskunft,
Anhörung oder Einsicht ab, so entscheidet der Verwaltungsrat.
Regelungen oder Beschlüsse des Verwaltungsrates, die
das Recht auf Auskunft und Einsichtnahme der Mitglieder des
Verwaltungsrates erweitern, bleiben vorbehalten.
|
To
the extent it is necessary for the performance of a task, each member may
apply to the Chairman of the Board of Directors that the books and files
are made available to him. Where the Chairman of the Board of Directors
rejects an application for information, a hearing or inspection, the Board
of Directors shall decide. Regulations or resolutions of the Board of
Directors that provide the members of the Board of Directors with the
right to information and inspection remain
reserved.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
23
|
|
|
Art.
33 Zeichnungsberechtigung
|
Art.
33 Signature Power
|
|
Die
rechtsverbindliche Vertretung der Gesellschaft durch Mitglieder des
Verwaltungsrates und durch Dritte wird in einem Organisationsreglement
festgelegt.
|
The
due and valid representation of the Company by members of the Board of
Directors and other persons shall be set forth in Organizational
Regulations.
|
|
C.
Die Revisionsstelle
|
C. The
Auditors
|
|
Art.
34 Revision
|
Art.
34 Audit
|
|
Die
Generalversammlung wählt die Revisionsstelle.
|
The
general meeting of the shareholders shall elect the
Auditor.
|
|
Sie
kann auf die Wahl einer Revisionsstelle verzichten, wenn:
|
It
can waive the election of auditors where:
|
|
die
Voraussetzungen für eine ordentliche Revision nicht gegeben
sind;
|
the
requirements for an ordinary audit are not present;
|
|
die
Zustimmung sämtlicher Aktionäre vorliegt und;
|
the
consent of all shareholders has been given; and
|
|
die
Gesellschaft nicht mehr als zehn Vollzeitstellen im Jahresdurchschnitt
hat.
|
the
Company does not have more than ten full-time positions on average per
year.
|
|
Haben
die Aktionäre auf eine eingeschränkte Revision verzichtet, so gilt dieser
Verzicht auch für die nachfolgenden Jahre. Jeder Aktionär hat jedoch das
Recht, spätestens zehn Tage vor der Generalversammlung eine eingeschränkte
Revision zu verlangen. Die Generalversammlung muss diesfalls die
Revisionsstelle wählen.
|
Where
the shareholders have waived a limited statutory examination, this waiver
applies also to the following year. Each shareholder may, however, demand
a limited statutory examination at the latest ten days prior to the
general meeting of the shareholders. The general meeting of the
shareholders must in this case elect the Auditor.
|
|
Art.
35 Organisation der
Revisionsstelle
|
Art.
35 Organisation of the
Auditor
|
|
Als
Revisionsstelle können eine oder mehrere natürliche oder juristische
Personen oder Personengesellschaften gewählt werden.
|
One
or several individuals or legal persons or partnerships may be elected as
Auditors.
|
|
Wenigstens
ein Mitglied der Revisionsstelle muss seinen Wohnsitz, seinen Sitz oder
eine eingetragene Zweigniederlassung in der Schweiz haben.
|
As
a minimum one member of the Auditor shall be resident or have a registered
branch in Switzerland.
|
|
Muss
die Gesellschaft ihre Jahresrechnung durch eine Revisionsstelle ordentlich
prüfen lassen im Sinne von:
|
Where
the Company is required to arrange an ordinary audit of its annual
financial accounts by auditors pursuant to:
|
|
Art.
727 Abs. 1 Ziff. 2 oder Ziff. 3 OR;
|
Art.
727 paragraph 1 section 2 or section 3 CO;
|
|
Art.
727 Abs. 2 OR
|
Art.
727 paragraph 2 CO
|
|
wählt
die Generalversammlung einen zugelassenen Revisionsexperten nach den
Vorschriften des Revisionsaufsichtsgesetzes (RAG) als
Revisionsstelle.
|
the
general meeting of the shareholders shall elect a licensed audit expert in
accordance with the provisions of the Audit Oversight Act (RAG) as
auditors.
|
|
Ist
die Gesellschaft zur eingeschränkten Revision verpflichtet, kann als
Revisionsstelle auch ein zugelassener Revisor nach den Vorschriften des
RAG bezeichnet werden. Vorbehalten bleibt der Verzicht auf die Wahl einer
Revisionsstelle nach Art. 34.
|
Where
the Company is required to arrange a limited statutory examination a
licensed auditor in accordance with the provisions of the RAG may also be
appointed as auditors. Waiver of the election of auditors pursuant to Art.
34 remains
reserved.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
24
|
|
|
Die
Revisionsstelle muss im Sinne von Art. 728 bzw. 729 OR unabhängig
sein.
|
The
Auditor must be independent in accordance with Art. 728 respectively 729
CO.
|
|
Die
Revisionsstelle wird für ein Geschäftsjahr gewählt. Ihr Amt endet mit der
Abnahme der letzten Jahresrechnung. Die Wiederwahl ist möglich. Die
Generalversammlung kann die Revisionsstelle jederzeit mit sofortiger
Wirkung abberufen.
|
The
Auditor shall be appointed for one business year. Their term of office
shall end with the approval of the final annual financial accounts.
Re-appointment is possible. The general meeting of the shareholders may
remove the Auditor with immediate effect at any time.
|
|
D. Rechnungslegung
und Verwendung des Bilanzgewinnes
|
D. Rendering
of Accounts and Allocation of Balance Sheet Profit
|
|
Art.
36 Jahresrechnung
|
Art.
36 Annual Financial
Accounts
|
|
Die
Jahresrechnung wird jährlich auf den 31. Dezember oder auf einen anderen,
durch den Verwaltungsrat zu beschliessenden Termin
abgeschlossen.
|
The
annual financial accounts shall be closed annually on the 31 December or
another date determined by the Board of Directors.
|
|
Die
Erfolgsrechnung, die Bilanz und der Anhang sind mindestens gemäss den
gesetzlichen Bestimmungen von Art. 662a - 670 und 957 - 961 OR
aufzustellen.
|
The
profit and loss statement, the balance sheet and notes shall be compiled
as a minimum in accordance with the provisions of Art. 662a-670 and
957-961 CO.
|
|
Art.
37 Verwendung des
Jahresgewinnes
|
Art.
37 Application of the Annual
Profit
|
|
Vom
in der Jahresbilanz ausgewiesenen Jahresgewinn ist jährlich ein Betrag von
5 % der allgemeinen Reserve zuzuweisen, bis diese 20 % des
einbezahlten Aktienkapitals erreicht hat.
|
An
amount of 5 % of the annual profit identified in the annual financial
accounts is to be allotted to the general reserves until this has reached
20 % of the paid-up share capital.
|
|
Der
verbleibende Jahresgewinnsaldo und ein allfälliger Gewinnvortrag früherer
Geschäftsjahre stehen unter Vorbehalt der zwingenden gesetzlichen
Bestimmungen (Art. 671 ff. OR) zur freien Verfügung der
Generalversammlung. Der Verwaltungsrat unterbreitet der Generalversammlung
seine Vorschläge betreffend die Behandlung sämtlicher
Zuweisungen.
|
The
remaining annual profit and any balance of profit brought forward from
previous business years shall, pursuant to binding provisions of the law
(Art. 671 et seq. CO), be at the free disposal of the general meeting of
the shareholders. The Board of Directors shall submit its proposals with
respect to the treatment of any allocation to the general meeting of the
shareholders.
|
|
Die
Generalversammlung kann jederzeit die Errichtung von speziellen Reserven
neben den vom Gesetz vorgeschriebenen Reserven beschliessen und über deren
Verwendung bestimmen.
|
The
general meeting of the shareholders may at any time resolve to set up
special reserves in addition to those required by law and determine their
application.
|
|
Dividenden,
welche nicht innerhalb von fünf Jahren nach ihrem Auszahlungsdatum bezogen
werden, fallen an die Gesellschaft und werden in die allgemeinen
gesetzlichen Reserven gebucht.
|
Dividends
that have not been collected within five years after their payment date
shall enure to the Company and be allocated to the general statutory
reserves.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
25
|
|
|
E.
Schlussbestimmungen
|
E. Final
Provisions
|
|
Art.
38 Auflösung und Liquidation
|
Art.
38 Winding-up and
Liquidation
|
|
Die
Generalversammlung kann jederzeit die Auflösung der Gesellschaft
beschliessen. Die Auflösung und Liquidation sind gemäss den
Vorschriften von Art. 736 ff. OR durchzuführen.
|
The
general meeting of the shareholders may at any time resolve to wind-up the
Company. The winding-up and liquidation of the Company shall be performed
in accordance with Art. 736 et seq. CO.
|
|
Die
Befugnisse der Generalversammlung bleiben auch während der Liquidation mit
der Einschränkung gemäss Art. 739 OR bestehen. Insbesondere
unterliegt die Liquidationsrechnung der Genehmigung durch die
Generalversammlung.
|
The
powers of the general meeting of the shareholders shall also continue
during the liquidation, limited in accordance with Art. 739 CO. In
particular, the liquidation accounts are subject to the approval of the
general meeting of the shareholders.
|
|
Der
Verwaltungsrat besorgt die Liquidation, sofern diese nicht durch Beschluss
der Generalversammlung Dritten übertragen wird.
|
The
Board of Directors shall conduct the liquidation to the extent that this
is not transferred to a third party by a resolution of the general meeting
of the shareholders.
|
|
Die
Liquidatoren sind berechtigt, die Aktiven der Gesellschaft freihändig
zu veräussern.
|
The
liquidators may freely dispose of the assets of the
Company.
|
|
Nach
erfolgter Tilgung der Schulden wird das Vermögen nach Massgabe der
eingezahlten Beträge unter den Aktionären verteilt, soweit diese Statuten
nichts anderes vorsehen.
|
Upon
discharge of all liabilities, the assets of the Company shall be
distributed to the shareholders pursuant to the amounts paid-up, unless
these Articles of Association provide otherwise.
|
|
Art.
39 Mitteilungen und
Bekanntmachungen
|
Art.
39 Communications and
Notifications
|
|
Publikationsorgan
der Gesellschaft ist das Schweizerische Handelsamtsblatt. Der
Verwaltungsrat kann weitere Publikationsorgane
bestimmen.
|
The
Company shall make any announcements in the Swiss Official Gazette of
Commerce. The Board of Directors may appoint other publication
bodies.
|
|
Soweit
keine individuelle Benachrichtigung durch das Gesetz, börsengesetzliche
Bestimmungen oder diese Statuten verlangt wird, gelten sämtliche
Mitteilungen an die Aktionäre als gültig erfolgt, wenn sie im
Schweizerischen Handelsamtsblatt veröffentlicht worden sind. Die
Mitteilungen an die Namenaktionäre erfolgen im Falle der in Art. 14 Abs. 3
erwähnten Hinweise an ihre letzte im Aktienbuch eingetragene Adresse durch
Brief oder E-Mail. In allen anderen Fällen können die Mitteilungen
durch Veröffentlichung im Publikationsorgan erfolgen.
Bekanntmachungen an die Gläubiger erfolgen in den vom Gesetz
vorgeschriebenen Fällen durch Veröffentlichung im
Publikationsorgan. Finanzinstitute, welche Aktien für
wirtschaftlich Berechtigte halten und entsprechend im Aktienbuch
eingetragen sind, gelten als bevollmächtigte Empfänger.
|
To
the extent that individual notification is not required by law, stock
Exchange regulations or these Articles of Association, all communications
to the shareholders shall be deemed valid if published in the Swiss
Official Gazette of Commerce. Notices to the registered shareholders shall
in the case of the notifications set forth in Art. 14 paragraph 3 be sent
by letter or electronic mail to the last address registered in the Share
Register. In all other cases, they may be made by publication in the
Company's official instrument for publications. Notices to creditors shall
be given in the cases prescribed by law by publication in the Swiss
Official Gazette of Commerce. Financial institutions holding Shares
for beneficial owners and recorded in such capacity in the Share Register
shall be deemed to be authorized
recipients.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
26
|
|
|
Art.
40 Verbindlicher Originaltext
|
Art.
40 Original Language
|
|
Falls
sich zwischen der deutsch- und der englischsprachigen Fassung dieser
Statuten Differenzen ergeben, hat die deutschsprachige Fassung
Vorrang.
|
In
the event of deviations between the German and English version of these
Articles of Association, the German text shall prevail.
|
|
Art.
41 Definitionen
|
Art.
41 Definitions
|
|
Aktie
|
Shares
|
|
Der
Begriff
Aktie(n)
hat die in Art. 3 dieser Statuten aufgeführte Bedeutung.
|
The
term
Share(s)
has
the meaning assigned to it in Art. 3 of these Articles of
Association.
|
|
Aktienbuch
|
Share
Register
|
|
Der
Begriff
Aktienbuch
hat die in Art. 8 dieser Statuten aufgeführte Bedeutung.
|
The
term
Share
Register
has the meaning assigned to it in Art. 8 of these Articles
of Association.
|
|
Aktienkapital
|
Share
Capital
|
|
Der
Begriff
Aktienkapital
hat die in Art. 3 dieser Statuten aufgeführte
Bedeutung.
|
The
term
Share Capital
has the meaning assigned to it in Art. 3 of these Articles of
Association.
|
|
Börse
|
Exchange
|
|
Der
Begriff
Börse
bedeutet Einrichtungen des Wertschriftenhandels oder vergleichbare
Systeme, an welchen die Aktien der Gesellschaft gehandelt oder anderweitig
zeitweise zum Handel zugelassen sind.
|
The
term
Exchange
shall mean any securities exchange or other system on which the registered
Shares of the Company may be listed or otherwise authorized for trading
from time to time.
|
|
CHF
|
CHF
|
|
Der
Begriff
CHF
bedeutet Schweizer Franken und ist die gültige Schweizer
Währung.
|
The
term
CHF
shall
mean Swiss Francs, the legal currency in Switzerland.
|
|
Gesamtstimmen
|
Total
Voting Shares
|
|
Der
Begriff
Gesamtstimmen
bedeutet
die Gesamtzahl aller an einer Generalversammlung stimmberechtigen Aktien
unabhängig davon, ob die stimmberechtigten Aktien an der
Generalversammlung vertreten sind oder nicht.
|
Total Voting Shares
means the total number of Shares entitled to vote at a general meeting of
the shareholders whether or not represented at such
meeting.
|
|
Gesellschaft
|
Company
|
|
Der
Begriff
Gesellschaft
bedeutet Garmin Ltd.
|
The
term
Company
shall
mean Garmin Ltd.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
27
|
|
|
Marktwert
|
Fair
Market Value
|
|
Der
Begriff
Marktwert
bedeutet (i) im Falle von Aktien den höchsten Schlusskurs dieser Aktien
während der letzten 30 Tage vor dem massgeblichen Stichtag. Dabei
entspricht der Marktwert dem höchsten von der betreffenden Börse
gemeldeten Schlusskurs während der letzten 30 Tage vor dem massgeblichen
Stichtag und, falls eine solche Meldung nicht vorliegt, soll der Marktwert
dieser Aktien vom Verwaltungsrat in guten Treuen bestimmt werden, wobei er
dabei die Art der Aktien, allfällige Dividenden, Zuteilung von Aktien
sowie Aufteilungen oder Zusammenlegungen von Aktien berücksichtigt, und
(ii) im Fall von Vermögenswerten, die weder Aktien noch Bargeld sind, soll
der Marktwert vom Verwaltungsrat in guten Treuen per Stichtag bestimmt
werden.
|
The
term
Fair Market
Value
shall mean (i) in the case of shares, the highest closing
sale price of a share during the 30-day period immediately preceding the
date in question of such share admitted to trading on an Exchange or any
other system then in use, the Fair Market Value shall be the highest
closing sale price reported by the Exchange or such other system during
the 30-day period preceding the date in question, or, if no such
quotations are available, the Fair Market Value on the date in question of
such share as determined by the Board of Directors in good faith, in each
case with respect to any class of share, appropriately adjusted for any
dividend or distribution in shares or any combination or reclassification
of outstanding shares of such share into a smaller number of shares, and
(ii) in the case of property other than cash or shares, the Fair Market
Value of such property on the date in question as determined by the Board
of Directors in good faith.
|
|
Monat
|
Month
|
|
Der
Begriff
Monat
bedeutet ein Kalendermonat.
|
The
term
Month
shall
mean a calendar month.
|
|
Nahestehender
Aktionär
|
Interested
Shareholder
|
|
Der
Begriff
Nahestehender
Aktionär
bedeutet jede natürliche oder juristische Person (unter
Ausschluss der Gesellschaft) sowie deren Muttergesellschaften, (i) die
direkte oder indirekte Eigentümerin von mehr als 20 % der Stimmrechte der
ausgegebenen Aktien ist, oder die (ii) eine Nahestehende Gesellschaft der
Gesellschaft ist und irgendwann in den zwei unmittelbar vorangehenden
Jahren vor dem Zeitpunkt, zu dem bestimmt werden muss, ob diese Person ein
Nahestehender Aktionär ist, direkte oder indirekte Eigentümerin von 20 %
oder mehr der Stimmrechte der ausgegebenen Aktien war; oder (iii) Aktien
übertragen bekommen hat, die irgendwann in den zwei unmittelbar
vorangehenden Jahren vor dem Zeitpunkt, zu dem bestimmt werden muss, ob
eine Person ein Nahestehender Aktionär ist, direkt oder indirekt im
Eigentum eines Nahestehenden Aktionärs standen, sofern die Übertragung
(unabhängig davon ob in einer oder mehreren Transaktionen) ausserhalb
eines öffentlichen Angebots stattgefunden hat.
|
The term
Interested
Shareholder
shall mean any
person (other than the Company) and any holding company thereof who or
which (i)
is the beneficial owner directly or indirectly, of more
than twenty per cent (20%) of the voting power of the outstanding shares
of the Company; or, (ii) is an Affiliate of the Company and at any time
within the two-year period immediately prior to the date in question was
the beneficial owner, directly or indirectly, of twenty per cent (20%) or
more of the voting power of the then-outstanding shares; or (iii) is an
assignee of or has otherwise succeeded to any shares which were at any
time within the two-year period immediately prior to the date in question
beneficially owned by any Interested Shareholder, if such assignment or
succession shall have occurred in the course of a transaction or series of
transactions not involving a public offering.
|
|
Eine
natürliche oder juristische Person gilt dann nicht als Nahestehender
Aktionär, falls eine solche Person nur darum ein Nahestehender Aktionär
wird, weil die Anzahl der ausgegebenen Aktien der Gesellschaft reduziert
werden, unabhängig davon ob eine solche Reduktion auf den Rückkauf von
Aktien der Gesellschaft durch die Gesellschaft zurückzuführen ist. Die
Reduktion der ausgegebenen Aktien erhöht den prozentualen Anteil der
ausgegebenen Aktien im direkten oder indirekten Eigentum der betreffenden
Person bis diese Person direkte oder indirekte Eigentümerin zusätzlicher
Aktien wird.
|
A
person shall not be deemed an Interested Shareholder if such person would
become an Interested Shareholder solely as a result of a reduction of the
number of shares of the Company outstanding, including repurchases of
outstanding shares of the Company by the Company, which reduction
increases the percentage of outstanding shares of the Company of which
such person is the beneficial owner, until such person shall thereafter
become the beneficial owner of any additional
shares.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
28
|
|
|
Nahestehende
Gesellschaft
|
Affiliate
|
|
Der
Begriff
Nahestehende
Gesellschaft
bedeutet bezüglich einer Person, jede andere Person,
die direkt oder indirekt über eine oder mehrere Mittelspersonen die andere
Person kontrolliert, von dieser anderen Person kontrolliert wird, oder
unter gemeinsamer Kontrolle mit dieser anderen Person steht. Kontrolle
einschliesslich der Begriffe kontrollierend und kontrolliert im Sinne
dieser Definition bedeutet die Möglichkeit, direkt oder indirekt auf die
Geschäftsführung und die Geschäftspolitik einer Person Einfluss zu nehmen,
sei es aufgrund des Haltens von Stimmrechten oder auf andere
Weise.
|
The
term
Affiliate
shall mean with respect to any person, any other person controlling or
controlled by or under common control with such specified person. For the
purposes of this definition, "control", "controlling" and "controlled"
when used with respect to any specified person, means the power to direct
the management and policies of such person, directly or indirectly,
whether through the ownership of voting securities or
otherwise.
|
|
Nahestehende
Person
|
Associate
|
|
Der
Begriff
Nahestehende
Person
bedeutet, wenn verwendet zur Bezeichnung einer Beziehung zu
einer Zivilrechtlichen Person, (i) jede Kapitalgesellschaft, rechts- oder
nicht-rechtsfähige Personengesellschaft oder ein anderer Rechtsträger, von
welcher diese Zivilrechtliche Person Mitglied des Leitungs- oder
Verwaltungsorgans, der Geschäftsleitung oder Gesellschafter ist oder von
welcher diese Person, direkt oder indirekt, Eigentümerin von 20 % oder
mehr einer Kategorie von Aktien oder anderen Anteilsrechten ist, die ein
Stimmrecht vermitteln, (ii) jedes Treuhandvermögen (Trust) oder jede
andere Vermögenseinheit, an der diese Zivilrechtliche Person
wirtschaftlich einen Anteil von 20 % oder mehr hält oder in Bezug auf
welche diese Zivilrechtliche Person als Verwalter (trustee) oder in
ähnlich treuhändischer Funktion tätig ist, und (iii) jeder Verwandte, Ehe-
oder Lebenspartner dieser Person, oder jede Verwandte des Ehe- oder
Lebenspartners, jeweils soweit diese den gleichen Wohnsitz haben wie diese
Person.
|
The
term
Associate
,
when used to indicate a relationship with any Person, means (i) any
corporation, partnership, unincorporated association or other entity of
which such Person is a director, officer or partner or is, directly or
indirectly, the Owner of 20 % or more of any class of voting shares, (ii)
any trust or other estate in which such Person has at least a 20 %
beneficial interest or as to which such Person serves as trustee or in a
similar fiduciary capacity, and (iii) any relative or spouse of such
Person, or any relative of such spouse, who has the same residence as such
Person.
|
|
OR
|
CO
|
|
Der
Begriff
OR
hat die
in Art. 1 dieser Statuten aufgeführte Bedeutung.
|
The
term
CO
hast he
meaning assigned to it in Art. 1 of these Articles of
Association.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
29
|
|
|
Revisionsstelle
|
Auditor
|
|
Der
Begriff
Revisionsstelle
hat die
in Abschnitt C dieser Statuten aufgeführte Bedeutung.
|
The
term
Auditor
has
the meaning assigned to it in section C of these Articles of
Association.
|
|
Sekretär
|
Secretary
|
|
Der
Begriff
Sekretär
hat die in Art. 26 dieser Statuten aufgeführte
Bedeutung.
|
The
term
Secretary
has
the meaning assigned to it in Art. 26 of these Articles of
Association.
|
|
Sitz
|
Registered
Office
|
|
Der
Begriff
Sitz
hat
die in Art. 1 dieser Statuten aufgeführte Bedeutung.
|
The
term
Registered
Office
has the meaning assigned to it in Art. 1 of these Articles
of Association.
|
|
Statuten
|
Articles
of Association
|
|
Der
Begriff
Statuten
bedeutet die Statuten der Garmin Ltd. jeweils in ihrer aktuellsten
Fassung.
|
The
term
Articles of
Association
shall mean the Articles of Association of Garmin Ltd.
in their most recent version.
|
|
Tochtergesellschaft
|
Subsidiary
|
|
Der
Begriff
Tochtergesellschaft
bedeutet sämtliche juristischen Personen oder Personenvereinigung,
welche von einer anderen juristischen Person beherrscht
werden.
|
The
term
Subsidiary
shall mean any corporation, company, association, foundation or
other incorporated legal entity, that directly, or indirectly through one
or more intermediaries is under control of the person
specified.
|
|
Unabhängige
Verwaltungsräte
|
Independent
Directors
|
|
Der
Begriff
unabhängige
Verwaltungsräte
bedeutet Verwaltungsräte, welche im Sinne der
anwendbaren Bestimmungen derjenigen Börse, an welcher die Gesellschaft
kotiert ist, unabhängig sind.
|
The
term
Independent
Directors
shall mean members of the board who are recognized as
such by the rules and regulations of the Exchange.
|
|
Unparteiische
Mitglieder des Verwaltungsrates
|
Disinterested
Directors
|
|
Der
Begriff
Unparteiische
Mitglieder des Verwaltungsrates
bedeutet diejenigen Mitglieder des
Verwaltungsrates, welche keine Nahestehenden Personen von Nahestehenden
Aktionären sind und bereits Mitglieder des Verwaltungsrates waren, bevor
ein Nahestehender Aktionär ein Nahestehender Aktionär wurde und jedes
Verwaltungsratsmitglied, welches erst nachträglich eine Vakanz im
Verwaltungsrat schloss oder erst nachträglich gewählt wurde und in jedem
Fall keine Nahestehende Person des Nahestehenden Aktionärs ist und auf
Empfehlung einer Mehrheit der damaligen Unparteiischen Mitgliedern des
Verwaltungsrates gewählt wurde.
|
The
term
Disinterested
Directors
shall mean any members of the Board of Directors who are
unaffiliated with the Interested Shareholder and who were a member of the
Board of Directors prior to the time that the Interested Shareholder
became an Interested Shareholder, and any director who is thereafter
chosen to fill any vacancy on the Board of Directors or who is elected and
who, in either event, is unaffiliated with the Interested Shareholder, and
in connection with his or her initial assumption of office is recommended
for appointment or election by a majority of Disinterested Directors then
on the Board of
Directors.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
30
|
|
|
Verwaltungsrat
|
Board
of Directors
|
|
Der
Begriff
Verwaltungsrat
hat die
in Abschnitt B dieser Statuten aufgeführte Bedeutung.
|
The
term
Board of
Directors
has the meaning assigned to it in section B of these
Articles of Association.
|
|
Vewaltungsratspräsident
|
Chairman
of the Board of Directors
|
|
Der
Begriff
Verwaltungsratspräsident
(Präsident)
hat
die in Art. 26 dieser Statuten aufgeführte Bedeutung.
|
The
term
Chairman of the
Board of Directors (Chairman)
has the meaning assigned to it in
Art. 26 of these Articles of Association.
|
|
Zivilrechtliche
Person
|
Person
|
|
Der
Begriff
Zivilrechtliche
Person
bedeutet jede natürliche Person, Kapitalgesellschaft,
rechts- oder nichtrechtsfähige Personengesellschaft oder jeder andere
Rechtsträger.
|
The
term
Person
shall
mean any individual, corporation, partnership, unincorporated association
or other entity.
|
|
Zusammenschluss
|
Business
Combination
|
|
Der
Begriff
Zusammenschluss
bedeutet
(i) jede Fusion oder andere Form des Zusammenschlusses der Gesellschaft
oder einer ihrer Tochtergesellschaften mit (i) einem Nahestehenden
Aktionär (gemäss Definition in diesem Artikel) oder mit (ii) einer anderen
Gesellschaft oder Unternehmung (unabhängig davon, ob diese selber ein
Nahestehender Aktionär ist), falls diese eine Nahestehende Gesellschaft
eines Nahestehenden Aktionärs ist oder durch die Fusion oder
Zusammenführung eine solche wird oder (ii) jeder Verkauf, Vermietung oder
Verpachtung, Austausch, hypothekarische Belastung oder andere Verpfändung,
Übertragung oder andere Verfügung (ob in einer oder mehreren
Transaktionen) an oder für einen Nahestehenden Aktionär oder eine
Nahestehenden Gesellschaft eines solchen Nahestehenden Aktionärs bezüglich
Vermögenswerten der Gesellschaft oder einer ihrer Tochtergesellschaften
mit einem aggregierten Marktwert (gemäss Definition in diesem Artikel) der
mindestens 25 % des Marktwertes der gesamten Aktiven unmittelbar vor der
Transaktion entspricht, oder (iii) die Ausgabe oder Übertragung von
Anteilen der Gesellschaft oder einer ihrer Tochtergesellschaften (ob in
einer oder mehreren Transaktionen) mit einem aggregierten Marktwert, der
mindestens 25 % des Marktwertes der gesamten Aktiven unmittelbar vor der
Transaktion entspricht, an einen Nahestehenden Aktionär oder eine
Nahestehende Gesellschaft eines solchen Nahestehenden Aktionärs im
Austausch gegen Bargeld, Effekten oder anderen Vermögenswerten (oder einer
Kombination solcher Werte) mit Ausnahme der Ausgabe oder Übertragung von
Anteilen der Gesellschaft oder einer ihrer Tochtergesellschaften im
Zusammenhang mit einem Mitarbeiterbeteiligungsprogramm der Gesellschaft
oder einer ihrer Tochtergesellschaften, oder (iv) der Beschluss über die
Liquidation oder Auflösung der Gesellschaft auf Antrag oder im Namen eines
Nahestehenden Aktionärs oder einer einem Nahestehenden Aktionär
Nahestehenden Gesellschaft, oder (v) jede Änderung in der Klassifizierung
der Anteile der Gesellschaft (einschliesslich das Zusammenlegen von
Aktien), Rekapitalisierung der Gesellschaft, Fusion oder andere Form des
Zusammenschlusses der Gesellschaft mit einer ihrer Tochtergesellschaften
oder jede andere Transaktion (unabhängig davon, ob ein Nahestehender
Aktionär involviert ist), die zu einer direkten oder indirekten Erhöhung
des proportionalen Anteils der ausstehenden Anteile der Gesellschaft oder
einer ihrer Tochtergesellschaften unabhängig von der Art der ausstehenden
Anteilen (Aktien, Wandelanleihen) führen und die direkt oder indirekt
einem Nahestehenden Aktionär oder einer Nahestehenden Gesellschaft eines
Nahestehenden Aktionärs gehören (
„Unverhältnismässige
Transaktion“
), wobei eine solche Transkation dann nicht als
Unverhältnismässige Transaktion gelten soll, wenn die Erhöhung des Anteils
des Nahestehenden Aktionärs bzw. der Nahestehenden Gesellschaft des
Nahestehenden Aktionärs als Folge dieser Transaktion nicht grösser ist als
die Erhöhung der Anteile der übrigen Aktionäre.
|
|
The term
Business
Combination
shall mean (i)
any merger or consolidation of the Company or any subsidiary with
(i) any Interested Shareholder (as defined in this Article) or (ii) any
other company or other entity (whether or not itself an Interested
Shareholder) which is, or after such merger or consolidation would be, an
Affiliate of an Interested Shareholder; or (ii) any sale, lease, exchange,
mortgage, pledge, transfer or other disposition (in one transaction or a
series of transactions) to or with any Interested Shareholder, or any
Affiliate of any Interested Shareholder, of any assets of the Company or
any subsidiary having an aggregate Fair Market Value (as defined in this
Article) equaling or exceeding twenty-five percent (25%) of the Fair
Market Value of the combined assets immediately prior to such transfer of
the Company and its subsidiaries; or (iii) the issuance or transfer by the
Company or any subsidiary (in one transaction or a series of transactions)
to any Interested Shareholder or any Affiliate of any Interested
Shareholder in exchange for cash, securities or other property (or a
combination thereof), of any securities of the Company or any subsidiary
having an aggregate Fair Market Value equaling or exceeding twenty-five
percent (25%) of the Fair Market Value of the combined assets immediately
prior to such transfer of the Company and its subsidiaries except pursuant
to an employee benefit plan of the Company or any subsidiary thereof; or
(iv) the adoption of any plan or proposal for the liquidation or
dissolution of the Company proposed by or on behalf of any Interested
Shareholder or any Affiliate of any Interested Shareholder; or (v) any
reclassification of securities of the Company (including any reverse share
split), recapitalization of the Company, merger or consolidation of the
Company with any of its subsidiaries or other transaction (whether or not
with or into or otherwise involving an Interested Shareholder), which has
the effect, directly or indirectly, of increasing the proportionate share
of the outstanding shares of any class of equity or convertible securities
of the Company or any subsidiary which is directly or indirectly owned by
any Interested Shareholder or any Affiliate of any Interested Shareholder
(a
“Disproportionate
Transaction”
); provided, however, that no such transaction shall be
deemed a Disproportionate Transaction if the increase in the proportionate
ownership of the Interested Shareholder or Affiliate as a result of such
transaction is no greater than the increase experienced by the other
stockholders generally.
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
31
|
|
|
______________________________
|
______________________________
|
|
Zürich,
den 27. Juni 2010
|
Zurich,
June 27, 2010
|
Garmin
Ltd., Schaffhausen: Statuten / Articles of Association
|
32
|
|
|
|
Der
Vorsitzende:
|
Der
Protokollführer und Stimmenzähler:
|
|
The
chairperson
:
|
The
secretary and scrutineer:
|
|
|
|
Bernhard
Klauser
|
|
Andrew
R. Etkind
|
Part
I
|
FUNDAMENTALS
|
4
|
|
1
|
Purpose
|
4
|
|
2
|
Organization
|
4
|
|
3
|
Interpretation
|
4
|
|
Part
II
|
ORGANIZATIONAL
STRUCTURE
|
4
|
|
4
|
Corporate
Organization
|
4
|
|
Part
III
|
MANAGEMENT
PRINCIPLES
|
4
|
|
5
|
Principle
of Delegation
|
4
|
|
6
|
Principle
of Powers
|
5
|
|
7
|
Reservation
of Powers
|
5
|
|
Part
IV
|
BOARD
OF DIRECTORS
|
5
|
|
8
|
Constitution
|
5
|
|
9
|
Board
Composition
|
5
|
|
10
|
Powers
and Duties
|
5
|
|
11
|
Delegation
of Management
|
7
|
|
12
|
General
Management and Use of Seal
|
7
|
|
13
|
Meetings
|
7
|
|
14
|
Attendance
Quorum; Resolutions and Minutes
|
8
|
|
15
|
Information
and Reporting
|
9
|
|
16
|
Compensation
|
9
|
|
17
|
Interested
Directors
|
9
|
|
Part
V
|
CHAIRMAN
OF THE BOARD OF DIRECTORS
|
11
|
|
18
|
Powers
and Duties
|
11
|
|
Part
VI
|
BOARD
COMMITTEES
|
11
|
|
19
|
General
|
11
|
|
20
|
Individual
Board Committees
|
12
|
|
Part
VII
|
CHIEF
EXECUTIVE OFFICER (CEO)
|
12
|
|
21
|
Powers
and Duties
|
12
|
|
Part
VIII
|
PRESIDENT
|
12
|
|
22
|
Powers
and Duties
|
12
|
|
Part
IX
|
EXECUTIVE
MANAGEMENT, OFFICERS
|
12
|
|
23
|
Powers
and Duties
|
12
|
|
24
|
Support
for Chief Executive Officer
|
13
|
|
25
|
Term
of Office
|
13
|
|
Part
X
|
GENERAL
PROVISIONS
|
14
|
|
26
|
Signatory
Power
|
14
|
|
27
|
Insurance
|
14
|
|
28
|
Confidentiality
|
14
|
|
Part
XI
|
FINAL
PROVISIONS
|
14
|
|
29
|
Effectiveness
|
14
|
|
30
|
Change
of or Amendments to these Organizational Regulations
|
14
|
Part
I
|
FUNDAMENTALS
|
1
|
Purpose
|
1.1
|
These
Organizational Regulations are enacted by the board of directors of Garmin
Ltd. (the
“Company”
) pursuant to
Art. 716a and 716b of the Swiss Code of Obligations (
“CO”
) and Art. 30 of the
Company’s Articles of Association (the
“Articles of
Association”
).
|
1.2
|
These
Organizational Regulations govern the internal organization as well as the
duties, powers and responsibilities of the executive bodies of the
Company.
|
2
|
Organization
|
2.1
|
For
the purpose of these Organizational Regulations, the group (the
“Group”
) shall mean the
Company and all companies in which the Company holds directly or
indirectly a majority of the voting rights or has the right to appoint a
majority of the members of the board of directors. The executive bodies of
the Company shall duly respect the legal independence of all Group
companies and the local law applicable to
them.
|
3
|
Interpretation
|
3.1
|
Words
importing the singular number shall also include the plural number and
vice-versa.
|
3.2
|
Words
importing the masculine gender shall also include the feminine
gender.
|
Part
II
|
ORGANIZATIONAL
STRUCTURE
|
4
|
Corporate
Organization
|
4.1
|
The
Company shall have the following functions and
committees:
|
|
-
|
the
board of directors (the
“Board of
Directors”
);
|
|
-
|
the
chairman of the Board of Directors (the
“Chairman of the Board of
Directors”
);
|
|
-
|
the
vice-chairman of the Board of Directors (
“Vice-Chairman”
)
|
|
-
|
the
board committees established from time to time pursuant to these
Organizational Regulations (the
“Board
Committees”
);
|
|
-
|
the
chief executive officer ( the
“Chief Executive
Officer”
);
|
|
-
|
the
president (the
“President”)
;
|
|
-
|
one
or more vice-presidents (
“Vice-Presidents”
)
|
|
-
|
the
executive management of the Company (the
“Executive
Management”
);
|
|
-
|
a
secretary (the
“Secretary”
);
and
|
|
-
|
one
or more assistant secretaries (the
“Assistant
Secretary”
).
|
Part
III
|
MANAGEMENT
PRINCIPLES
|
5
|
Principle
of Delegation
|
5.1
|
Unless
a non-transferable or corporate body specific function allocation is
stipulated in mandatory statutory law, the Articles of Association or in
these Organizational Regulations all executive bodies shall delegate their
powers and duties downwards to the lowermost hierarchical level of
business respectively organ which is able to decide the matter
appropriately by virtue of its knowledge and
experience.
|
6
|
Principle
of Powers
|
6.1
|
Every
business unit and every organ shall have all powers required to take
appropriate decisions within their allocated scope of
duties.
|
7
|
Reservation
of Powers
|
7.1
|
Subject
to Sections 5 and 6 of these Organizational Regulations all executive
bodies shall at all times case by case or in line with general powers
reserved to them be entitled to intervene in the powers and duties of
their hierarchical subordinated corporate bodies and to transact business
dealings of those corporate bodies (“
Powers
Reserved
”).
|
Part
IV
|
BOARD
OF DIRECTORS
|
8
|
Constitution
|
8.1
|
Where
the Board of Directors consists of several persons it shall elect from
among its members one Chairman. It may elect one or more Vice-Chairman. It
shall further appoint a Secretary who does not need to be a member of the
Board (such member hereinafter referred to as a
“Director”
). The
Secretary shall keep the minutes of the General Meeting of the
Shareholders and the meetings of the Board of Directors and give notice of
such meetings and shall perform like duties for the Board Committees when
so required. In the case of the absence of the Secretary or his inability
to act, any Assistant Secretary (or, in the case of keeping minutes of the
General Meeting of the Shareholders or the meetings of the Board of
Directors or the Board Committees, any other person designated by the
presiding officer of such meeting) may act in the Secretary’s
place.
|
9
|
Board
Composition
|
9.1
|
In
selecting candidates for members of the Board of Directors the Board of
Directors shall give due consideration to the governance framework set
forth in the Corporate Governance Guidelines of the
Company.
|
9.2
|
Each
Director shall be at least 21 years of age. Directors need not be
shareholders of the Company.
|
10
|
Powers
and Duties
|
10.1
|
The
Board of Directors is the ultimate executive body of the Company and shall
determine the principles of the business strategy and policies. The Board
of Directors shall exercise its function as required by law, the Articles
of Association and these Organizational
Regulations.
|
10.2
|
The
Board of Directors shall be authorized to pass resolutions on all matters
that are not reserved to the General Meeting of the Shareholders or to
other executive bodies by applicable law, the Articles of Association or
these Organizational Regulations.
|
10.3
|
The
Board of Directors has the following powers and duties, among
others:
|
|
a)
|
the
supreme management of the Company and the issuance of the relevant
instructions in accordance with applicable law and
regulations;
|
|
b)
|
the
determination of the Company’s organizational structure, including the
promulgation and the amendment of these Organizational
Regulations;
|
|
c)
|
the
structuring of the Company’s accounting system, the financial controls and
the financial planning;
|
|
d)
|
the
overall supervision of the persons entrusted with the management of the
Company, in particular with regard to their compliance with applicable
law, the Articles of Association, these Organizational Regulations and
other applicable instructions and
guidelines;
|
|
e)
|
the
preparation, review and approval of the annual business report and the
financial statements of the Company as well as the preparation of the
General Meeting of the Shareholders and the implementation of its
resolutions;
|
|
f)
|
the
adoption of resolutions concerning an increase in the share capital of the
Company to the extent such power is vested in the Board of Directors (Art.
651 para. 4 CO) and of resolutions concerning the confirmation of capital
increases and corresponding amendments to the Article of Association, as
well as making the required report on the capital
increase;
|
|
g)
|
the
withdrawal or limitation of any preemptive rights or preferential
subscription rights, as applicable;
|
|
h)
|
the
notification of the judge if the liabilities of the Company exceed the
assets of the Company (case of overindebtedness; Art. 725
CO);
|
|
i)
|
the
establishment of the Company’s dividend
policy;
|
|
j)
|
the
proposal to the General Meeting of the Shareholders to increase or
decrease the size of the Board of Directors and of candidates for election
or reelection to the Board of Directors, upon recommendation of the
Nominating and Corporate Governance
Committee;
|
|
k)
|
the
response to any takeover offer for the
Company;
|
|
l)
|
the
establishment of any code of ethics and business
practice;
|
|
n)
|
the
approval of any agreements to which the Company is a party relating to
mergers, demergers, transformations and/or transfer of assets, to the
extent required pursuant to the Federal Act of 3 October 2003 on Merger,
Demerger, Transformation, and Transfer of Assets or the
CO;
|
|
o)
|
the
appointment and removal of the Chairman and of possible Vice-Chairman of
the Board of Directors (giving due consideration to the governance
framework set forth in the Corporate Governance Guidelines of the Company)
and the Secretary;
|
|
p)
|
the
appointment and removal of the members of the Board Committees and the
Executive Management, as well as the determination of their signatory
power;
|
|
q)
|
the
approval of the annual investment and operating
budget;
|
|
r)
|
the
approval of the share buybacks of the
Company;
|
|
s)
|
the
passing of resolutions concerning the setting-up or closure of branches,
subsidiaries or representative offices in any
form;
|
|
t)
|
the
formation of foundations in any form especially pension
funds;
|
|
u)
|
the
examination of compliance with the legal requirements regarding the
appointment, election and the professional qualifications of the external
auditors.
|
11
|
Delegation
of Management
|
11.1
|
To
the extent permitted by applicable law and stock exchange rules, the Board
of Directors herewith delegates, in the sense of Article 716b CO, the
management of the Company to the Chief Executive Officer and the Executive
Management.
|
12
|
General
Management and Use of Seal
|
12.1
|
The
Board of Directors shall provide for the safe custody of the seal which
shall only be used by the authority of the Board of Directors or of a
Board Committee authorised by the Board of Directors in that behalf, and
every instrument to which such seal shall be affixed shall be signed by a
Director and shall be countersigned by the Secretary or by a second
Director or by some other person appointed by the Board of Directors for
the purpose. The securities seal which shall be a facsimile of
the common seal with the word "Securities" engraved thereon shall be used
exclusively for sealing securities issued by the Company and for sealing
documents creating or evidencing securities so issued. The
Board of Directors may either generally or in any particular case resolve
that the securities seal or any signatures or any of them may be affixed
to certificates for shares, warrants, debentures or any other form of
security by facsimile or other mechanical means specified in such
authority or that any such certificates sealed with the securities seal
need not be signed by any person. Every instrument to which the
seal is affixed as aforesaid shall, as regards all persons dealing in good
faith with the Company, be deemed to have been affixed to that instrument
with the authority of the Directors previously
given.
|
12.2
|
The
Company may have a duplicate seal as and where the Board of Directors
shall determine, and the Company may by writing under the seal appoint any
agents or agent, committees or committee abroad to be the agents of the
Company for the purpose of affixing and using such duplicate seal and they
may impose such restrictions on the use thereof as may be thought
fit. Wherever in the Articles of Association or the
Organizational Regulations reference is made to the seal, the reference
shall, when and so far as may be applicable, be deemed to include any such
duplicate seal as aforesaid.
|
12.3
|
All
cheques, promissory notes, drafts, bills of exchange and other negotiable
instruments, and all receipts for moneys paid to the Company shall be
signed, drawn, accepted, indorsed or otherwise executed, as the case may
be, in such manner as the Board of Directors shall from time to time by
resolution determine. The Company's banking accounts shall be
kept with such banker or bankers as the Board of Directors shall from time
to time determine.
|
13
|
Meetings
|
13.1
|
The
Board of Directors may meet together for the dispatch of business, adjourn
and otherwise regulate its meetings and proceedings as it thinks fit in
any part of the world. The Board of Directors shall meet as often as
business demands but at least once a year. Regularly scheduled meetings of
the Board of Directors may be held at such time and at such place as shall
from time to time be determined by the Board of Directors. Special
meetings of the Board of Directors may be called by the Chairman of the
Board of Directors, the Chief Executive Officer, the President or a
majority of the Board of Directors. Any Director may, by giving written
reasons therefore, demand that a meeting of the Board of Directors be held
without delay.
|
13.2
|
The
Chairman of the Board of Directors, the President or a majority of the
Directors may at any time summon a meeting of the Board of Directors. As a
rule, at least five working days notice thereof shall be given to each
Director either in writing or by electronic transmission at the address or
telephone, facsimile or telex number from time to time notified to the
Company by such Director or in such other manner as the Board of Directors
may from time to time determine.
|
13.3
|
A
meeting of the Board of Directors or any Board Committees may be held by
means of a telephone or tele-conferencing or any other telecommunications
facility provided that all participants are thereby able to communicate
contemporaneously by voice with all other participants and participation
in a meeting pursuant to this provision shall constitute presence in
person at such meeting.
|
14
|
Attendance
Quorum; Resolutions and Minutes
|
14.1
|
The
attendance quorum necessary for the transaction of the business of the
Board of Directors shall be the absolute majority of the whole Board of
Directors. No attendance quorum shall be required for resolutions of the
Board of Directors providing for the confirmation of a capital increase or
for the amendment of the Articles of Association in connection therewith.
In absence of a quorum, a majority of the Directors present may adjourn
the meeting to another time and
place.
|
14.2
|
The
Board of Directors shall pass its resolutions with the majority of the
votes cast by the Directors present at a meeting at which the attendance
quorum of Art. 14 para. 1 above is satisfied. In case of an equality of
votes the Chairman of the Board of Directors shall have a second or
casting vote; in the case of elections this shall be decided by
lot.
|
14.3
|
Resolutions
of the Board of Directors or any Board Committee may be passed without a
meeting by way of unanimous written consent of the whole Board of
Directors or any Board Committee. A resolution in writing (in one or more
counterparts) signed by the whole Board of Directors or all the members of
any Board Committee, as applicable (including signed copies sent by
facsimile or email), shall be as valid and effectual as if it had been
passed at a meeting of the Board of Directors or Board Committee, as the
case may be, duly convened and
held.
|
14.4
|
The
Board of Directors shall cause minutes to be made for the purpose of
recording the proceedings at all meetings of the Board of Directors and
the Board Committees, respectively. The minutes shall be signed by the
acting chairman of the Board of Directors or the Board Committee and the
Secretary.
|
14.5
|
All
acts
bona fide
done by any meeting of the Board of Directors or by a Board Committee or
by any person acting as Director shall, notwithstanding that it shall be
afterwards discovered that there was some defect in the appointment of
such Director or persons acting as aforesaid or that they or any of them
were disqualified, be as valid as if every such person had been duly
appointed and was qualified to be a Director or member of such Board
Committee as the case may be.
|
14.6
|
The
continuing Directors may act notwithstanding any vacancy in their body,
but, if and so long as their number is reduced below the number fixed by
or pursuant to the Articles of Association as the necessary quorum of
Directors, the continuing Director or Directors may act for the purpose of
increasing the number of Directors to that number or of summoning a
General Meeting of the shareholders but for no other
purpose.
|
15
|
Information
and Reporting
|
15.1
|
At
board meetings, each Director is entitled to request and receive from
other Directors and from the Chief Executive Officer information on all
affairs of the Company.
|
15.2
|
Outside
of the meetings of the Board of Directors, each Director may request
information from the Chief Executive Officer on the general course of
business and, upon approval of the Chairman of the Board of Directors,
each Director may obtain information on specific transactions and/or
access to business documents.
|
16
|
Compensation
|
16.1
|
Each
member of the Board of Directors shall be entitled to receive by way of
remuneration for their services as a Director or Board Committee member or
for attendance at meetings of the Board of Directors or a Board Committee
such sum as shall from time to time be determined by the Board of
Directors, such sum to be divided amongst the Directors in such
proportions and in such manner as they may agree, or failing agreement,
equally, except that in such event any Director holding office for less
than the whole of the relevant period in respect of which the remuneration
is paid shall only rank in such division in proportion to the time during
such period for which he has held office. In determining Director’s
compensation, the Board of Directors shall give due consideration to the
governance framework set forth in the Corporate Governance Guidelines of
the Company as well as the recommendations of the Compensation Committee.
However, a Director who holds any salaried employment or office in the
Company or a subsidiary of the Company shall not be entitled to receive an
additional remuneration for his services as a Director or Board Committee
member.
|
16.2
|
The
Board of Directors may grant special remuneration to any Director, who
shall perform any special or extra services at the request of the
Company. Such special remuneration may be made payable to such
Director in addition to or in substitution for his ordinary remuneration
as a Director, and may be made payable by way of salary, commission or
participation in profits or otherwise as may be
agreed.
|
16.3
|
The
Directors shall be entitled to be paid all expenses, including travel
expenses, reasonably incurred by them in or in connection with the
performance of their duties as Directors including their expenses of
travelling to and from Board meetings, committee meetings or General
Meetings of the Shareholders or otherwise incurred whilst engaged on the
business of the Company or in the discharge of their duties as
Directors.
|
17
|
Interested
Directors
|
17.1
|
No
Director or proposed Director shall be disqualified by his office from
contracting with the Company either as vendor, purchaser or otherwise nor
shall any such contract or any contract or arrangement entered into by or
on behalf of the Company with any person, company or partnership of or in
which any Director shall be a member or otherwise interested be capable on
that account of being avoided, nor shall any Director so contracting or
being any member or so interested be liable to account to the Company for
any profit so realised by any such contract or arrangement by reason only
of such Director holding that office or the fiduciary relationship thereby
established, provided that such Director shall, if his interest in such
contract or arrangement is material, declare the nature of his interest at
the earliest meeting of the Board of Directors at which it is practicable
for him to do so, either specifically or by way of a general notice
stating that, by reason of the facts specified in the notice, he is to be
regarded as interested in any contracts of a specified description which
may subsequently be made by the
Company.
|
17.2
|
Any
Director may continue to be or become a director, managing director, joint
managing director, deputy managing director, executive director, manager
or other officer or member of any other company in which the Company may
be interested and (unless otherwise agreed between the Company and the
Director) no such Director shall be liable to account to the Company or
the members for any remuneration or other benefits received by him as a
director, managing director, joint managing director, deputy managing
director, executive director, manager or other officer or member of any
such other company. The Directors may exercise the voting
powers conferred by the shares in any other company held or owned by the
Company, or exercisable by them as directors of such other company in such
manner in all respects as they think fit (including the exercise thereof
in favour of any resolution appointing themselves or any of them
directors, managing directors, joint managing directors, deputy managing
directors, executive directors, managers or other officers of such
company) and any Director may vote in favour of the exercise of such
voting rights in manner aforesaid notwithstanding that he may be, or is
about to be, appointed a director, managing director, joint managing
director, deputy managing director, executive director, manager or other
officer of such a company, and that as such he is or may become interested
in the exercise of such voting rights in the manner
aforesaid.
|
17.3
|
A
Director may hold any other office or place of profit with the Company
(except that of Auditor) in conjunction with his office of Director for
such period and upon such terms as the Board may determine, and may be
paid such extra remuneration therefor (whether by way of salary,
commission, participation in profit or otherwise) as the Board may
determine, and such extra remuneration shall be in addition to any
remuneration provided for by or pursuant to any other
Article.
|
17.4
|
No
person shall be disqualified from the office of Director prevented by such
office from contracting with the Company, either as vendor, purchaser or
otherwise, nor shall any such contract or any contract or transaction
entered into by or on behalf of the Company in which any Director shall be
in any way interested be or be liable to be avoided, nor shall any
Director so contracting or being so interested be liable to account to the
Company for any profit realised by any such contract or transaction by
reason of such Director holding office or of the fiduciary relation
thereby established. A Director shall be at liberty to vote in respect of
any contract or transaction in which he is so interested as aforesaid
provided however that the nature of the interest of any Director in any
such contract or transaction shall be disclosed by him at or prior to its
consideration and any vote thereon.
|
17.5
|
A
general notice or disclosure to the Directors or otherwise contained in
the minutes of a Meeting or a written resolution of the Directors or any
committee thereof that a Director is a shareholder of any specified firm
or company and is to be regarded as interested in any transaction with
such firm or company shall be sufficient disclosure under Article 17 and
after such general notice it shall not be necessary to give special notice
relating to any particular
transaction.
|
Part
V
|
CHAIRMAN
OF THE BOARD OF DIRECTORS
|
18
|
Powers
and Duties
|
18.1
|
The
Chairman of the Board of Directors shall preside at all meetings of the
Board of Directors.
|
18.2
|
Further,
the Chairman of the Board of Directors has the following powers and
duties:
|
|
a)
|
contacting
the Chief Executive Officer between meetings of the Board of Directors in
order to be informed about important business
developments;
|
|
b)
|
preparing
the agenda for the General Meetings of the Shareholders and the meetings
of the Board of Directors;
|
|
c)
|
presiding
over the General Meetings of the Shareholders and the meetings of the
Board of Directors;
|
|
d)
|
informing
the full Board of Directors without delay of material extraordinary
events; and
|
|
e)
|
performing
any other matters reserved by law, the Articles of Association or these
Organizational Regulations to the Chairman of the Board of
Directors.
|
|
f)
|
coordination
of the Board Committees. The Chairman of the Board of Directors shall
receive all invitations to and all minutes of any board committee meeting
and shall be entitled to attend any such meeting as long as there are no
matters discussed and resolved which affect his personal interests or
those of Related Persons;
|
|
g)
|
representation
of the overall interests of the Company towards third
parties.
|
18.3
|
The
Chairman of the Board of Directors shall act as chairman of the meetings
of the Board; but if no such chairman is elected, or if at any meeting the
chairman is not present within 15 minutes after the time appointed for
holding the same, the Directors present may choose one of their number to
be chairperson of the meeting.
|
Part
VI
|
BOARD
COMMITTEES
|
19
|
General
|
19.1
|
The
Board of Directors may delegate any of its powers to Board Committees
consisting of such member or members of the Board of
Directors as the Board of Directors thinks fit, and it may from
time to time revoke such delegation or revoke the appointment of and
discharge any Board Committee either wholly or in part, and either as to
persons or purposes, but every Board Committee so formed shall in the
exercise of the powers so delegated conform to any regulations that may
from time to time be imposed upon it by the Board of
Directors.
|
19.2
|
All
acts done by any such Board Committee in conformity with such regulations
and in fulfilment of the purposes for which it is appointed, but not
otherwise, shall have the like force and effect as if done by the Board of
Directors, and the Board of Directors shall have power, to remunerate the
members of any such Board Committee, and charge such remuneration to the
current expenses of the Company.
|
19.3
|
The
meetings and proceedings of any such Board Committee consisting of two or
more members of the Board of Directors shall be governed by the provisions
herein contained for regulating the meetings and proceedings of the Board
of Directors so far as the same are applicable thereto and are not
replaced by any regulations imposed by the Board of Directors pursuant to
Article 19 para. 2 of these Organizational
Regulations.
|
20
|
Individual
Board Committees
|
20.1
|
The
Board Committees shall be:
|
|
the
Audit Committee;
|
|
the
Compensation Committee;
|
|
the
Nominating and Corporate Governance Committee;
and
|
|
any
other Board Committees designated by the Board of
Directors
|
20.2
|
For
so long as the shares of the Company are quoted on a domestic or foreign
Exchange (as defined in the Articles of Association of the Company), it
shall establish and maintain an Audit Committee as a committee of the
Board PROVIDED ALWAYS THAT unless otherwise permitted by applicable law
and the rules of the Exchange there shall be a minimum of three members of
the Audit Committee and all of the members of the Audit Committee shall be
Independent Directors. The Audit Committee shall comply with the rules or
regulations of the Exchange as promulgated from time to time so long as
the shares of the Company are listed on the Exchange. The responsibilities
of the Audit Committee shall include all such matters as are required by
applicable law and the rules and regulations of the
Exchange.
|
Part
VII
|
CHIEF
EXECUTIVE OFFICER (CEO)
|
21
|
Powers
and Duties
|
21.1
|
The
Chief Executive Officer shall have the general control and management of
the business and affairs of the Company, subject to the direction and
control of the Board of Directors. The Chief Executive Officer shall see
that all orders and resolutions of the Board of Directors are carried into
effect, and shall exercise or perform such other powers and duties as may
from time to time be assigned to the Chief Executive Officer by the Board
of Directors or any Board Committee empowered to authorize the same. The
Chief Executive Officer may sign and execute in the name of the Company
deeds, mortgages, bonds, contracts or other instruments authorized by the
Board of Directors or any Board Committee empowered to authorize the
same.
|
Part
VIII
|
PRESIDENT
|
22
|
Powers
and Duties
|
22.1
|
The
President shall exercise or perform such powers and duties as may from
time to time be assigned to the President by the Chief Executive Officer
or the Board of Directors. The President may sign and execute in the name
of the Company deeds, mortgages, bonds, contracts or other instruments
authorized by the Chief Executive Officer, Board of Directors or any Board
Committee empowered to authorize the
same.
|
Part
IX
|
EXECUTIVE
MANAGEMENT, OFFICERS
|
23
|
Powers
and Duties
|
23.1
|
Each
Vice-President shall have such powers and duties as shall be prescribed by
the Chief Executive Officer, the President, the Chairman of the Board of
Directors, or the Board of Directors. Any Vice President may sign and
execute in the name of the Company deeds, mortgages, bonds, contracts or
other instruments authorized by the Board of Directors or any Board
Committee empowered to authorize the
same.
|
23.2
|
The
Treasurer shall perform all duties incident to the office of Treasurer and
such other duties as from time to time may be assigned to the Treasurer by
the Chief Executive Officer, the President, the Chairman of the Board of
Directors or the Board of
Directors.
|
23.3
|
In
addition to the duties set forth in Article 8, it shall be the duty of the
Secretary to act as secretary at all meetings of the Board of Directors
and to record the proceedings of such meetings in a book or books to be
kept for that purpose; the Secretary shall see that all notices required
to be given by the Company are duly given and
served.
|
23.4
|
The
Secretary shall have charge of the register of shareholders and also of
the other books, records, and papers of the Company and shall see that the
reports, statements and other documents required by law are properly kept
and filed; and the Secretary shall in general perform all the duties
incident to the office of Secretary and such other duties as from time to
time may be assigned to such person by the Chief Executive Officer, the
President, the Chairman of the Board of Directors or the Board of
Directors.
|
23.5
|
A
provision of the Law or of the Articles of Association or these
Organizational Regulations requiring or authorising a thing to be done by
or to a Director and the Secretary shall not be satisfied by
its being done by or to the same person acting both as Director and as or
in place of the Secretary.
|
23.6
|
The
Controller shall perform all of the duties incident to the office of the
Controller and such other duties as from time to time may be assigned to
such person by the Chief Executive Officer, the President, the Chairman of
the Board of Directors or the Board of
Directors.
|
23.7
|
The
Assistant Treasurers, the Assistant Secretaries and the Assistant
Controllers shall perform such duties as shall be assigned to them by the
Treasurer, Secretary or Controller, respectively, or by the Chief
Executive Officer, the President, the Chairman of the Board of Directors
or the Board of Directors.
|
23.8
|
The
Board of Directors may from time to time authorize any officer to appoint
and remove any other officer or agent and to prescribe such person’s
authority and duties. Any person may hold at one time two or more offices.
Each officer shall have such authority and perform such duties, in
addition to those specified in these Organizational Regulations, as may be
prescribed by the Board of Directors from time to
time.
|
24
|
Support
for Chief Executive Officer
|
24.1
|
The
Executive Management supports the Chief Executive Officer in the discharge
of his powers and duties. It has consultative and coordinating
functions.
|
25
|
Term
of Office
|
25.1
|
Each
officer shall hold office for the term for which appointed by the Board of
Directors, and until the officer’s successor has been appointed and
qualified or until such officer’s earlier resignation or removal. Any
officer may be removed by the Board of Directors, with or without cause.
The election or appointment of an officer shall not in and of itself
create contractual rights against the Company. Any officer may resign at
any time by giving written notice to the Board of Directors or the
Secretary. Any such resignation shall take effect at the time specified
therein, or if such time is not specified therein, then upon receipt of
such notice, and, unless otherwise specified therein, the acceptance of
such resignation shall not be necessary to make it
effective.
|
Part
X
|
GENERAL
PROVISIONS
|
26
|
Signatory
Power
|
26.1
|
The
Directors, officers and other persons authorized to represent the Company
and the subsidiaries shall have single or joint signatory power, as
determined appropriate by the Board of
Directors.
|
27
|
Insurance
|
27.1
|
The
Company may procure directors’ and officers’ liability insurance for the
Directors and for officers of the Company. Any costs of insurance shall be
charged to the Company or its
subsidiaries.
|
28
|
Confidentiality
|
28.1
|
The
members of the managing bodies are obliged to treat as absolutely
confidential all facts to which they are privy during the exercise of
their duties and shall not divulge or disclose these to third parties.
This obligation shall last beyond the termination of their engagement with
the Company.
|
28.2
|
All
documents shall be carefully stored and must be returned to the Company at
the latest upon termination of the engagement for the
Company.
|
Part
XI
|
FINAL
PROVISIONS
|
29
|
Effectiveness
|
29.1
|
These
Organizational Regulations shall become effective upon approval by the
Board of Directors.
|
30
|
Change
of or Amendments to these Organizational
Regulations
|
30.1
|
Any
change of or amendment to these Organizational Regulations shall only be
valid if the Board of Directors approved such change or amendment with the
attendance quorum and the majority as set forth in Art. 14 para. 1, 2 and
3 respectively of these Organizational
Regulations.
|
Agreement
|
This
Transaction Agreement
|
Capital
Increase
|
Has
the meaning ascribed to it in Section 2
|
Equity
Compensation
and
Benefit Plans
|
The
long-term incentive plans and awards, and other employee benefit plans and
arrangements sponsored by Garmin Cayman or its affiliates, that have
issued Garmin Cayman shares, or otherwise held, made available, or used
Garmin Cayman shares to measure benefits and any long-term or short-term
cash-bonus or other incentive plans maintained by Garmin Cayman, and any
other employee benefit plan or arrangement that has been maintained by
Garmin Cayman which Garmin Switzerland determines is appropriate to be
maintained by Garmin Switzerland following the
Redomestication
|
Exchange
Shares
|
Has
the meaning ascribed to it in Section 2(a)
|
Formation
Shares
|
Has
the meaning ascribed to it in the introductory
paragraph
|
Garmin
Cayman
|
Has
the meaning ascribed to it in the introductory
paragraph
|
Garmin
Switzerland
|
Has
the meaning ascribed to it in the introductory
paragraph
|
Redomestication
|
Has
the meaning ascribed to it in Section 1(a)
|
Scheme
of Arrangement
|
Has
the meaning ascribed to it in Section 1(a)
|
Scheme
Shareholders
|
Has
the meaning ascribed to it in Section 2(a)
|
Share
Buy Back
|
Means
the Garmin Cayman share repurchase program announced in February 2010 for
the repurchase of shares of Garmin Cayman with a total value of
approximately USD $300 million
|
Transaction
Time
|
Has
the meaning ascribed to it in the Scheme of
Arrangement
|
GARMIN
LTD.,
|
|
a
Cayman Islands corporation
|
|
By:
|
/s/ Kevin S. Rauckman
|
Name:
Kevin S. Rauckman
|
|
Title:
Chief Financial Officer and Treasurer
|
|
GARMIN
LTD.,
|
|
a
Swiss corporation
|
|
By:
|
/s/ Andrew R. Etkind
|
Name:
Andrew R. Etkind
|
|
Title:
Authorized
Signatory
|
(A)
|
Garmin-Cayman ist eine
Gesellschaft mit Sitz in Camana Bay, Cayman Islands, deren Aktien
(
common
shares
) am NASDAQ
Global Select Market ("NASDAQ") kotiert sind. Das Aktienkapital
(
authorized
share capital
) von
Garmin-Cayman beträgt USD 6,000,000, eingeteilt in 1,000,000,000 Aktien
(
common
shares
) mit einem
Nennwert von je USD 0.005 und 1,000,000 Vorzugsaktien (
preferred
shares
) mit einem
Nennwert von je USD 1, von denen 200,670,000 Aktien (
common
shares
) ausgegeben
sowie voll einbezahlt und die übrigen Aktien nicht ausgegeben sind.
Vorzugsaktien wurden nicht
ausgegeben.
|
(B)
|
Garmin-Schweiz
ist eine Aktiengesellschaft mit Sitz in Schaffhausen, Kanton Schaffhausen,
die zu 100% von Garmin-Cayman gehalten wird. Das im Handelsregister
eingetragene Aktienkapital von Garmin-Schweiz beträgt CHF 100,000,
eingeteilt in 10,000,000 Namenaktien mit einem Nennwert von je CHF 0.01.
An einer ausserordentlichen Generalversammlung von Garmin-Schweiz, die am
27. Juni 2010 um [...] Uhr (MEZ) stattgefunden hat, wurde beschlossen, das
Aktienkapital von Garmin-Schweiz von CHF 100,000 gegen Sacheinlage um CHF
2,106,600,000 auf CHF 2,106,700,000 durch eine Nennwerterhöhung und durch
die Ausgabe von 200,670,000 voll liberierten Namenaktien von je CHF 10
Nennwert zu einem Ausgabepreis von CHF 10 pro Aktie im Rahmen einer
ordentlichen Kapitalerhöhung (die "Ordentliche Kapitalerhöhung") zu
erhöhen. Die Durchführung der Ordentlichen Kapitalerhöhung erfolgt im
Rahmen der nachfolgend beschriebenen
Transaktionen.
|
(C)
|
Gemäss
den Bestimmungen des Scheme of Arrangement nach dem Recht der Cayman
Islands in Sachen Garmin-Cayman (das "Scheme"), das von den Aktionären von
Garmin-Cayman am 20. Mai 2010, und von dem Grand Court of the Cayman
Islands am 4. Juni 2010 genehmigt wurde, hat jeder Aktionär von
Garmin-Cayman, der im Zeitpunkt unmittelbar vor dem Vollzug der unter dem
Scheme abgewickelten Transaktion (die "Transaktion") Aktien (
common shares
) hält,
Anspruch auf eine Namenaktie von Garmin-Schweiz im Austausch für eine
Aktie (
common
share
) von Garmin-Cayman. Dieser Aktientausch, als Folge dessen
Garmin-Cayman eine hundertprozentige Tochtergesellschaft von
Garmin-Schweiz wird, erfolgt im Einzelnen wie
folgt:
|
|
(1)
|
Mit
Wirksamwerden und nach Massgabe des Scheme bringt Garmin-Cayman, auf
Rechnung der Aktionäre von Garmin-Cayman, ihre sämtlichen ausgegebenen und
ausstehenden Aktien
(common shares)
im
Rahmen einer Sacheinlage in Garmin-Schweiz ein. Garmin-Cayman trägt
Garmin-Schweiz als Aktionärin mit Stimmrecht in das Aktienregister
ein.
|
|
(2)
|
Der
Verwaltungsrat von Garmin-Schweiz führt, gestützt auf die Ermächtigung der
ausserordentlichen Generalversammlung, die am 27. Juni 2010 um [...] Uhr
(MEZ) stattgefunden hat, die Ordentliche Kapitalerhöhung durch mittels (a)
Sacheinlage aller Aktien
(common shares)
von
Garmin-Cayman mit einem Nennwert von je USD 0.005, (b) anschliessender
Nennwerterhöhung von CHF 0.01 auf CHF 10 pro Aktie sowie Ausgabe von
200,670,000 neuen Namenaktien von Garmin-Schweiz mit einem Nennwert von je
CHF 10 und (c) Eintragung der geänderten Statuten von Garmin-Schweiz im
Handelsregister.
|
|
(3)
|
Garmin-Schweiz
gibt sämtliche im Rahmen der Ordentlichen Kapitalerhöhung geschaffenen
neuen Namenaktien mit einem Nennwert von je CHF 10 an die Aktionäre von
Garmin-Cayman (wobei auf den Zeitpunkt unmittelbar vor Vollzug der
Transaktionen abgestellt wird) aus.
|
(D)
|
Die
Aktionäre von Garmin-Cayman haben am 20. Mai 2010, und der Grand Court of
the Cayman Islands (der "Court") hat am 4. Juni 2010 das Scheme genehmigt.
Eine Kopie des Genehmigungsentscheids des Courts wurde am 4. Juni 2010
beim Registrar of Companies eingereicht und das Scheme wurde gemäss seinen
Bestimmungen am 27. Juni 2010
wirksam.
|
1.
|
Sacheinlage
|
2.
|
Übernahmepreis
|
3.
|
Verfügungsmacht
|
4.
|
Zusicherungen
und Gewährleistungen
|
|
(a)
|
Garmin-Cayman
ist eine nach dem Recht der Cayman Islands
gültig
|
|
gegründete
und fortbestehende Gesellschaft
(exempted
company);
|
|
(b)
|
Die Garmin-Cayman Aktien sind bei
Vollzug frei von Pfandrechten, Optionen oder anderen Rechten Dritter
jeglicher Art (insbesondere Bezugsrechten);
und
|
|
(c)
|
Unmittelbar nach Eintragung der
Ordentlichen Kapitalerhö
hung
in das Handelsregister kann
Garmin-Schweiz ü
ber
die Garmin-Cayman Aktien frei verfü
gen.
|
5.
|
Übergang
von Nutzen und Gefahr
|
6.
|
Vollzug
|
6.1
|
Vollzugsdatum
|
6.2
|
Vollzugshandlungen
|
|
(a)
|
Garmin-Cayman
nimmt alle nach dem Recht der Cayman Islands
erforderlichen
|
|
Handlungen
vor (oder lässt diese vornehmen), und unterzeichnet oder händigt alle nach
diesem Recht erforderlichen Dokumente aus (oder veranlasst deren
Unterzeichnung und Aushändigung), um die Garmin-Cayman Aktien mittels
Sacheinlage in Garmin-Schweiz einzubringen und nach Eintragung der
Sacheinlage in das Handelsregister diese als Aktionärin mit vollem
Stimmrecht in das Aktienregister
einzutragen.
|
|
(b)
|
Garmin-Cayman,
welche auf Rechnung ihrer Aktionäre und im eigenen Namen und auf eigene
Rechnung handelt, zeichnet sowohl die Nennwerterhöhung sowie alle neu
auszugebenden Garmin-Schweiz Aktien in Übereinstimmung mit Artikel 630 und
Artikel 650 des Schweizerischen Obligationenrechts ("OR"). Nach Ausgabe
der Garmin-Schweiz Aktien nimmt Garmin-Cayman alle erforderlichen
Handlungen vor, oder lässt diese vornehmen, um die Garmin-Schweiz Aktien
rechtswirksam an ihre Aktionäre zu
übertragen.
|
|
(c)
|
Garmin-Schweiz,
handelnd durch den Verwaltungsrat, nimmt alle nach schweizerischem
Gesellschaftsrecht erforderlichen Schritte vor, um die Garmin-Schweiz
Aktien rechtswirksam auszugeben,
insbesondere.
|
|
(i)
|
gibt
der Verwaltungsrat den Kapitalerhöhungsbericht gemäss Artikel 652e OR
ab;
|
|
(ii)
|
veranlasst
der Verwaltungsrat die Revisionsstelle der Garmin-Schweiz, die
Prüfungsbestätigung gemäss Artikel 652f OR
abzugeben;
|
|
(iii)
|
nimmt
der Verwaltungsrat den Zeichnungsschein von Garmin-Cayman
entgegen;
|
|
(iv)
|
beschliesst
der Verwaltungsrat die Durchführung der Ordentlichen Kapitalerhöhung und
stellt in öffentlicher Urkunde fest, dass die Bedingungen von Artikel 652g
OR erfüllt sind; und
|
|
(v)
|
reicht
der Verwaltungsrat eine Handelsregisteranmeldung betreffend die
Ordentliche Kapitalerhöhung sowie die übrigen von der ausserordentlichen
Generalversammlung, die am 27. Juni 2010 um [...] Uhr (MEZ),
stattgefunden hat, genehmigten Änderungen der Statuten von Garmin-Schweiz,
einschliesslich (ohne Einschränkung) die Schaffung eines genehmigten und
eines bedingten Kapitals, ein, zusammen mit den entsprechenden
Belegen.
|
7.
|
Allgemeine
Bestimmungen
|
7.1
|
Kosten
|
7.2
|
Sprache
|
7.3
|
Anwendbares
Recht / Gerichtsstand
|
By:
Andrew R. Etkind
|
|
Title: Vice
President, General Counsel and Secretary
|
By:
Bernhard Klauser
|
|
Title: Member
of the Board of Directors
|
|
Zeichnungsschein
/
Subscription
Form
|
Garmin
Ltd., Cayman Islands
|
||
Ort,
Datum / place, date
|
represented
by Andrew R.
Etkind
|
"Allowed
Proceeding"
|
Any
Proceeding by a Scheme Shareholder to enforce its rights under this Scheme
where any party fails to perform its obligations under this
Scheme.
|
"Business
Day"
|
Any
day other than (1) a day on which banks are required or permitted by law
to be closed in New York, USA, the Cayman Islands, or Schaffhausen,
Switzerland; or (2) a day on which the NASDAQ is closed for
trading.
|
"Cayman
Court"
|
The
Grand Court of the Cayman Islands and any court capable of hearing appeals
therefrom.
|
"Code"
|
The
U.S. Internal Revenue Code of 1986, as
amended.
|
"Companies
Law"
|
The
Companies Law (2009 Revision) of the Cayman Islands, and its predecessors,
as consolidated and revised from time to
time.
|
"Garmin-Cayman"
|
Garmin
Ltd., an exempted company incorporated in the Cayman Islands with limited
liability, the common shares of which are currently listed on the
NASDAQ.
|
"Garmin-Switzerland
Shares"
|
registered
shares of Garmin-Switzerland to be issued pursuant to Clause
2.
|
"Garmin-Switzerland"
|
Garmin
Ltd., a company incorporated under the laws of Switzerland with limited
liability with its registered office in the town of Schaffhausen in the
Canton of Schaffhausen, Switzerland, and with registered number
CH-290.3.016.704-3.
|
"Latest
Practicable Date"
|
29
March, 2010, being the latest practicable date for the purposes of
ascertaining certain information contained
herein.
|
"Parties"
|
Garmin-Cayman,
Garmin-Switzerland and the Scheme
Shareholders.
|
"Proceeding"
|
Any
process, suit, action, legal or other proceeding, including without
limitation any arbitration, mediation, alternative dispute resolution,
judicial review, adjudication, demand, execution, restraint, forfeiture,
re-entry, seizure, lien, enforcement of judgment, enforcement of any
security or enforcement of any letters of
credit.
|
"Prohibited
Proceeding"
|
Any
Proceeding against Garmin-Cayman or Garmin-Switzerland or their
subsidiaries or property, or any of their directors, officers, employees
or agents, in any jurisdiction whatsoever other than an Allowed
Proceeding.
|
"Proxy
Statement"
|
The
proxy statement of Garmin-Cayman dated [*], 2010 issued to the Scheme
Shareholders in connection with this Scheme by order of the Cayman Court
on [6 April], 2010.
|
"Register"
|
The
register of members of Garmin-Cayman.
|
"Scheme
Meeting"
|
The
class meeting of the Scheme Shareholders convened by the Cayman Court for
the purposes of considering, and if seen fit, approving this
Scheme.
|
"Scheme
Shareholders"
|
The
registered holders of the Scheme Shares, as recorded on the
Register.
|
"Scheme
Shares"
|
Common
shares issued by Garmin-Cayman with a par value US$0.005 per
share.
|
"Scheme"
|
This
scheme of arrangement in its present form or with or subject to any
modifications, additions or conditions which the Cayman Court may approve
or impose.
|
"Transaction
Time"
|
The
time at which Part I of this Scheme becomes effective in accordance with
Clause 5 of this Scheme.
|
"Transaction"
|
The
transaction to be effected by this
Scheme.
|
(A)
|
Garmin-Cayman
was incorporated as an exempted company on 24 July 2000 in the Cayman
Islands under the Companies Law. The authorised share capital
of Garmin-Cayman is US$6,000,000 divided into 1,000,000,000 common shares
of par value US$0.005 each and 1,000,000 preferred shares of a par value
of US$1.00 each. As at the Latest Practicable Date, 199,128,294
Garmin-Cayman common shares were issued and fully paid, and no preferred
shares had been issued.
|
(B)
|
Garmin-Cayman
proposes to relocate the ultimate parent holding company of the Garmin
group from the Cayman Islands to the town of Schaffhausen in the canton of
Schaffhausen, Switzerland, by way of this Scheme, such that upon the
Transaction Time Garmin-Cayman shall become a wholly owned subsidiary of
Garmin Switzerland.
|
(C)
|
The
Parties intend for the Transaction to qualify as a reorganization under
Section 368(a)(1)(F) of the Code.
|
(D)
|
Garmin-Switzerland
has undertaken to the Cayman Court to be bound by this Scheme and to
execute and do and procure to be executed and done all such documents,
acts and things as may be necessary or desirable to be executed and done
by it for the purpose of giving effect to this
Scheme.
|
|
1.
|
At
the Transaction Time, all issued and outstanding Scheme Shares shall be
transferred to Garmin-Switzerland and such Scheme Shares shall be credited
as fully paid and recorded in the Register in the name of
Garmin-Switzerland.
|
|
2.
|
In
consideration of the transfer of the Scheme Shares pursuant to Clause 1 of
this Scheme, prior to the next opening of the NASDAQ after the Transaction
Time Garmin-Switzerland will issue to each Scheme Shareholder one
registered Garmin-Switzerland Share for each Scheme Share that was
transferred pursuant to Clause 1 of this Scheme that such Scheme
Shareholder held immediately prior to the Transaction
Time.
|
|
3.
|
As
from the Transaction Time, the Scheme Shareholders prior to the
Transaction Time shall in accordance with this Scheme cease to have any
rights with respect to the Scheme Shares, except the right to receive the
consideration set out in Clause 2 of this Scheme, provided, however, that
nothing in this Scheme shall in any way affect the right (if any) of a
shareholder of Garmin-Cayman to receive any dividend declared by
Garmin-Cayman prior to the Transaction Time but which has not been paid
prior to the Transaction Time.
|
|
4.
|
As
from the Transaction Time, each instrument of transfer and certificate
existing at the Transaction Time in respect of a holding of any number of
Scheme Shares shall cease to be valid for any purpose as an instrument of
transfer or a certificate for such Scheme
Shares.
|
|
5.
|
Part
I of this Scheme shall become effective at 3:00 am Cayman Islands time on
Sunday 27 June 2010 or such earlier or later date and time as the board of
Garmin-Cayman (or its duly authorised officer) shall at any time determine
(such earlier or later time not to be a time at which the NASDAQ is open
for trading), provided that at or by that time all of the following
conditions are satisfied or, to the extent permitted law, waived by
Garmin-Cayman and
Garmin-Switzerland:
|
|
(a)
|
a
definitive version of the Proxy Statement has been filed with the United
States Securities Exchange
Commission;
|
|
(b)
|
this
Scheme is approved by the affirmative vote at the Scheme Meeting of a
majority in number representing 75% or more in value of the Scheme Shares
present and voting in person or by proxy at the Scheme Meeting on the
resolution to approve this Scheme;
|
|
(c)
|
the
requisite court order sanctioning this Scheme is obtained from the Cayman
Court;
|
|
(d)
|
a
copy of the order of the Cayman Court referred to at clause 5(c) is lodged
with the Cayman Islands Registrar of
Companies;
|
|
(e)
|
there
is no threatened, pending or effective decree, order, injunction or other
legal restraint prohibiting the consummation of the
Scheme;
|
|
(f)
|
all
consents and governmental authorizations that are necessary, desirable or
appropriate in connection with the Transaction are obtained on terms
acceptable to Garmin-Cayman (as it should think fit its absolute
discretion) and are in full force and
effect;
|
|
(g)
|
Garmin-Cayman
shall have received an opinion from KPMG LLP, in form and substance
reasonably satisfactory to it, confirming the matters discussed
under the caption "Material Tax Considerations—U.S. Federal
Income Tax Considerations;" in the proxy statement of Garmin-Cayman
distributed to the Scheme Shareholders in connection with the Scheme
Meeting.
|
|
(h)
|
Garmin-Cayman
shall have received an opinion from KPMG AG, in form and substance
reasonably satisfactory to it, confirming the matters discussed
under the caption "Material Tax Considerations—Swiss Tax
Considerations;" in the proxy statement of Garmin-Cayman distributed to
the Scheme Shareholders in connection with the Scheme
Meeting.
|
|
(i)
|
the
Garmin-Switzerland shares to be issued pursuant to the Scheme are
authorized for listing on the NASDAQ, subject to official notice of
issuance.
|
|
(j)
|
Garmin
Cayman receives in escrow an opinion from Maples and Calder, in form and
substance reasonably satisfactory to it, regarding the matters discussed
in Securities Exchange Commission Division of Corporation Finance Legal
Bulletin No. 3A (CF) dated June 18,
2008.
|
|
(k)
|
Garmin-Switzerland
and Garmin-Cayman execute a Transaction Agreement pursuant to which, among
other things, Garmin Switzerland agrees to adopt Garmin-Cayman's Equity
Compensation and Benefit Plans (as defined in the Transaction
Agreement).
|
|
6.
|
All
mandates or other instructions to Garmin-Cayman in force at the
Transaction Time relating to any of the Scheme Shares (including, without
limitation, elections for the payment of dividends by way of scrip (if
any)) shall, mutatis mutandis immediately after the Transaction Time, be
deemed to be valid as effective mandates or instructions in respect of the
Garmin-Switzerland Shares received in consideration of the transfer of
such Scheme Shares.
|
|
7.
|
Subject
to any applicable U.S. securities laws, this Scheme may be amended,
modified or supplemented at any time before or after its approval by the
shareholders of Garmin-Cayman at the Scheme Meetings. At the Cayman Court
hearing to sanction this Scheme, the Cayman Court may impose such
conditions, modifications and amendments as it deems appropriate in
relation to this Scheme but will not impose any material changes without
the joint consent of Garmin-Cayman and Garmin-Switzerland. Garmin-Cayman
may, subject to any applicable U.S. securities laws, consent to any
condition, modification or amendment of this Scheme on behalf of the
Scheme Shareholders which Garmin-Cayman may think fit to approve or
impose. After its approval, no amendment, modification or supplement may
be made or effected that legally requires further approval by shareholders
or any class of shareholders of Garmin-Cayman without obtaining that
approval.
|
|
8.
|
Garmin-Cayman
may terminate or abandon this Scheme at any time prior to the Transaction
Time without obtaining the approval of the Scheme Shareholders, even
though this Scheme may have been approved at the Scheme Meetings and
sanctioned by the Cayman Court and all other conditions may have been
satisfied.
|
|
9.
|
None
of the Scheme Shareholders shall commence a Prohibited Proceeding in
respect of or arising from this Scheme after the Transaction Time. A
Scheme Shareholder may commence an Allowed Proceeding against
Garmin-Cayman or Garmin-Switzerland after the Transaction Time provided
that it has first given Garmin-Cayman and Garmin-Switzerland five clear
Business Days’ prior notice in writing of its intention to do
so.
|
10.
|
Any
notice or other written communication to be given under or in relation to
this Scheme (other than pursuant to Clause 15) shall be given
in writing and shall be deemed to have been duly given if it is delivered
by hand or sent by post to:
|
|
(a)
|
in
the case of Garmin-Cayman, Garmin Ltd., P.O. Box 10670, Grand Cayman
KY1-1006, Suite 3206B, 45 Market Street, Gardenia Court, Camana Bay,
Cayman Islands, marked for the attention of the Company
Secretary;
|
|
(b)
|
in
the case of Garmin-Switzerland: Garmin Ltd., c/o Klauser & Partner AG,
Pestalozzistrasse 2, 8200 Schaffhausen,
Switzerland;
|
|
(c)
|
in
the case of any Scheme Shareholder, his, her or its address as it appeared
on the Register immediately prior to the Transaction Time;
and
|
|
(d)
|
in
the case of any other person, any address set forth for that person in any
agreement entered into in connection with this Scheme or the last known
address according to the records of Garmin-Cayman, or by fax or email to
its last known fax number or email address according to the records of
Garmin-Cayman.
|
11.
|
In
proving service, it shall be sufficient proof, in the case of a notice
sent by post, that the envelope was properly stamped, addressed and placed
in the post.
|
12.
|
Without
limiting the manner in which notice or other written communication may be
given or deemed given pursuant to any other clause of this Scheme, any
notice or other written communication to be given under this Scheme shall
be deemed to have been served as provided in Articles 142 to 145 of
Garmin-Cayman’s Articles of
Association.
|
13.
|
The
accidental omission to send any notice, written communication or other
document in accordance with Clauses 10 or 11 or the non-receipt of any
such notice by a Scheme Shareholder, shall not affect the provisions of
this Scheme.
|
14.
|
Garmin-Cayman
shall not be responsible for any loss or delay in the transmission of any
notices, or other documents posted by or to a Scheme Shareholder, which
shall be posted at the risk of such Scheme
Shareholder.
|
15.
|
Garmin-Switzerland
shall give notification of this Scheme having become
effective. Garmin-Cayman shall give notification if it decides
to terminate or abandon the Scheme pursuant to Clause 8. This
notification, and any other notice or other written communication that is
required to be given to all or substantially all of the Scheme
Shareholders, may (but is not required to) be made by issuing a press
release.
|
16.
|
The
operative terms of this Scheme shall be governed by, and construed in
accordance with, the laws of the Cayman Islands and the Scheme
Shareholders hereby agree that the courts of the Cayman Islands shall have
exclusive jurisdiction to hear and determine any Proceeding and to settle
any dispute which arises out of or connected with the terms of this Scheme
or their implementation or out of any action taken or omitted to be taken
under this Scheme or in connection with the administration of this Scheme
and for such purposes, the Parties irrevocably submit to the jurisdiction
of the courts of the Cayman
Islands.
|
17.
|
If
any provision (or any part of any provision) of this Scheme is found by
the Cayman Court to be illegal or unenforceable, it shall be severed from
this Scheme and the remaining provisions of this Scheme shall continue in
force.
|
18.
|
Notwithstanding
any other clause of this Scheme, unless Part I of this Scheme has become
effective on or before December 31, 2010 (or such later date, if any, as
the Cayman Court may allow), this Scheme shall lapse and be of no further
effect.
|
Statuten
|
Articles
of Association
|
|
der
|
of
|
|
Garmin
Ltd.
|
Garmin
Ltd.
|
|
(Garmin
AG)
|
(Garmin
AG)
|
|
mit
Sitz in Schaffhausen
|
with
registered office in
Schaffhausen
|
I.
|
Firma,
Sitz und Zweck
|
25
|
|
I.
|
Company
Name, Registered Office and Objects
|
25
|
|
Art.
1
|
Firma
und Sitz
|
25
|
|
Art.
1
|
Company
Name and Registered Office
|
25
|
|
Art.
2
|
Zweck
|
25
|
|
Art.
2
|
Objects
|
25
|
|
II.
|
Aktienkapital
und Aktien
|
25
|
|
II.
|
Share
Capital and Shares
|
25
|
|
Art.
3
|
Aktienkapital
|
25
|
|
Art.
3
|
Share
Capital
|
25
|
|
Art.
3 a)
|
Sacheinlage
|
26
|
|
Art.
3 a)
|
Contribution
in Kind
|
26
|
|
Art.
4
|
Anerkennung
der Statuten
|
26
|
|
Art.
4
|
Recognition
of Articles of Association
|
26
|
|
Art.
5
|
Genehmigtes
Aktienkapital
|
26
|
|
Art.
5
|
Authorized
Share Capital
|
26
|
|
Art.
6
|
Bedingtes
Aktienkapital
|
27
|
|
Art.
6
|
Conditional
Share Capital
|
27
|
|
Art.
7
|
Aktienzertifikate
|
27
|
|
Art.
7
|
Share
Certificates
|
27
|
|
Art.
8
|
Aktienbuch,
Eintragungsbeschränkungen, Nominees
|
28
|
|
Art.
8
|
Share
Register, Restrictions on Registration, Nominees
|
28
|
|
Art.
9
|
Übertragung
|
29
|
|
Art.
9
|
Transfer
|
29
|
|
Art.
10
|
Umwandlung
und Zerlegung von Aktien
|
30
|
|
Art.
10
|
Conversion
and Splitting of Shares
|
30
|
|
Art.
11
|
Bezugsrechte
|
30
|
|
Art.
11
|
Subscription
Rights
|
30
|
|
|
|||
III.
|
Organisation
|
30
|
|
III.
|
Organization
|
30
|
|
Art.
12
|
Befugnisse
|
30
|
|
Art.
12
|
Authority
|
30
|
|
Art.
13
|
Recht
zur Einberufung
|
31
|
|
Art.
13
|
Right
to call a General Meeting
|
31
|
|
Art.
14
|
Form
der Einberufung
|
31
|
|
Art.
14
|
Form
of the calling of a General Meeting
|
31
|
|
Art.
15
|
Universalversammlung
|
32
|
|
Art.
15
|
Universal
Meeting
|
32
|
|
Art.
16
|
Vorsitz
und Protokoll
|
32
|
|
Art.
16
|
Chairperson
and Minutes
|
32
|
|
Art.
17
|
Stimmrecht
und Vertretung
|
33
|
|
Art.
17
|
Voting
Rights and Representation
|
33
|
|
Art.
18
|
Teilnahme
der Mitglieder des Verwaltungsrates
|
33
|
|
Art.
18
|
Participation
of the Members of the Board of Directors
|
33
|
|
Art.
19
|
Beschlussfassung
und Wahlen
|
33
|
|
Art.
19
|
Resolutions
and Voting
|
33
|
|
Art.
20
|
Besonderes
Stimmen Quorum
|
33
|
|
Art.
20
|
Special
Vote
|
33
|
|
Art.
21
|
Auskunfts-
und Einsichtsrecht der Aktionäre
|
36
|
|
Art.
21
|
Information
and Inspection Rights of the Shareholders
|
36
|
I. Firma,
Sitz und Zweck
|
I.
Company Name, Registered Office and Objects
|
|
Art.
1 Firma und Sitz
|
Art.
1 Company Name and Registered
Office
|
|
Unter
der Firma Garmin Ltd. (Garmin AG) besteht eine Aktiengesellschaft gemäss
den vorliegenden Statuten und den Vorschriften des Schweizerischen
Obligationenrechtes (OR). Der Sitz der Gesellschaft ist in
Schaffhausen.
|
Under
the company name of Garmin Ltd. (Garmin AG) exists a corporation pursuant
to the present Articles of Association and the provisions of the Swiss
Code of Obligations (CO). The registered office of the Company is in
Schaffhausen.
|
|
Art.
2 Zweck
|
Art.
2 Objects
|
|
Die
Gesellschaft bezweckt den Erwerb, das Halten, die Finanzierung, die
Verwaltung und den Verkauf von Beteiligungen an inländischen sowie auch an
ausländischen Unternehmen jeglicher Art.
|
The
objects of the Company are the acquisition, holding, financing, management
and sale of participations in Swiss and foreign enterprises of all
kinds.
|
|
Die
Gesellschaft kann jede Art von finanzieller Unterstützung für und an
Gruppengesellschaften gewähren, einschliesslich der Leistung von
Garantien.
|
The
Company may provide any kind of financial assistance, including
guarantees, to and for group companies.
|
|
Die
Gesellschaft kann ferner im In- und Ausland Zweigniederlassungen und
Tochtergesellschaften errichten, sich an anderen Unternehmen im In- und
Ausland beteiligen sowie solche Unternehmen erwerben und finanzieren. Im
Weiteren kann die Gesellschaft im In- und Ausland Grundstücke und
gewerbliche Schutzrechte erwerben, belasten, veräussern und verwalten
sowie alle Geschäfte tätigen, die geeignet sein können, den Zweck der
Gesellschaft zu fördern, oder die direkt oder indirekt damit in
Zusammenhang stehen.
|
The
Company may establish branches and subsidiaries in Switzerland and abroad
as well as participate in, acquire and finance other enterprises in
Switzerland and abroad. The company may acquire, encumber, sell and manage
real estate and intellectual property rights in Switzerland and abroad. It
may furthermore make all transactions which may be appropriate to promote
the purpose of the company or which are directly or indirectly connected
therewith.
|
|
II.
Aktienkapital und Aktien
|
II.
Share Capital and Shares
|
|
Art.
3 Aktienkapital
|
Art.
3 Share Capital
|
|
Das
Aktienkapital der Gesellschaft (
„Aktienkapital“)
beträgt
CHF [__] und ist eingeteilt in [__] Namenaktien (
„Aktien“
) mit einem
Nennwert von je CHF [__]. Die Aktien sind vollständig
liberiert.
|
The
share capital of the Company (
“Share Capital”
) amounts
to CHF [__] and is divided into [__] registered shares (
“Shares”
) with a nominal
value of CHF [__] each. The Shares are fully paid
up.
|
Art.
3 a) Sacheinlage
|
Art.
3 a) Contribution in Kind
|
|
Die
Gesellschaft übernimmt bei der Kapitalerhöhung vom 27. Juni 2010 von der
Garmin Ltd. mit Sitz in Camana Bay, Cayman Islands (
„Garmin-Cayman”
), gemäss
Sacheinlagevertrag vom 27. Juni 2010 (
„Sacheinlagevertrag”
)
[__] Aktien (
common
shares
) von Garmin-Cayman. Diese Aktien werden zu einem
Übernahmewert von insgesamt CHF [__] übernommen. Als Gegenleistung für die
Sacheinlage (i) wird der Nennwert jeder Aktie von bisher CHF 0.01 auf neu
[__] erhöht und (ii) gibt die Gesellschaft Garmin-Cayman, handelnd im
eigenen Namen und auf Rechnung der Aktionäre der Garmin-Cayman im
Zeitpunkt unmittelbar vor Vollzug des Sacheinlagevertrages, insgesamt [__]
voll einbezahlte Aktien mit einem Nennwert von je CHF[__] aus. Die
Gesellschaft weist den Differenzbetrag von CHF [__] den Reserven aus
Kapitaleinlage der Gesellschaft zu.
|
In
connection with the capital increase of June 27, 2010, and in accordance
with the contribution in kind agreement dated as of June 27, 2010 (
“Contribution in Kind
Agreement”
), the Company acquires [__] common shares of Garmin
Ltd., with registered office in Camana Bay, Cayman Islands (
“Garmin-Cayman”
) from
Garmin-Cayman. The shares of Garmin-Cayman have a total value of CHF [__].
As consideration for this contribution, (i) the nominal value of each
Share is increased from CHF 0.01 to CHF [__] and (ii) the Company issues
to Garmin Cayman, acting in its own name and for the account of the
holders of common shares of Garmin-Cayman outstanding immediately prior to
the completion of the Contribution in Kind Agreement, a total of [__]
fully paid up Shares with a par value of CHF [__] each. The difference of
CHF [__] is allocated to the reserves from capital contribution of the
Company.
|
|
Art.
4 Anerkennung der Statuten
|
Art.
4 Recognition of Articles of
Association
|
|
Jede
Ausübung von Aktionärsrechten schliesst die Anerkennung der
Gesellschaftsstatuten in der jeweils gültigen Fassung in sich
ein.
|
Any
exercise of shareholders’ rights automatically comprises recognition of
the version of these Articles of Association in force at the
time.
|
|
Art.
5 Genehmigtes Aktienkapital
|
Art.
5 Authorized Share Capital
|
|
Der
Verwaltungsrat ist ermächtigt, das Aktienkapital jederzeit bis spätestens
zum 27. Juni 2012, im Maximalbetrag von CHF [__]
[50 % des
Aktienkapitals]
durch Ausgabe von höchstens [__] vollständig zu
liberierenden Aktien mit einem Nennwert von je CHF [__] zu erhöhen. Eine
Erhöhung des Aktienkapitals (i) auf dem Weg einer Festübernahme durch eine
Bank, ein Bankenkonsortium oder Dritte und eines anschliessenden Angebots
an die bisherigen Aktionäre sowie (ii) in Teilbeträgen ist
zulässig.
|
The
Board of Directors is authorized to increase the Share Capital no later
than June 27, 2012, by a maximum amount of CHF [__]
(50 % of the Share
Capital)
by issuing a maximum of [__] fully paid-up registered
Shares with a par value of CHF [__] each. An increase of the Share Capital
(i) by means of an offering underwritten by a financial institution, a
syndicate of financial institutions or another third party or third
parties, followed by an offer to the then-existing shareholders of the
Company, and (ii) in partial amounts, shall be
permissible.
|
|
Der
Verwaltungsrat legt den Zeitpunkt der Ausgabe der neuen Aktien, deren
Ausgabepreis, die Art der Liberierung, den Beginn der
Dividendenberechtigung, die Bedingungen für die Ausübung der Bezugsrechte
sowie die Zuteilung der Bezugsrechte, welche nicht ausgeübt wurden, fest.
Nicht ausgeübte Bezugsrechte kann der Verwaltungsrat verfallen lassen,
oder er kann diese bzw. die Aktien, für welche Bezugsrechte eingeräumt,
aber nicht ausgeübt worden sind, zu Marktkonditionen platzieren oder
anderweitig im Interesse der Gesellschaft verwenden.
|
The
Board of Directors shall determine the time of the issuance, the issue
price, the manner in which the new Shares have to be paid-up, the date
from which the Shares carry the right to dividends, the conditions for the
exercise of the preemptive rights and the allotment of preemptive rights
that have not been exercised. The Board of Directors may allow the
preemptive rights that have not been exercised to expire, or it may place
such rights or Shares, the preemptive rights of which have not been
exercised, at market conditions or use them otherwise in the interest of
the Company
|
|
Der
Verwaltungsrat ist ermächtigt, die Bezugsrechte der Aktionäre aus
wichtigen Gründen zu entziehen oder zu beschränken und Dritten zuzuweisen,
insbesondere:
|
The
Board of Directors is authorized to withdraw or limit the preemptive
rights of the shareholders and to allot them to third parties for
important reasons, including:
|
|
(a)
wenn der Ausgabebetrag der neuen Aktien unter Berücksichtigung des
Marktpreises festgesetzt wird; oder
|
(a)
if the issue price of the new Shares is determined by reference to the
market price; or
|
(b)
für die Übernahme von Unternehmen, Unternehmensteilen oder Beteiligungen
oder für die Finanzierung oder Refinanzierung solcher Transaktionen oder
die Finanzierung von neuen Investitionsvorhaben der Gesellschaft;
oder
|
(b)
for the acquisition of an enterprise, part(s) of an enterprise or
participations, or for the financing or refinancing of any of such
transactions, or for the financing of new investment plans of the Company;
or
|
|
(c)
zum Zwecke der Erweiterung des Aktionärskreises in bestimmten Finanz- oder
Investoren-Märkten, zur Beteiligung von strategischen Partnern, oder im
Zusammenhang mit der Kotierung von neuen Aktien an in- oder ausländischen
Börsen.
|
(c)
for purposes of broadening the shareholder constituency of the Company in
certain financial or investor markets, for purposes of the participation
of strategic partners, or in connection with the listing of new Shares on
domestic or foreign Exchanges.
|
|
Die
neuen Aktien unterliegen den Eintragungsbeschränkungen in das Aktienbuch
gemäss Art. 8 dieser Statuten.
|
The
new Shares shall be subject to the limitations for registration in the
share register pursuant to Art. 8 of these Articles of
Association.
|
|
Art. 6
Bedingtes Aktienkapital
|
Art.
6 Conditional Share Capital
|
|
Das
Aktienkapital kann sich durch Ausgabe von höchstens [__] voll zu
liberierenden Namenaktien im Nennwert von je CHF [__] um höchstens CHF
[__]
[50 % des
Aktienkapitals]
erhöhen durch:
|
The
Share Capital may be increased in an amount not to exceed CHF [__]
(50 % of the Share
Capital)
through the issuance of up to [__] fully paid-up
registered Shares with a par value of CHF [__] each
through:
|
|
die
Ausübung von Optionsrechten, die Mitarbeitern und / oder Mitgliedern des
Verwaltungsrates der Gesellschaft oder einer Gruppengesellschaft gewährt
werden.
|
the
exercise of option rights which are granted to employees and / or members
of the board of directors of the Company or group
companies.
|
|
Das
Bezugsrecht der Aktionäre ist ausgeschlossen.
|
The
preferential subscription rights of the shareholders are
excluded.
|
|
Die
Aktien, welche über die Ausübung von Umwandlungsrechten erworben werden,
unterliegen den Eintragungsbeschränkungen in das Aktienbuch gemäss Art. 8
dieser Statuten.
|
The
Shares acquired through the exercise of rights shall be subject to the
limitations for registration in the share register pursuant to Art. 8 of
these Articles of Association.
|
|
Art.
7 Aktienzertifikate
|
Art.
7 Share Certificates
|
|
Anstelle
von einzelnen Aktien können Aktienzertifikate über mehrere Aktien
ausgestellt werden. Aktien und Zertifikate sind durch ein Mitglied des
Verwaltungsrates zu unterzeichnen.
|
In
lieu of single shares, the Company may issue share certificates covering
several shares. Shares and certificates shall be signed by a member of the
Board of Directors.
|
|
Ein
Aktionär hat nur dann Anspruch auf die Ausgabe eines Aktienzertifikates,
wenn der Verwaltungsrat die Ausgabe von Aktienzertifikaten beschliesst.
Aktienzertifikate werden in der vom Verwaltungsrat festgelegten Form
ausgegeben. Ein Aktionär kann jederzeit eine Bescheinigung über die Anzahl
der von ihm gehaltenen Aktien verlangen.
|
A
shareholder shall be entitled to a share certificate only if the Board of
Directors resolves that share certificates shall be issued. Share
certificates, if any, shall be in such form as the Board of Directors may
determine. A shareholder may at any time request an attestation of the
number of registered Shares held by
it.
|
Die
Gesellschaft kann jederzeit auf die Ausgabe und Aushändigung von
Zertifikaten verzichten und mit Zustimmung des Aktionärs ausgegebene
Urkunden, die bei ihr eingeliefert werden, ersatzlos
annullieren.
|
The
Company may dispense with the obligation to issue and deliver
certificates, and may, with the consent of the shareholder, cancel without
replacement issued certificates delivered to the
Company.
|
|
Der
Verwaltungsrat kann beschliessen, den Aktionären anstelle von Wertpapieren
einfache Beweisurkunden über ihre Beteiligung
auszustellen.
|
The
Board of Directors may decide to issue to the shareholders, in lieu of
securities, simple documentary evidence for their
participation.
|
|
Die
Gesellschaft kann ihre Aktien als Wertrechte gemäss Schweizerischem
Obligationenrecht und Bucheffekten gemäss Bucheffektengesetz
ausgeben.
|
The
Company may issue its Shares as uncertificated securities within the
meaning of the Swiss Code of Obligations and as intermediated securities
within the meaning of the Intermediated Securities Act.
|
|
Art.
8 Aktienbuch,
Eintragungsbeschränkungen, Nominees |
Art.
8 Share Register, Restrictions on Registration,
Nominees
|
|
Die
Gesellschaft selbst oder ein von ihr beauftragter Dritter führt ein
Aktienbuch (
„Aktienbuch“
). Darin
werden die Eigentümer und Nutzniesser der Namenaktien sowie Nominees mit
Namen und Vornamen, Adresse und Staatsangehörigkeit (bei Rechtseinheiten
mit Firma und Sitz) eingetragen. Ändert eine im Aktienbuch eingetragene
Zivilrechtliche Person ihre Adresse, so hat sie dies dem Aktienbuchführer
mitzuteilen. Solange dies nicht geschehen ist, gelten alle schriftlichen
Mitteilungen der Gesellschaft an die im Aktienbuch eingetragenen
Zivilrechtlichen Personen als rechtsgültig an die bisher im Aktienbuch
eingetragene Adresse erfolgt.
|
The
Company shall maintain, itself or through a third party, a share register
(
“Share Register”
)
that lists the surname, first name, address and citizenship (or the name
and registered office for legal entities) of the owners and usufructuaries
of the registered Shares as well as the nominees. A Person recorded in the
Share Register shall notify the share registrar of any change in address.
Until such notification shall have occurred, all written communication
from the Company to Persons of record shall be deemed to have validly been
made if sent to the address recorded in the Share
Register.
|
|
Ein
Erwerber von Namenaktien wird auf Gesuch als Aktionär mit Stimmrecht im
Aktienbuch eingetragen, vorausgesetzt, dass ein solcher Erwerber auf
Aufforderung durch die Gesellschaft ausdrücklich erklärt, die Namenaktien
im eigenen Namen und auf eigene Rechnung erworben zu haben. Der
Verwaltungsrat kann Nominees, welche Namenaktien im eigenen Namen aber auf
fremde Rechnung halten, als Aktionäre mit Stimmrecht im Aktienbuch der
Gesellschaft eintragen. Der Verwaltungsrat kann Kriterien für die
Billigung solcher Nominees als Aktionäre mit Stimmrecht festlegen. Die an
den Namenaktien wirtschaftlich Berechtigten, welche die Namenaktien über
einen Nominee halten, üben Aktionärsrechte mittelbar über den Nominee
aus.
|
An
acquirer of registered Shares shall be recorded upon request in the Share
Register as a shareholder with voting rights; provided, however, that any
such acquirer upon request of the Company expressly declares to have
acquired the registered Shares in its own name and for its own account.
The Board of Directors may record nominees who hold registered Shares in
their own name, but for the account of third parties, as shareholders with
voting rights in the Share Register of the Company. The Board of Directors
may set forth the relevant requirements for the acceptance of nominees as
shareholders with voting rights. Beneficial owners of registered Shares
who hold registered Shares through a nominee exercise the shareholders’
rights through the intermediation of such
nominee.
|
Sollte
der Verwaltungsrat die Eintragung eines Aktionärs als Aktionär mit
Stimmrecht ablehnen, muss dem Aktionär diese Ablehnung innerhalb von 20
Tagen nach Erhalt des Eintragungsgesuches mitgeteilt werden. Aktionäre,
die nicht als Aktionäre mit Stimmrecht anerkannt wurden, sind als
Aktionäre ohne Stimmrecht im Aktienbuch einzutragen.
|
If
the Board of Directors refuses to register a shareholder as a shareholder
with voting rights, it shall notify the shareholder of such refusal within
20 days upon receipt of the application. Nonrecognized shareholders shall
be entered in the Share Register as shareholders without voting
rights.
|
|
Der
Verwaltungsrat kann nach Anhörung des eingetragenen Aktionärs dessen
Eintragung im Aktienbuch als Aktionär mit Stimmrecht mit Rückwirkung auf
das Datum der Eintragung streichen, wenn diese durch falsche oder
irreführende Angaben zustande gekommen ist. Der Betroffene muss über die
Streichung sofort informiert werden.
|
After
hearing the registered shareholder concerned, the Board of Directors may
cancel the registration of such shareholder as a shareholder with voting
rights in the Share Register with retroactive effect as of the date of
registration if such registration was made based on false or misleading
information. The relevant shareholder shall be informed promptly of the
cancellation.
|
|
Sofern
die Gesellschaft an einer Börse im Ausland kotiert ist, ist es der
Gesellschaft mit Bezug auf den Regelungsgegenstand dieses Art. 8 und
soweit gesetzlich zulässig gestattet, die in der jeweiligen Rechtsordnung
geltenden Vorschriften und Normierungen anzuwenden.
|
In
case the Company is listed on any foreign Exchange, the Company is
permitted to comply with the relevant rules and regulations that are
applied in that foreign jurisdiction with regard to the subject of this
Art. 8 to the extent permitted by Swiss law.
|
|
Zehn
Tage vor einer Generalversammlung bis zu dem auf die Generalversammlung
folgenden Tag nimmt die Gesellschaft keine Eintragungen in das Aktienbuch
vor.
|
From
ten days prior to a general meeting of the shareholders until the day
following the general meeting of the shareholders, the Company shall not
undertake any registration in the Share Register.
|
|
Art.
9 Übertragung
|
Art.
9 Transfer
|
|
Die
Übertragung von Namenaktien und aller damit verbundenen Rechte zu Eigentum
oder zur Nutzniessung erfolgt durch Indossament (Unterschrift) auf dem
Aktientitel oder Zertifikat und Besitzesübertragung. Falls keine
Aktientitel oder Zertifikate bestehen, erfolgt die Übertragung der Aktien
zu Eigentum oder zur Nutzniessung durch eine schriftliche
Abtretungserklärung.
|
The
transfer of ownership or the granting of a usufruct in registered Shares
and in all the rights connected therewith shall be made by endorsement
(signature) of the share title or certificate and by transfer of
possession. If neither share titles nor certificates have been issued,
such transfer shall be made by written declaration of
assignment.
|
|
Die
Verfügung über die als Bucheffekten ausgegebenen Aktien erfolgt gemäss
Bucheffektengesetz.
|
The
transfer of Shares issued as intermediated securities, including the
granting of security interests, shall be made according to the
Intermediated Securities Act.
|
|
Im
Rahmen des gesetzlich zulässigen und unter Vorbehalt der übrigen
Bestimmungen dieses Art. 9 darf die Übertragung von unzertifizierten
Aktien, die im Namen eines Aktionärs durch einen Transfer Agenten, Trust
oder einer ähnlichen Einrichtung (der
„Transfer Agent“
)
verwaltet werden, nur in Co-Operation mit diesem Transfer Agenten
erfolgen.
|
Subject
to the provisions contained in this Art. 9 and to the extent permitted by
applicable law if uncertificated securities are administered on behalf of
a shareholder by a transfer agent, trust company or similar entity (
“Transfer Agent”
), such
securities and the rights deriving from them may be transferred only with
the cooperation of the Transfer
Agent.
|
Art.
10 Umwandlung und Zerlegung von
Aktien
|
Art.
10 Conversion and Splitting of
Shares
|
|
Durch
Änderung der Statuten kann die Generalversammlung jederzeit Namenaktien in
Inhaberaktien umwandeln und umgekehrt.
|
The
general meeting of the shareholders may at any time convert registered
shares into bearer shares and vice versa by amending the Articles of
Association.
|
|
Sie
ist ferner befugt, Aktien in solche von kleinerem Nennwert zu zerlegen
oder mit Zustimmung des Aktionärs zu solchen von grösserem Nennwert
zusammenzulegen.
|
Furthermore,
it is authorized to split shares into shares with lower nominal value or
with the approval of the shareholder to consolidate shares into shares
with higher nominal value.
|
|
Art.
11 Bezugsrechte
|
Art.
11 Subscription Rights
|
|
Im
Falle der Erhöhung des Aktienkapitals durch Ausgabe neuer Aktien haben die
bisherigen Aktionäre ein Bezugsrecht im Verhältnis ihrer bisherigen
Beteiligung, sofern die Generalversammlung dieses Recht nicht aus
wichtigen Gründen einschränkt oder ausschliesst. Wichtige Gründe sind
insbesondere die Übernahme von Unternehmen, Unternehmensteilen oder
Beteiligungen sowie die Beteiligung der Arbeitnehmer.
|
In
the event of an increase of the Share Capital by issuing new shares, each
existing shareholder has subscription rights in proportion to his/her
existing shareholding, to the extent the general meeting of the
shareholders does not restrict or exclude this right for important
reasons. Important reasons are, in particular, the takeover of companies,
of company parts, or of participations, as well as the participation of
employees.
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|
Die
Generalversammlung setzt die Emissionsbedingungen fest, sofern sie nicht
durch Beschluss den Verwaltungsrat dazu ermächtigt. Der Verwaltungsrat
setzt die Einzahlungsbedingungen fest und gibt die Emissions- und
Einzahlungsbedingungen den bezugsberechtigten Aktionären
bekannt.
|
The
general meeting of the shareholders shall determine the terms of the share
issue to the extent it has not, by resolution, authorized the Board of
Directors to do so. The Board of Directors shall determine the payment
terms and communicate the issue and payment terms to the shareholders
entitled to subscription rights.
|
|
III. Organisation
|
III.
Organization
|
|
A.
Die Generalversammlung
|
A.
The General Meeting
|
|
Art.
12 Befugnisse
|
Art.
12 Authority
|
|
Oberstes
Organ der Gesellschaft ist die Generalversammlung. Ihr stehen folgende
unübertragbare Befugnisse zu:
|
The
general meeting of the shareholders is the supreme corporate body of the
Company. It has the following non-transferable powers:
|
|
1.
Festsetzung
und Änderung der Statuten; vorbehalten bleibt Art. 27;
|
1.
adoption
and amendment of the Articles of Association; Art. 27 remains
reserved;
|
|
2.
Festsetzung
der Zahl der Mitglieder des Verwaltungsrates sowie Wahl und Abberufung
derselben;
|
2.
determination
of the number of members of the Board of Directors as well as their
appointment and removal;
|
|
3.
Wahl
und Abberufung der Revisionsstelle;
|
3.
appointment
and removal of the Auditors;
|
|
4.
Genehmigung
des Jahresberichtes des Verwaltungsrates;
|
4.
approval
of the annual report of the Board of Directors;
|
|
5.
Genehmigung
der Jahresrechnung und einer allfälligen Konzernrechnung;
|
5.
approval
of the annual financial accounts and (if applicable) the group
accounts;
|
|
6.
Beschlussfassung über die Verwendung des Bilanzgewinnes,
insbesondere Festsetzung der Dividende sowie der Tantième des
Verwaltungsrates;
|
|
6.
resolution
on the application of the balance sheet profit, in particular,
determination of dividend and the profit share of the Board of
Directors;
|
7. Entlastung
der Mitglieder des Verwaltungsrates und der übrigen mit der
Geschäftsführung betrauten Zivilrechtlichen Personen;
|
7. discharge
of the members of the Board of Directors and the Persons entrusted with
the management;
|
|
8. Beschlussfassung
über die Gegenstände, die der Generalversammlung durch das Gesetz oder die
Statuten vorbehalten sind;
|
8. resolution
on matters which are reserved to the general meeting of the shareholders
either by law or the Articles of Association;
|
|
9. Die
Genehmigung von Zusammenschlüssen (die Definition eines Zusammenschlusses
findet sich in Art. 41 dieser Statuten), (i) soweit sich die Zuständigkeit
der Generalversammlung nicht bereits aus Art. 12 Ziff. 1. bis 8 ergibt und
(ii) soweit nicht zwingend ein anderes Organ der Gesellschaft zuständig
ist.
|
9. the
approval of Business Combinations (definition of this term is in Art. 41
of these Articles of Association), if and to the extent that such approval
(i) is not covered by the powers of the general meeting pursuant to Art.
12 (1) to (8) and (ii) that it is not an inalienable power of another
corporate body of the Company.
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|
Art.
13 Recht zur Einberufung
|
Art.
13 Right to call a General
Meeting
|
|
Die
Generalversammlung wird vom Verwaltungsrat, nötigenfalls von der
Revisionsstelle, einberufen. Das Einberufungsrecht steht auch den
Liquidatoren und den Vertretern der Anleihensgläubiger zu. Sie findet am
Gesellschaftssitz oder an einem anderen Ort im In- oder Ausland
statt.
|
The
general meeting of the shareholders shall be called by the Board of
Directors or, if necessary, by the Auditors. Liquidators and
representatives of bond creditors are also entitled to call the general
meeting of the shareholders. It shall be held at the Company's registered
office or at another place in Switzerland or abroad.
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|
Die
ordentliche Generalversammlung findet alljährlich innerhalb von sechs
Monaten nach Abschluss des Geschäftsjahres statt, ausserordentliche
Versammlungen werden nach Bedürfnis abgehalten.
|
The
ordinary general meeting of the shareholders shall take place annually
within six months after the end of the business year, extraordinary
general meetings of the shareholders shall be held as
necessary.
|
|
Art.
14 Form der Einberufung
|
Art.
14 Form of the calling of a General
Meeting
|
|
Die
Generalversammlung wird durch einmalige Anzeige in der in Art. 39 für
Mitteilungen an die Aktionäre vorgeschriebenen Art und Weise einberufen.
Diese Anzeige muss mindestens 20 Tage vor der Generalversammlung
ergehen.
|
The
general meeting of the shareholders shall be convened by a single notice
as provided for in Art. 39 regarding the manner of communications to
shareholders. Such notice must be given at least 20 days prior to the
general meeting of the shareholders.
|
|
Tag,
Zeit und Ort der Generalversammlung, die Verhandlungsgegenstände
(Traktandenliste) sowie die Anträge des Verwaltungsrates und der
Aktionäre, welche die Durchführung der Generalversammlung oder die
Traktandierung eines Verhandlungsgegenstandes verlangt haben, sind bei der
Einberufung bekannt zu geben.
|
The
calling shall state the date, time and place of the general meeting of the
shareholders as well as the agenda and motions of the Board of Directors
and of the shareholders who have requested the holding of a general
meeting of the shareholders or the inclusion of an item on the
agenda.
|
|
Die
Aktionäre sind bei der ordentlichen Generalversammlung darüber zu
orientieren, dass der Geschäftsbericht (Jahresbericht des Verwaltungsrates
und Jahresrechnung, bestehend aus Erfolgsrechnung, Bilanz und Anhang) und
der Revisionsbericht mindestens 20 Tage vor dem Versammlungstag zur
Einsicht der Aktionäre am Sitz der Gesellschaft aufliegen, sowie dass
jeder Aktionär verlangen kann, dass ihm unverzüglich eine Ausfertigung
dieser Unterlagen zugestellt wird.
|
As
far as the ordinary general meeting is concerned, the shareholders have to
be notified, that the annual business report (the management report of the
Board of Directors and the annual financial accounts, comprising the
profit and loss statement, the balance sheet and notes) and the audit
report are open to inspection by the shareholders at the registered office
at least 20 days prior to the date of the general meeting of the
shareholders and that any shareholder may request that a copy of these
documents be immediately sent to
him/her.
|
Über
Gegenstände, die nicht in dieser Weise angekündigt worden sind, können
Beschlüsse nicht gefasst werden, ausser über einen Antrag auf Einberufung
einer ausserordentlichen Generalversammlung, auf Durchführung einer
Sonderprüfung oder auf Wahl einer Revisionsstelle infolge eines Begehrens
eines Aktionärs nach Art. 727a Abs. 4 OR.
|
No
resolutions may be passed on agenda items which have not been announced in
this manner, except on motions for the calling of an extraordinary general
meeting of the shareholders, for the conduct of a special audit or the
appointment of auditors at the request of a shareholder pursuant to Art.
727a paragraph 4 CO.
|
|
Art.
15 Universalversammlung
|
Art.
15 Universal Meeting
|
|
Die
Eigentümer oder Vertreter sämtlicher Aktien können, falls kein Widerspruch
erhoben wird, eine Generalversammlung ohne Einhaltung der für die
Einberufung vorgeschriebenen Formvorschriften abhalten.
|
The
holders of all Shares or their representatives may, if no objection is
raised, hold a general meeting of the shareholders without observing the
formalities required for the calling of a general meeting of the
shareholders.
|
|
In
dieser Versammlung kann über alle in den Geschäftskreis der
Generalversammlung fallenden Gegenstände gültig verhandelt und Beschluss
gefasst werden, solange die Eigentümer oder Vertreter sämtlicher Aktien
anwesend sind.
|
Provided
the holders of all shares or their representatives are present, all items
within the powers of a general meeting of the shareholders may validly be
discussed and resolved at such a meeting.
|
|
Art.
16 Vorsitz und Protokoll
|
Art.
16 Chairperson and Minutes
|
|
Die
Generalversammlung wird durch den Präsidenten bzw. Vizepräsidenten des
Verwaltungsrates oder einen von der Generalversammlung ad hoc gewählten
Tagespräsidenten geleitet.
|
The
general meeting of the shareholders shall be chaired by the Chairman,
respectively the vice-chairman of the Board of Directors or a
chairman-for-the-day appointed by the general meeting of the
shareholders.
|
|
Der
Vorsitzende ernennt den Protokollführer und den oder die Stimmenzähler.
Der Protokollführer und der oder die Stimmenzähler müssen nicht Aktionäre
sein. Der Vorsitzende kann zugleich auch Protokollführer und Stimmenzähler
sein.
|
The
chairperson shall appoint the keeper of the minutes and the scrutineer(s).
The keeper of the minutes and the scrutineer(s) need not be shareholders.
The chairperson may also be the keeper of the minutes and the
scrutineer.
|
|
Über
die Beschlüsse und Wahlen der Generalversammlung ist ein Protokoll zu
führen, das vom Vorsitzenden und vom Protokollführer zu unterzeichnen ist.
Es hält die Angaben gemäss Art. 702 Abs. 2 OR fest.
|
Minutes
shall be kept of the resolutions and votes of the general meeting of the
shareholders that shall be signed by the chairperson and the keeper of the
minutes. They shall contain the information required by Art. 702 paragraph
2 CO.
|
|
Die
Aktionäre sind berechtigt, das Protokoll einzusehen.
|
Shareholders
may inspect the
minutes.
|
Art.
17 Stimmrecht und Vertretung
|
Art.
17 Voting Rights and
Representation
|
|
Jede
Aktie berechtigt zu einer Stimme.
|
Each
share carries one vote.
|
|
Sofern
die Statuten es vorsehen, ist jeder an einem bestimmten, durch den
Verwaltungsrat vorgegebenen Stichtag, im Aktienbuch eingetragene Aktionär
berechtigt, an der Generalversammlung teilzunehmen und an der
Beschlussfassung mitzuwirken.
|
If
provided in these Articles of Association, each shareholder recorded in
the Share Register on a specific qualifying day which may be designated by
the Board of Directors shall be entitled to participate at the general
meeting of the shareholders and in any vote taken.
|
|
Jeder
Aktionär kann sich in der Generalversammlung durch einen anderen Aktionär
oder einen Dritten vertreten lassen. Vertreter haben sich durch eine
schriftliche Vollmacht auszuweisen.
|
Each
shareholder may arrange representation through another shareholder or
third party. The representative must produce a written power of
attorney.
|
|
Die
Gesellschaft anerkennt nur einen Vertreter für jede Aktie.
|
The
Company shall acknowledge only one representative for each
share.
|
|
Der
Verwaltungsrat kann die Einzelheiten über die Vertretung und Teilnahme an
der Generalversammlung in Verfahrensvorschriften regeln.
|
The
Board of Directors may issue the particulars of the right to
representation and participation at the general meeting of the
shareholders in procedural rules.
|
|
Stimmrechte
und die damit verbundenen Rechte können der Gesellschaft gegenüber von
einem Aktionär oder Nutzniesser der Aktien jeweils
nur in dem Umfang ausgeübt werden, wie diese Person mit Stimmrecht im
Aktienbuch eingetragen ist.
|
Voting
rights and rights derived from them may be exercised in relation to the
Company by a shareholder or usufructuary of Shares only to the extent that
such Person is recorded in the Share Register with the right to exercise
his voting rights.
|
|
Art.
18 Teilnahme der Mitglieder des
Verwaltungsrates
|
Art.
18 Participation of the Members of the Board of
Directors
|
|
Die
Mitglieder des Verwaltungsrates sind berechtigt, an der Generalversammlung
teilzunehmen. Sie können Anträge stellen.
|
The
members of the Board of Directors may take part in the general meeting of
the shareholders. They may submit motions.
|
|
Art.
19 Beschlussfassung und Wahlen
|
Art.
19 Resolutions and Voting
|
|
Die
Generalversammlung fasst ihre Beschlüsse und vollzieht ihre Wahlen mit der
Mehrheit der abgegebenen Aktienstimmen, unter Ausschluss der leeren,
ungültigen und nicht ausübbaren Stimmen, soweit Gesetz oder Statuten
nichts anderes bestimmen. Bei Stimmengleichheit gilt ein Beschluss als
nicht zustande gekommen; bei Wahlen entscheidet das Los.
|
The
general meeting of the shareholders shall pass its resolutions and votes
with a majority of the share votes cast, excluding unmarked, invalid and
non-exercisable votes, to the extent not otherwise stated by the law or
the Articles of Association. Where the votes are tied, a resolution shall
be deemed not to be passed; in the case of a vote, the decision shall be
by lot.
|
|
Art.
20 Besonderes Stimmen Quorum
|
Art.
20 Special Vote
|
|
Folgende
Beschlüsse müssen von Gesetzes wegen mindestens zwei Drittel der
vertretenen Stimmen und die absolute Mehrheit der vertretenen
Aktiennennwerte auf sich vereinigen:
|
The
following resolutions require by law two thirds of the votes represented
and the absolute majority of the nominal value of the Shares represented
in favor:
|
1. Änderung
des Gesellschaftszweckes;
|
1. amendment
of the Company objects;
|
|
2. Einführung
von Stimmrechtsaktien;
|
2. creation
of Shares with privileged voting rights;
|
|
3. Beschränkung
der Übertragbarkeit von Namenaktien;
|
3. restriction
on the transferability of registered Shares;
|
|
4. Genehmigte
oder bedingte Kapitalerhöhung;
|
4. approved
or conditional capital increase;
|
|
5. Kapitalerhöhung
aus Eigenkapital, gegen Sacheinlage oder zwecks Sachübernahme und die
Gewährung von besonderen Vorteilen;
|
5. capital
increase out of equity, by way of contributions in kind or for the purpose
of acquisition of assets and the granting of special
benefits;
|
|
6. Einschränkung
oder Aufhebung des Bezugsrechtes;
|
6. restriction
or withdrawal of subscription rights;
|
|
7. Verlegung
des Sitzes der Gesellschaft;
|
7. relocation
of the registered office of the Company;
|
|
8. Auflösung
der Gesellschaft;
|
8. winding-up
of the Company;
|
|
9. Fusionsbeschluss
gemäss Art. 18 des Fusionsgesetzes (FusG), Spaltungsbeschluss gemäss
Art. 43 FusG und Umwandlungsbeschluss gemäss Art. 64
FusG.
|
9. merger
resolution pursuant to Art. 18 of the Merger Act (FusG), demerger
resolution pursuant to Art. 43 FusG and transformation resolution pursuant
to Art. 64 FusG.
|
|
Im
Rahmen des gesetzlich Zulässigen und unter Vorbehalt anderslautender
Vorschriften in diesem Art. 20 ist für folgende Gegenstände ein Beschluss
der Generalversammlung erforderlich, der mindestens 75 % der an der
Generalversammlung vertretenen Aktien auf sich vereinigt:
|
Subject
to the provisions of the applicable law and except as otherwise expressly
provided in this Art. 20, the approval of at least 75 % of the Shares
represented at a general meeting of the shareholders shall be required
for:
|
|
1. Die
Genehmigung von Zusammenschlüssen (die Definition eines Zusammenschlusses
findet sich in Art. 41 dieser Statuten) gemäss Art. 12 (9) dieser
Statuten. Dieses besondere Zustimmungserfordernis ist nicht erforderlich
für Zusammenschlüsse, welche von der Mehrheit der Unparteiischen
Mitgliedern des Verwaltungsrates (die Definition der Unparteiischen
Mitglieder des Verwaltungsrates findet sich in Art. 41 der Statuten)
genehmigt wurden. Für solche von der Mehrheit der Unparteiischen
Mitgliedern des Verwaltungsrates genehmigte Zusammenschlüsse genügen die
im Gesetz oder in den Statuten vorgesehenen Mehrheiten, je nach dem welche
strenger sind. Für den Zweck dieser Bestimmung ist die Mehrheit der
Unparteiischen Mitglieder des Verwaltungsrates berechtigt und
verpflichtet, gestützt auf die ihnen nach angemessenem Aufwand zur
Verfügung stehenden Informationen zu bestimmen, (i) ob eine Person ein
Nahestehender Aktionär ist; (ii) die Anzahl Aktien, die eine Person oder
eine Gesellschaft direkt oder indirekt hält; (iii) ob eine Gesellschaft
eine Nahestehende Gesellschaft einer anderen ist; und ob (iv) die Aktiven,
welche Gegenstand eines solchen Zusammenschlusses sind oder die von der
Gesellschaft oder einer ihrer Tochtergesellschaften im Zusammenhang mit
einem solchen Zusammenschluss ausgegebenen oder übertragenden Effekten
einen aggregierten Marktwert von mindestens 25 % des Marktwertes der
gesamten Aktiven unmittelbar vor dem Zusammenschluss haben. Die Mehrheit
der Unparteiischen Mitglieder des Verwaltungsrates hat zudem das Recht,
sämtliche Bestimmungen und Begriffe dieses Art. 20
auszulegen.
|
1. The
approval of Business Combinations (definition of this term is in Art. 41
of these Articles of Association) pursuant to Art. 12 (9) of these
Articles of Association. The foregoing requiring a special resolution of
the shareholders shall not be applicable to any particular Business
Combination, and such Business Combination shall require only such vote as
is required by the law or by these Articles of Association, whichever is
greater, if the Business Combination shall have been approved by a
majority of the Disinterested Directors (as hereinafter defined in Art. 41
of these Articles of Association) whereby it is understood that such
majority of the Disinterested Directors shall have the power and duty to
determine for the purposes of this Article, on the basis of information
known to them after reasonable inquiry, (i) whether a person is an
Interested Shareholder; (ii) the number of Shares of which any person is
the beneficial owner; (iii) whether a Person is an Affiliate of another;
and (iv) whether the assets which are the subject of any Business
Combination have, or any securities to be issued or transferred by the
Company or any Subsidiary in any Business Combination have, an aggregate
Fair Market Value equaling or exceeding twenty-five percent (25 %) of the
Fair Market Value of the combined assets immediately prior to such
transfer of the Company and its subsidiaries. A majority of the
Disinterested Directors shall have the further power to interpret all of
the terms and provisions of this Art.
20.
|
2. Jede
Änderung dieser Bestimmung.
|
2. Any
change to this paragraph of Art. 20 of the Articles of
Association.
|
|
Ein
Beschluss der Generalversammlung der mindestens zwei Drittel der
Gesamtstimmen (die Definition von Gesamtstimmen findet sich in Art. 41
dieser Statuten) auf sich vereinigt, ist erforderlich für:
|
The
approval of at least two thirds of the Total Voting Shares shall be
required for (definition of the term Total Voting Shares is in Art. 41 of
these Articles of Association):
|
|
1. Die
Abwahl eines amtierenden Mitglieds des Verwaltungsrates
|
1. A
resolution with respect to the removal of a serving member of the Board of
Directors.
|
|
2. Jede
Änderung dieser Bestimmung
|
2. Any
change to this paragraph of Art. 20 of the Articles of
Association.
|
|
Ein
Beschluss der Generalversammlung der mindestens 75 % der Gesamtstimmen
(die Definition von Gesamtstimmen findet sich in Art. 41 dieser Statuten)
auf sich vereinigt, ist erforderlich für:
|
The
approval of at least 75 % of the Total Voting Shares shall be required for
(definition of the term Total Voting Shares is in Art. 41 of these
Articles of Association):
|
|
1. Die
Reduktion oder Erhöhung der Anzahl Verwaltungsräte in Art. 24 dieser
Statuten.
|
1. The
increase or reduction of the number of members of the Board of Directors
in Art. 24 of these Articles of Association.
|
|
2. Jede
Änderung dieser Bestimmung.
|
2. Any
change to this paragraph of Art. 20 of the Articles of
Association.
|
|
Auf
Verlangen eines Aktionärs erfolgt die Wahl der Mitglieder des
Verwaltungsrates in geheimer Abstimmung. Die übrigen Wahlen und
Beschlussfassungen erfolgen in offener Abstimmung, falls die
Generalversammlung nichts anderes beschliesst.
|
At
the request of a shareholder the election of members of the Board of
Directors shall take place by secret ballot. All other voting and passing
of resolutions shall occur by open ballot unless otherwise resolved by the
general meeting of the shareholders.
|
|
Ist
die Gesellschaft verpflichtet, ihre Jahresrechnung und gegebenenfalls ihre
Konzernrechnung durch eine Revisionsstelle prüfen zu lassen, muss der
Revisionsbericht vorliegen, bevor die Generalversammlung die
Jahresrechnung und die Konzernrechnung genehmigt und über die Verwendung
des Bilanzgewinns beschliesst. Wird eine ordentliche Revision
durchgeführt, so muss die Revisionsstelle an der Generalversammlung
anwesend sein. Die Generalversammlung kann durch einstimmigen Beschluss
auf die Anwesenheit der Revisionsstelle verzichten.
|
Where
the Company is required to have its annual financial accounts and, where
relevant, its group accounts audited by auditors, the audit report shall
be presented to the general meeting of the shareholders prior to approval
of the annual financial accounts and group accounts and prior to resolving
on the application of the balance sheet profit. Where an ordinary audit is
to be conducted, the Auditors shall be present at the general meeting of
the shareholders. The general meeting of the shareholders may by way of a
unanimous resolution, waive the requirement for the presence of the
Auditors.
|
Art.
21 Auskunfts- und Einsichtsrecht der
Aktionäre
|
Art.
21 Information and Inspection Rights of the
Shareholders
|
|
Jeder
Aktionär ist berechtigt, an der Generalversammlung vom Verwaltungsrat
Auskunft über die Angelegenheiten der Gesellschaft und von der
Revisionsstelle über Durchführung und Ergebnis ihrer Prüfung zu
verlangen.
|
At
the general meeting of the shareholders, any shareholder is entitled to
request information from the Board of Directors concerning the affairs of
the Company and from the Auditors concerning the conduct and the results
of their review.
|
|
Die
Auskunft ist insoweit zu erteilen, als sie für die Ausübung der
Aktionärsrechte erforderlich ist. Sie kann verweigert werden, wenn durch
sie Geschäftsgeheimnisse oder andere schutzwürdige Interessen der
Gesellschaft gefährdet werden.
|
The
information shall be given to the extent necessary for the exercising of
shareholders' rights. It may be denied if business secrets or other
interests of the Company worth being protected are
jeopardized.
|
|
Die
Geschäftsbücher und Korrespondenzen können nur mit ausdrücklicher
Ermächtigung der Generalversammlung oder durch Beschluss des
Verwaltungsrates und unter Wahrung des Geschäftsgeheimnisses eingesehen
werden.
|
Company
books and correspondence may only be inspected with the express
authorization of the general meeting of the shareholders or by resolution
of the Board of Directors and under the condition that business secrets
are safeguarded.
|
|
Art.
22 Recht auf Einleitung einer
Sonderprüfung
|
Art.
22 Right to Initiate a Special
Audit
|
|
Jeder
Aktionär kann der Generalversammlung beantragen, bestimmte Sachverhalte
durch eine Sonderprüfung abklären zu lassen, sofern dies zur Ausübung der
Aktionärsrechte erforderlich ist und er das Recht auf Auskunft oder das
Recht auf Einsicht bereits ausgeübt hat.
|
Any
shareholder may, at the general meeting of the shareholders, request that
certain matters be subject to a special audit to the extent this is
necessary for the exercising of shareholders' rights and he/she has
previously exercised the right to information or the right to
inspection.
|
|
Art.
23 Präsenzquorum
|
Art.
23 Presence Quorum
|
|
Jede
Beschlussfassung oder Wahl setzt zu ihrer Gültigkeit im Zeitpunkt der
Konstituierung der Generalversammlung ein Präsenzquorum von Aktionären,
welche mindestens die Mehrheit aller Gesamtstimmen vertreten, voraus. Die
Aktionäre können mit der Behandlung der Traktanden fortfahren, selbst wenn
Aktionäre nach Bekanntgabe des Quorums durch den Vorsitzenden die
Generalversammlung verlassen.
|
The
adoption of any resolution or election requires the presence of at least a
majority of the Total Voting Shares at the time when the general meeting
of the shareholders proceeds to business. The shareholders present at a
general meeting of the shareholders may continue to transact business,
despite the withdrawal of shareholders from such general meeting of the
shareholders following announcement of the presence quorum at that
meeting.
|
|
B.
Der
Verwaltungsrat
|
B. The
Board of Directors
|
|
Art.
24 Zusammensetzung
|
Art.
24 Composition
|
|
Der
Verwaltungsrat besteht aus mindestens einem und höchstens zehn
Mitgliedern.
|
The
Board of Directors shall consist of no less than one and no more than ten
members.
|
|
Solange
die Namenaktien der Gesellschaft an einer in- oder ausländischen Börse
kotiert sind, soll der Verwaltungsrat mindestens drei unabhängige
Verwaltungsräte (Unabhängige Verwaltungsräte) ausweisen.
|
As
long as the registered Shares of the Company are listed on a domestic or
foreign Exchange, the Company shall maintain a minimum of three
Independent Directors on its Board of
Directors.
|
Art.
25 Amtsdauer
|
Art.
25 Term of Office
|
|
Die
Verwaltungsräte werden vom Verwaltungsrat in drei Klassen aufgeteilt,
welche als Klasse I, Klasse II und Klasse III bezeichnet werden. Die
Verwaltungsräte sollen gleichmässig auf die drei Klassen aufgeteilt
werden. Die erste Amtszeit der gewählten Verwaltungsräte endet wie
folgt:
|
The
Board of Directors shall divide its members into three classes, designated
Class I, Class II and Class III. All Classes shall be as nearly equal in
number as possible. The members of the Board of Directors as initially
classified shall hold office for terms as follows:
|
|
Die
Amtszeit der Verwaltungsratsmitglieder der Klasse I endet mit der
ordentlichen Generalversammlung des Jahres 2011 oder mit der Wahl ihrer
Nachfolger;
|
The
Class I members of the Board of Directors shall hold office until the date
of the ordinary general meeting of the shareholders in 2011 or until their
successors shall be elected and qualified;
|
|
Die
Amtszeit der Verwaltungsratsmitglieder der Klasse II endet mit der
ordentlichen Generalversammlung des Jahres 2012 oder mit der Wahl ihrer
Nachfolger;
|
The
Class II members of the Board of Directors shall hold office until the
date of the ordinary general meeting of the shareholders in 2012 or until
their successors shall be elected and qualified;
|
|
Die
Amtszeit der Verwaltungsratsmitglieder der Klasse III endet mit der
ordentlichen Generalversammlung des Jahres 2013 oder mit der Wahl ihrer
Nachfolger.
|
The
Class III members of the Board of Directors shall hold office until the
date of the ordinary general meeting of the shareholders in 2013 or until
their successors shall be elected and qualified.
|
|
An
jeder ordentlichen Generalversammlung soll jede Klasse Verwaltungsräte,
deren Amtsdauer abläuft, für eine Amtsdauer von drei Jahren bzw. bis zur
Wahl ihrer Nachfolger gewählt werden. Die Verwaltungsräte sind wieder
wählbar.
|
At
each ordinary general meeting of the shareholders, each class of the
members of the Board of Directors whose term shall then expire shall be
elected to hold office for a three-year term or until the election of
their respective successor in office. The members of the Board of
Directors are re-electable.
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|
Der
Verwaltungsrat legt die Reihenfolge der Wiederwahl fest, wobei die erste
Amtszeit einer bestimmten Klasse von Verwaltungsräten auch weniger als
drei Jahre betragen kann. Für den Zweck dieser Bestimmung ist unter einem
Jahr der Zeitabschnitt zwischen zwei ordentlichen Generalversammlungen zu
verstehen.
|
The
Board of Directors shall establish the order of rotation, whereby the
first term of office of members of a particular class may be less than
three years. For purposes of this provision, one year shall mean the
period between two ordinary general meetings of the
shareholders.
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|
Wenn
ein Verwaltungsratsmitglied vor Ablauf seiner Amtsdauer aus welchen
Gründen auch immer ersetzt wird, endet die Amtsdauer des an seiner Stelle
gewählten neuen Verwaltungsratsmitgliedes mit dem Ende der Amtsdauer
seines Vorgängers.
|
If,
before the expiration of his term of office, a member of the Board of
Director should be replaced for whatever reason, the term of office of the
newly elected member of the Board of Directors shall expire at the end of
the term of office of his predecessor.
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|
Ist
an der Gesellschaft eine juristische Person oder eine Handelsgesellschaft
beteiligt, so ist sie als solche nicht als Mitglied des Verwaltungsrates
wählbar; dagegen können an ihrer Stelle ihre Vertreter gewählt
werden.
|
If
a legal entity or another commercial enterprise is a shareholder of the
Company, it shall not be eligible for membership on the Board of
Directors; however, its representatives may be elected in lieu
thereof.
|
Art.
26 Konstituierung
|
Art.
26 Constitution
|
|
Besteht
der Verwaltungsrat aus mehreren Personen, so konstituiert er sich selbst,
indem er seinen Präsidenten (
„Verwaltungsratspräsident“ oder
„Präsident“
), seinen Sekretär sowie allfällige Vizepräsidenten
wählt. Der Sekretär muss dem Verwaltungsrat nicht
angehören.
|
Where
the Board of Directors consists of several persons it shall organize
itself so that it elects its own chairman (
“Chairman of the Board of
Directors” or “Chairman”
) and the Secretary and it may elect one or
more vice-chairman. The Secretary need not belong to the Board of
Directors.
|
|
Art.
27 Aufgaben
|
Art.
27 Duties
|
|
Der
Verwaltungsrat besorgt die laufenden Geschäfte und vertritt die
Gesellschaft nach aussen.
|
The
Board of Directors shall manage the ongoing business and represent the
Company externally.
|
|
Der
Verwaltungsrat hat die folgenden unübertragbaren und unentziehbaren
Aufgaben:
|
The
Board of Directors has the following non-transferable and inalienable
duties:
|
|
Oberleitung
der Gesellschaft und Erteilung der nötigen Weisungen;
|
Supreme
management of the Company and issuance of the relevant
instructions;
|
|
Festlegung
der Organisation;
|
Determination
of the organisation;
|
|
Ausgestaltung
des Rechnungswesens, der Finanzkontrolle sowie der Finanzplanung, sofern
diese für die Führung der Gesellschaft notwendig ist;
|
Structuring
of the accounting system, the financial controls and the financial
planning to the extent that this is necessary for the management of the
Company;
|
|
Ernennung
und Abberufung der mit der Geschäftsführung und der Vertretung betrauten
Personen sowie Regelung der Zeichnungsberechtigung;
|
Appointment
and removal of the persons entrusted with the management and
representation of the Company as well as regulation of signatory
power;
|
|
Oberaufsicht
über die mit der Geschäftsführung betrauten Personen, namentlich im
Hinblick auf die Befolgung der Gesetze, Statuten, Reglemente und
Weisungen;
|
Overall
supervision of the persons entrusted with the management of the Company,
in particular with regard to their compliance with the law, the Articles
of Association and other internal rules and regulations;
|
|
Erstellung
des Geschäftsberichtes sowie Vorbereitung der Generalversammlung und
Ausführung ihrer Beschlüsse;
|
Preparation
of the annual business report and the general meeting of the shareholders,
as well as implementation of its resolutions;
|
|
Benachrichtigung
des Richters im Falle der Überschuldung;
|
Notification
of the judge in the case of over-indebtedness;
|
|
Beschlussfassung
über die nachträgliche Leistung von Einlagen auf nicht voll liberierte
Aktien;
|
Passing
of resolutions regarding retroactive payments related to partly paid-in
shares;
|
|
Feststellungsbeschlüsse
bei Kapitalerhöhungen und daraus folgende
Statutenänderungen.
|
Declaratory
resolutions regarding capital increases and consequential amendments of
the Articles of
Association.
|
Er
hat überdies die folgenden Aufgaben:
|
In
addition, the Board of Directors shall have the following
duties:
|
|
Führung
der gemäss Organisationsreglement dem Verwaltungsrat vorbehaltenen
Geschäfte (vgl. Art. 30 Abs. 2);
|
Management
of transactions reserved to the Board of Directors by the Organizational
Regulations (cf. Art. 30 paragraph 2);
|
|
Antragstellung
betreffend Verwendung des Bilanzgewinnes;
|
Proposals
regarding the application of the balance sheet profit;
|
|
Festlegung
des Geschäftsjahres (vgl. Art. 36);
|
Defining
the business year (cf. Art. 36).
|
|
Behandlung
von Eintragungsgesuchen (vgl. Art. 8).
|
Treatment
of registration applications (cf. Art. 8).
|
|
Im
Übrigen kann der Verwaltungsrat in allen Angelegenheiten Beschluss fassen,
die nicht nach Gesetz, Statuten oder Reglement der Generalversammlung oder
einem anderen Organ der Gesellschaft vorbehalten oder übertragen
sind.
|
Otherwise,
the Board of Directors may resolve on all matters not reserved or assigned
to the general meeting of the shareholders or another corporate body of
the Company by law, the Articles of Association or other internal rules
and regulations.
|
|
Die
Mitglieder des Verwaltungsrates zeichnen kollektiv zu zweien. Gehört dem
Verwaltungsrat nur eine Person an, so ist diese
einzelzeichnungsberechtigt.
|
The
members of the Board of Directors shall have the power of joint
signatories. Where the Board of Directors consists of just one person, he
shall have the power of single signatory.
|
|
Art.
28 Entschädigung
|
Art.
28 Compensation
|
|
Die
Mitglieder des Verwaltungsrates haben Anspruch auf Ersatz ihrer im
Interesse der Gesellschaft aufgewendeten Auslagen sowie auf eine ihrer
Tätigkeit entsprechende Entschädigung. Der Betrag wird vom Verwaltungsrat
festlegt.
|
The
members of the Board of Directors shall have a claim to compensation for
their expenses incurred in the interests of the Company as well as
remuneration for their activities. The amount of the remuneration shall be
determined by the Board of Directors.
|
|
Im
Rahmen des gesetzlich Zulässigen, hält die Gesellschaft sämtliche Personen
sowie deren Erben, Konkurs- oder Nachlassmassen, welche wegen ihrer
Tätigkeit als Verwaltungsrat, Mitglied der Geschäftsleitung, Angestellte,
Agent oder weil sie in einer anderen Funktion für oder im Namen der
Gesellschaft (einschliesslich solcher Tätigkeiten, die diese Personen für
eine andere Gesellschaft, eine nicht rechtsfähige Personengesellschaft,
einen Joint Ventures, einen Trusts, eine sonstige Geschäftseinheit oder
fiduziarisch im Zusammenhang mit von der Gesellschaft unterhaltenen
Mitarbeiterbeteiligungsplänen für oder im Namen oder auf Aufforderung der
Gesellschaft ausübten oder ausüben) tätig wurden, Partei in drohenden,
hängigen oder abgeschlossenen Klagen, Verfahren oder Untersuchungen
zivil-, straf-, verwaltungsrechtlicher oder anderer Natur (einschliesslich
allfälliger Klagen der Gesellschaft) waren oder werden, schadlos von
sämtlichen Auslagen (einschliesslich Anwaltskosten), Abgaben, Verlusten
und Schäden, die diese in diesem Zusammenhang zu bezahlen und damit
erlitten haben. Im Rahmen des gesetzlich zulässigen soll die Gesellschaft
Gerichts- und Anwaltskosten im Zusammenhang mit solchen Klagen und
Verfahren (einschliesslich Rechtsmittelverfahren)
bevorschussen.
|
The
Company shall indemnify, to the full extent now or hereafter permitted by
law, any person (including his heirs, executors and administrators) who
was or is a party or is threatened to be made a party to any threatened,
pending or completed action, suit or proceeding, whether civil, criminal,
administrative or investigative (including, without limitation, an action
by or in the right of the Company), by reason of his acting as, or having
in the past acted as, a member of the Board of Director, officer, employee
or agent of, or his acting in any other capacity for or on behalf of, the
Company (including his serving for, on behalf of or at the request of the
Company as a member of the Board of Director, officer employee or agent of
another company, partnership, joint venture, trust or other enterprise, or
in a fiduciary or other capacity with respect to any employee benefit plan
maintained by the Company) against any expense (including attorneys’
fees), judgments, fines and amounts paid in settlement actually and
reasonably incurred by such person (or his heirs, executors and
administrators) in respect thereof. The Company shall advance
the expenses of defending any such action, suit or proceeding (including
appeals) in accordance with and to the full extent now or hereafter
permitted by law.
|
Der
Verwaltungsrat ist unabhängig von der Interessenlage des einzelnen
Mitgliedes berechtigt, namens der Gesellschaft und zugunsten der in Art.
28 Abs. 2 dieser Statuten erwähnten Personen Versicherungen für die gegen
diese Personen im Zusammenhang mit den oben beschriebenen Funktionen
erhobenen Haftungsansprüche sowie deren Folgen abzuschliessen, unabhängig
davon, ob die Gesellschaft das Recht bzw. die Macht hätte, diese Person in
Anwendung von Art. 28 schadlos zu halten.
|
The
Board of Directors may, notwithstanding any interest of the member of the
Board of Directors in such action, authorize the Company to purchase and
maintain insurance on behalf of any person described in Art. 28 paragraph
2 of these Articles of Association, against any liability asserted against
him and incurred by him in any such capacity, or arising out of his status
as such, whether or not the Company would have the power to indemnify him
against such liability under the provisions of this Art.
28.
|
|
Art.
28 ist auf alle Ansprüche, Klagen, Prozesse anwendbar, die nach
Inkrafttreten dieser Bestimmung eingeleitet werden, unabhängig davon, ob
sich diese auf Tätigkeiten oder Unterlassungen vor Inkrafttreten dieser
Bestimmung stützen. Die Vorschrift in diesem Art. 28 soll als Vertrag
zwischen der Gesellschaft und jedem Verwaltungsratsmitglied, Mitglied der
Geschäftsleitung, Direktor, Angestellten und Agenten, der in den weiter
oben beschriebenen Funktionen zu einem beliebigen Zeitpunkt während der
Gültigkeit dieser Bestimmung und des anwendbaren Rechts tätig war, gelten,
und die Aufhebung oder Änderung dieser Bestimmung soll die zu jenem
Zeitpunkt bestehenden Rechte und Pflichten bezüglich des zu jenem
Zeitpunkt bestehenden Tatbestandes oder der zu jenem oder einem späteren
Zeitpunkt gestützt auf diesen Sachverhalt geltend gemachten oder
angedrohten Klagen, Ansprüchen oder Prozessen nicht berühren. Sollten
einzelne Bestimmungen dieses Art. 28 aus gesetzlichen oder regulatorischen
Gründen ungültig sein oder in ihrer Anwendung eingeschränkt werden, soll
dies die Anwendung dieser Bestimmung oder die Gültigkeit dieser Bestimmung
nicht berühren. Die Rechte im Zusammenhang mit der Schadloshaltung und der
Bevorschussung in diesem Artikel sind weder exklusiv noch sollen sie
allfällige bestehende andere Rechte der betroffenen
Verwaltungsratsmitglieder, Geschäftsleitungsmitgliedern, Direktoren,
Angestellten oder Agenten limitieren, die diese gestützt auf Verträge oder
gestützt auf Beschlüsse der Organe der Gesellschaft oder in ihrer Funktion
haben, limitieren. Die Gesellschaft ist dem Grundsatz verpflichtet, wonach
die Schadloshaltung der in diesem Artikel definierten Personen im Rahmen
des gesetzlich zulässigen entsprochen werden soll.
|
The
provisions of this Art. 28 shall be applicable to all actions, claims,
suits or proceedings made or commenced after the adoption hereof, whether
arising from acts or omissions to act occurring before or after its
adoption. The provisions of this Art. 28 shall be deemed to be
a contract between the Company and each member of the Board of Director,
officer, employee or agent who serves in such capacity at any time while
this Article and the relevant provisions of the law, if any, are in
effect, and any repeal or modification thereof shall not affect any rights
or obligations then existing with respect to any state of facts or any
action, suit or proceeding then or theretofore existing, or any action,
suit or proceeding thereafter brought or threatened based in whole or in
part on any such state of facts. If any provision of this Art.
28 shall be found to be invalid or limited in application by reason of any
law or regulation, it shall not affect any other application of such
provision or the validity of the remaining provisions
hereof. The rights of indemnification and advancement of
expenses provided in this Article shall neither be exclusive of, nor be
deemed in limitation of, any rights to which any such member of the Board
of Director, officer, employee or agent may otherwise be entitled or
permitted by contract, vote of members or directors or otherwise, or as a
matter of law, both as to actions in his official capacity and actions in
any other capacity while holding such office, it being the policy of the
Company that indemnification of the specified individuals shall be made to
the fullest extent permitted by
law.
|
Art.
29 Einberufung und Beschlussfassung
|
Art.
29 Calling of Meetings and
Quorum
|
|
Der
Verwaltungsrat versammelt sich, so oft es die Geschäfte erfordern, jedoch
mindestens einmal im Jahr. Er wird durch seinen Präsidenten oder den
Vizepräsidenten einberufen. Jedes Mitglied hat jederzeit das Recht, unter
schriftlicher Angabe der Gründe die unverzügliche Einberufung einer
Verwaltungsratssitzung zu verlangen.
|
The
Board of Directors shall meet as often as business demands but at least
once a year. It shall be called by the Chairman of the Board of Directors
or the vice-chairman. Each member may, by giving written reasons
therefore, demand that a meeting of the Board of Directors be held without
delay.
|
|
Die
Einberufung des Verwaltungsrates hat in der Regel mindestens fünf Werktage
vor dem Sitzungstage zu erfolgen. Tag, Zeit und Ort der Sitzung und die
Verhandlungsgegenstände (Traktandenliste) sind bei der Einberufung bekannt
zu geben. Gleichzeitig werden die massgebenden Sitzungsunterlagen
zugestellt. Über Gegenstände, die in der Traktandenliste nicht aufgeführt
sind, können in dringenden Fällen Beschlüsse gefasst
werden.
|
The
calling of a meeting of the Board of Directors shall, as a rule, be made
at least five working days before the date of the meeting. Day, time, and
place of the meeting as well as the matters for discussion (agenda) shall
be notified at the time of the calling. At the same time, the related
documents for the meeting shall be provided. Matters not contained in the
agenda may be resolved upon in urgent cases.
|
|
Der
Verwaltungsrat ist beschlussfähig, wenn die absolute Mehrheit der
Mitglieder anwesend ist. Für Beschlüsse, die im Rahmen von
Kapitalerhöhungen zu treffen sind, ist der Verwaltungsrat auch
beschlussfähig, wenn nur ein Mitglied anwesend ist.
|
The
Board of Directors is quorate when the absolute majority of members is
present. Where a resolution is to be taken in the context of a capital
increase, the Board of Directors is also quorate when only one member is
present.
|
|
Der
Verwaltungsrat fasst seine Beschlüsse und trifft seine Wahlen mit der
Mehrheit der abgegebenen Stimmen. Er kann höhere Beschlussfassungsquoren
einführen. Diese müssen in einem Reglement festgehalten werden. Bei
Stimmengleichheit gibt der Vorsitzende den Stichentscheid, bei Wahlen
entscheidet das Los.
|
The
Board of Directors shall pass its resolutions and votes with a majority of
the votes cast. The Board of Directors may introduce higher requirements
to pass votes. Such requirements shall be contained in an internal
regulation. Where votes are tied, the chairperson shall give the casting
vote; in the case of elections this shall be decided by
lot.
|
|
Beschlüsse
können auch auf dem Weg der schriftlichen Zustimmung (durch Brief, Telefax
oder E-Mail) zu einem Antrag gefasst werden, sofern nicht ein Mitglied
mündliche Beratung verlangt. Diese Beschlüsse bedürfen der Einstimmigkeit
und sind zusammen mit den anderen Verwaltungsratsprotokollen
aufzubewahren.
|
Resolutions
may also be passed by way of written consent (by letter, fax or email)
provided no member has demanded an oral consultation. These resolutions
require unanimity and shall be kept with the minutes of the meetings of
the Board of
Directors.
|
Art.
30 Delegation und Ausschüsse
|
Art.
30 Delegation and Committees
|
|
Der
Verwaltungsrat kann die Vorbereitung, die Ausführung seiner Beschlüsse und
die Überwachung von Geschäften Ausschüssen oder einzelnen Mitgliedern
zuweisen.
|
The
Board of Directors may delegate the preparation and implementation of its
resolutions and the oversight of business to committees or individual
members.
|
|
Unter
Vorbehalt seiner unübertragbaren und unentziehbaren Aufgaben ist der
Verwaltungsrat ferner befugt, die Geschäftsführung oder einzelne Zweige
derselben und die Vertretung der Gesellschaft an eine oder mehrere
Personen, Mitglieder des Verwaltungsrates (Delegierte) oder Dritte
(Direktoren oder Geschäftsführer), zu übertragen. Er legt die dazu
notwendigen Einzelheiten in einem Organisationsreglement
fest.
|
Subject
to its non-transferable and inalienable duties, the Board of Directors is
furthermore empowered to transfer management of the business or individual
branches of the same and the representation of the Company to one or more
persons, members of the Board of Directors (delegates) or third parties
(directors or managers). The Board of Directors shall stipulate the
necessary details in the Organizational Regulations.
|
|
Art.
31 Protokoll
|
Art.
31 Minutes
|
|
Über
die Verhandlungen und Beschlüsse des Verwaltungsrates ist ein Protokoll zu
führen. Das Protokoll ist vom Vorsitzenden und vom Sekretär zu
unterzeichnen. Besteht der Verwaltungsrat aus nur einem Mitglied, muss
auch dieser über seine Entscheidungen Protokoll führen.
|
Minutes
shall be recorded of the discussions and resolutions of the Board of
Directors. The minutes shall be signed by the Chairperson and the
Secretary. Where the Board of Directors consists of only one member, such
person must also keep a record of his decisions.
|
|
Die
Protokolle sind vom Verwaltungsrat jeweils in der nächsten Sitzung zu
genehmigen.
|
The
minutes shall be approved by the Board of Directors in the next
meeting.
|
|
Art.
32 Recht auf Auskunft und Einsicht
|
Art.
32 Right to Information and
Inspection
|
|
Jedes
Mitglied des Verwaltungsrates kann Auskunft über alle Angelegenheiten der
Gesellschaft verlangen. In den Sitzungen sind alle Mitglieder des
Verwaltungsrates sowie die mit der Geschäftsführung betrauten Personen zur
Auskunft verpflichtet. Ausserhalb der Sitzungen kann jedes Mitglied von
den mit der Geschäftsführung betrauten Personen Auskunft über den
Geschäftsgang und, mit Ermächtigung des Präsidenten, auch über einzelne
Geschäfte verlangen.
|
Each
member of the Board of Directors may demand information on all matters
concerning the Company. At meetings, all members of the Board of Directors
as well as the persons entrusted with the management of the Company are
under a duty to provide information. Outside the meetings, each member can
demand information from those persons entrusted with the management about
the course of business and, with the authorization of the president, about
individual transactions.
|
|
Soweit
es für die Erfüllung einer Aufgabe erforderlich ist, kann jedes Mitglied
dem Präsidenten beantragen, dass ihm Bücher und Akten vorgelegt werden.
Weist der Präsident ein Gesuch auf Auskunft, Anhörung oder Einsicht ab, so
entscheidet der Verwaltungsrat. Regelungen oder Beschlüsse des
Verwaltungsrates, die das Recht auf Auskunft und Einsichtnahme der
Mitglieder des Verwaltungsrates erweitern, bleiben
vorbehalten.
|
To
the extent it is necessary for the performance of a task, each member may
apply to the Chairman of the Board of Directors that the books and files
are made available to him. Where the Chairman of the Board of Directors
rejects an application for information, a hearing or inspection, the Board
of Directors shall decide. Regulations or resolutions of the Board of
Directors that provide the members of the Board of Directors with the
right to information and inspection remain
reserved.
|
Art.
33 Zeichnungsberechtigung
|
Art.
33 Signature Power
|
|
Die
rechtsverbindliche Vertretung der Gesellschaft durch Mitglieder des
Verwaltungsrates und durch Dritte wird in einem Organisationsreglement
festgelegt.
|
The
due and valid representation of the Company by members of the Board of
Directors and other persons shall be set forth in Organizational
Regulations.
|
|
C.
Die Revisionsstelle
|
C.
The
Auditors
|
|
Art.
34 Revision
|
Art.
34 Audit
|
|
Die
Generalversammlung wählt die Revisionsstelle.
|
The
general meeting of the shareholders shall elect the
Auditor.
|
|
Sie
kann auf die Wahl einer Revisionsstelle verzichten, wenn:
|
It
can waive the election of auditors where:
|
|
die
Voraussetzungen für eine ordentliche Revision nicht gegeben
sind;
|
the
requirements for an ordinary audit are not present;
|
|
die
Zustimmung sämtlicher Aktionäre vorliegt und;
|
the
consent of all shareholders has been given; and
|
|
die
Gesellschaft nicht mehr als zehn Vollzeitstellen im Jahresdurchschnitt
hat.
|
the
Company does not have more than ten full-time positions on average per
year.
|
|
Haben
die Aktionäre auf eine eingeschränkte Revision verzichtet, so gilt dieser
Verzicht auch für die nachfolgenden Jahre. Jeder Aktionär hat jedoch das
Recht, spätestens zehn Tage vor der Generalversammlung eine eingeschränkte
Revision zu verlangen. Die Generalversammlung muss diesfalls die
Revisionsstelle wählen.
|
Where
the shareholders have waived a limited statutory examination, this waiver
applies also to the following year. Each shareholder may, however, demand
a limited statutory examination at the latest ten days prior to the
general meeting of the shareholders. The general meeting of the
shareholders must in this case elect the Auditor.
|
|
Art.
35 Organisation der Revisionsstelle
|
Art.
35 Organisation of the Auditor
|
|
Als
Revisionsstelle können eine oder mehrere natürliche oder juristische
Personen oder Personengesellschaften gewählt werden.
|
One
or several individuals or legal persons or partnerships may be elected as
Auditors.
|
|
Wenigstens
ein Mitglied der Revisionsstelle muss seinen Wohnsitz, seinen Sitz oder
eine eingetragene Zweigniederlassung in der Schweiz haben.
|
As
a minimum one member of the Auditor shall be resident or have a registered
branch in Switzerland.
|
|
Muss
die Gesellschaft ihre Jahresrechnung durch eine Revisionsstelle ordentlich
prüfen lassen im Sinne von:
|
Where
the Company is required to arrange an ordinary audit of its annual
financial accounts by auditors pursuant to:
|
|
Art.
727 Abs. 1 Ziff. 2 oder Ziff. 3 OR;
|
Art.
727 paragraph 1 section 2 or section 3 CO;
|
|
Art.
727 Abs. 2 OR
|
Art.
727 paragraph 2 CO
|
|
wählt
die Generalversammlung einen zugelassenen Revisionsexperten nach den
Vorschriften des Revisionsaufsichtsgesetzes (RAG) als
Revisionsstelle.
|
the
general meeting of the shareholders shall elect a licensed audit expert in
accordance with the provisions of the Audit Oversight Act (RAG) as
auditors.
|
Ist
die Gesellschaft zur eingeschränkten Revision verpflichtet, kann als
Revisionsstelle auch ein zugelassener Revisor nach den Vorschriften des
RAG bezeichnet werden. Vorbehalten bleibt der Verzicht auf die Wahl einer
Revisionsstelle nach Art. 34.
|
Where
the Company is required to arrange a limited statutory examination a
licensed auditor in accordance with the provisions of the RAG may also be
appointed as auditors. Waiver of the election of auditors pursuant to Art.
34 remains reserved.
|
|
Die
Revisionsstelle muss im Sinne von Art. 728 bzw. 729 OR unabhängig
sein.
|
The
Auditor must be independent in accordance with Art. 728 respectively 729
CO.
|
|
Die
Revisionsstelle wird für ein Geschäftsjahr gewählt. Ihr Amt endet mit der
Abnahme der letzten Jahresrechnung. Die Wiederwahl ist möglich. Die
Generalversammlung kann die Revisionsstelle jederzeit mit sofortiger
Wirkung abberufen.
|
The
Auditor shall be appointed for one business year. Their term of office
shall end with the approval of the final annual financial accounts.
Re-appointment is possible. The general meeting of the shareholders may
remove the Auditor with immediate effect at any time.
|
|
D.
Rechnungslegung und Verwendung des Bilanzgewinnes
|
D. Rendering
of Accounts and Allocation of Balance Sheet
Profit
|
|
Art.
36 Jahresrechnung
|
Art.
36 Annual Financial Accounts
|
|
Die
Jahresrechnung wird jährlich auf den 31. Dezember oder auf einen anderen,
durch den Verwaltungsrat zu beschliessenden Termin
abgeschlossen.
|
The
annual financial accounts shall be closed annually on the 31 December or
another date determined by the Board of Directors.
|
|
Die
Erfolgsrechnung, die Bilanz und der Anhang sind mindestens gemäss den
gesetzlichen Bestimmungen von Art. 662a - 670 und 957 - 961 OR
aufzustellen.
|
The
profit and loss statement, the balance sheet and notes shall be compiled
as a minimum in accordance with the provisions of Art. 662a-670 and
957-961 CO.
|
|
Art.
37 Verwendung des Jahresgewinnes
|
Art.
37 Application of the Annual
Profit
|
|
Vom
in der Jahresbilanz ausgewiesenen Jahresgewinn ist jährlich ein Betrag von
5 % der allgemeinen Reserve zuzuweisen, bis diese 20 % des einbezahlten
Aktienkapitals erreicht hat.
|
An
amount of 5 % of the annual profit identified in the annual financial
accounts is to be allotted to the general reserves until this has reached
20 % of the paid-up share capital.
|
|
Der
verbleibende Jahresgewinnsaldo und ein allfälliger Gewinnvortrag früherer
Geschäftsjahre stehen unter Vorbehalt der zwingenden gesetzlichen
Bestimmungen (Art. 671 ff. OR) zur freien Verfügung der
Generalversammlung. Der Verwaltungsrat unterbreitet der Generalversammlung
seine Vorschläge betreffend die Behandlung sämtlicher
Zuweisungen.
|
The
remaining annual profit and any balance of profit brought forward from
previous business years shall, pursuant to binding provisions of the law
(Art. 671 et seq. CO), be at the free disposal of the general meeting of
the shareholders. The Board of Directors shall submit its proposals with
respect to the treatment of any allocation to the general meeting of the
shareholders.
|
|
Die
Generalversammlung kann jederzeit die Errichtung von speziellen Reserven
neben den vom Gesetz vorgeschriebenen Reserven beschliessen und über deren
Verwendung bestimmen.
|
The
general meeting of the shareholders may at any time resolve to set up
special reserves in addition to those required by law and determine their
application.
|
|
Dividenden,
welche nicht innerhalb von fünf Jahren nach ihrem Auszahlungsdatum bezogen
werden, fallen an die Gesellschaft und werden in die allgemeinen
gesetzlichen Reserven gebucht.
|
Dividends
that have not been collected within five years after their payment date
shall enure to the Company and be allocated to the general statutory
reserves.
|
E.
Schlussbestimmungen
|
E.
Final Provisions
|
|
Art.
38 Auflösung und Liquidation
|
Art.
38 Winding-up and Liquidation
|
|
Die
Generalversammlung kann jederzeit die Auflösung der Gesellschaft
beschliessen. Die Auflösung und Liquidation sind gemäss den Vorschriften
von Art. 736 ff. OR durchzuführen.
|
The
general meeting of the shareholders may at any time resolve to wind-up the
Company. The winding-up and liquidation of the Company shall be performed
in accordance with Art. 736 et seq. CO.
|
|
Die
Befugnisse der Generalversammlung bleiben auch während der Liquidation mit
der Einschränkung gemäss Art. 739 OR bestehen. Insbesondere unterliegt die
Liquidationsrechnung der Genehmigung durch die
Generalversammlung.
|
The
powers of the general meeting of the shareholders shall also continue
during the liquidation, limited in accordance with Art. 739 CO. In
particular, the liquidation accounts are subject to the approval of the
general meeting of the shareholders.
|
|
Der
Verwaltungsrat besorgt die Liquidation, sofern diese nicht durch Beschluss
der Generalversammlung Dritten übertragen wird.
|
The
Board of Directors shall conduct the liquidation to the extent that this
is not transferred to a third party by a resolution of the general meeting
of the shareholders.
|
|
Die
Liquidatoren sind berechtigt, die Aktiven der Gesellschaft freihändig zu
veräussern.
|
The
liquidators may freely dispose of the assets of the
Company.
|
|
Nach
erfolgter Tilgung der Schulden wird das Vermögen nach Massgabe der
eingezahlten Beträge unter den Aktionären verteilt, soweit diese Statuten
nichts anderes vorsehen.
|
Upon
discharge of all liabilities, the assets of the Company shall be
distributed to the shareholders pursuant to the amounts paid-up, unless
these Articles of Association provide otherwise.
|
|
Art.
39 Mitteilungen und
Bekanntmachungen
|
Art.
39 Communications and
Notifications
|
|
Publikationsorgan
der Gesellschaft ist das Schweizerische Handelsamtsblatt. Der
Verwaltungsrat kann weitere Publikationsorgane bestimmen.
|
The
Company shall make any announcements in the Swiss Official Gazette of
Commerce. The Board of Directors may appoint other publication
bodies.
|
|
Soweit
keine individuelle Benachrichtigung durch das Gesetz, börsengesetzliche
Bestimmungen oder diese Statuten verlangt wird, gelten sämtliche
Mitteilungen an die Aktionäre als gültig erfolgt, wenn sie im
Schweizerischen Handelsamtsblatt veröffentlicht worden sind. Die
Mitteilungen an die Namenaktionäre erfolgen im Falle der in Art. 14 Abs. 3
erwähnten Hinweise an ihre letzte im Aktienbuch eingetragene Adresse durch
Brief oder E-Mail. In allen anderen Fällen können die Mitteilungen durch
Veröffentlichung im Publikationsorgan erfolgen. Bekanntmachungen an die
Gläubiger erfolgen in den vom Gesetz vorgeschriebenen Fällen durch
Veröffentlichung im Publikationsorgan. Finanzinstitute, welche Aktien für
wirtschaftlich Berechtigte halten und entsprechend im Aktienbuch
eingetragen sind, gelten als bevollmächtigte Empfänger.
|
To
the extent that individual notification is not required by law, stock
Exchange regulations or these Articles of Association, all communications
to the shareholders shall be deemed valid if published in the Swiss
Official Gazette of Commerce. Notices to the registered shareholders shall
in the case of the notifications set forth in Art. 14 paragraph 3 be sent
by letter or electronic mail to the last address registered in the Share
Register. In all other cases, they may be made by publication in the
Company's official instrument for publications. Notices to creditors shall
be given in the cases prescribed by law by publication in the Swiss
Official Gazette of Commerce. Financial institutions holding Shares for
beneficial owners and recorded in such capacity in the Share Register
shall be deemed to be authorized
recipients.
|
Art.
40 Verbindlicher Originaltext
|
Art.
40 Original Language
|
|
Falls
sich zwischen der deutsch- und der englischsprachigen Fassung
dieser Statuten Differenzen ergeben, hat die deutschsprachige Fassung
Vorrang.
|
In
the event of deviations between the German and English version of these
Articles of Association, the German text shall prevail.
|
|
Art.
41 Definitionen
|
Art.
41 Definitions
|
|
Aktie
|
Shares
|
|
Der
Begriff
Aktie(n)
hat die in Art. 2 dieser Statuten aufgeführte Bedeutung.
|
The
term
Share(s)
has
the meaning assigned to it in Art. 3 of these Articles of
Association.
|
|
Aktienbuch
|
Share
Register
|
|
Der
Begriff
Aktienbuch
hat die in Art. 8 dieser Statuten aufgeführte Bedeutung.
|
The
term
Share
Register
has the meaning assigned to it in Art. 8 of these Articles
of Association.
|
|
Aktienkapital
|
Share
Capital
|
|
Der
Begriff
Aktienkapital
hat die in Art. 3 dieser Statuten aufgeführte
Bedeutung.
|
The
term
Share Capital
has the meaning assigned to it in Art. 3 of these Articles of
Association.
|
|
Börse
|
Exchange
|
|
Der
Begriff
Börse
bedeutet Einrichtungen des Wertschriftenhandels oder vergleichbare
Systeme, an welchen die Aktien der Gesellschaft gehandelt oder anderweitig
zeitweise zum Handel zugelassen sind.
|
The
term
Exchange
shall mean any securities exchange or other system on which the registered
Shares of the Company may be listed or otherwise authorized for trading
from time to time.
|
|
CHF
|
CHF
|
|
Der
Begriff
CHF
bedeutet Schweizer Franken und ist die gültige Schweizer
Währung.
|
The
term
CHF
shall
mean Swiss Francs, the legal currency in Switzerland.
|
|
Gesamtstimmen
|
Total
Voting Shares
|
|
Der
Begriff
Gesamtstimmen
bedeutet
die Gesamtzahl aller an einer Generalversammlung stimmberechtigen Aktien
unabhängig davon, ob die stimmberechtigten Aktien an der
Generalversammlung vertreten sind oder nicht.
|
Total Voting Shares
means the total number of Shares entitled to vote at a general meeting of
the shareholders whether or not represented at such
meeting.
|
|
Gesellschaft
|
Company
|
|
Der
Begriff
Gesellschaft
bedeutet Garmin Ltd.
|
The
term
Company
shall
mean Garmin Ltd.
|
Marktwert
|
Fair
Market Value
|
|
Der
Begriff
Marktwert
bedeutet (i) im Falle von Aktien den höchsten Schlusskurs dieser Aktien
während der letzten 30 Tage vor dem massgeblichen Stichtag. Dabei
entspricht der Marktwert dem höchsten von der betreffenden Börse
gemeldeten Schlusskurs während der letzten 30 Tage vor dem massgeblichen
Stichtag und, falls eine solche Meldung nicht vorliegt, soll der Marktwert
dieser Aktien vom Verwaltungsrat in guten Treuen bestimmt werden, wobei er
dabei die Art der Aktien, allfällige Dividenden, Zuteilung von Aktien
sowie Aufteilungen oder Zusammenlegungen von Aktien berücksichtigt, und
(ii) im Fall von Vermögenswerten, die weder Aktien noch Bargeld sind, soll
der Marktwert vom Verwaltungsrat in guten Treuen per Stichtag bestimmt
werden.
|
The
term
Fair Market
Value
shall mean (i) in the case of shares, the highest closing
sale price of a share during the 30-day period immediately preceding the
date in question of such share admitted to trading on an Exchange or any
other system then in use, the Fair Market Value shall be the highest
closing sale price reported by the Exchange or such other system during
the 30-day period preceding the date in question, or, if no such
quotations are available, the Fair Market Value on the date in question of
such share as determined by the Board of Directors in good faith, in each
case with respect to any class of share, appropriately adjusted for any
dividend or distribution in shares or any combination or reclassification
of outstanding shares of such share into a smaller number of shares, and
(ii) in the case of property other than cash or shares, the Fair Market
Value of such property on the date in question as determined by the Board
of Directors in good faith.
|
|
Monat
|
Month
|
|
Der
Begriff
Monat
bedeutet ein Kalendermonat.
|
The
term
Month
shall
mean a calendar month.
|
|
Nahestehender
Aktionär
|
Interested
Shareholder
|
|
Der
Begriff
Nahestehender
Aktionär
bedeutet jede natürliche oder juristische Person (unter
Ausschluss der Gesellschaft) sowie deren Muttergesellschaften, (i) die
direkte oder indirekte Eigentümerin von mehr als 20 % der Stimmrechte der
ausgegebenen Aktien ist, oder die (ii) eine Nahestehende Gesellschaft der
Gesellschaft ist und irgendwann in den zwei unmittelbar vorangehenden
Jahren vor dem Zeitpunkt, zu dem bestimmt werden muss, ob diese Person ein
Nahestehender Aktionär ist, direkte oder indirekte Eigentümerin von 20 %
oder mehr der Stimmrechte der ausgegebenen Aktien war; oder (iii) Aktien
übertragen bekommen hat, die irgendwann in den zwei unmittelbar
vorangehenden Jahren vor dem Zeitpunkt, zu dem bestimmt werden muss, ob
eine Person ein Nahestehender Aktionär ist, direkt oder indirekt im
Eigentum eines Nahestehenden Aktionärs standen, sofern die Übertragung
(unabhängig davon ob in einer oder mehreren Transaktionen) ausserhalb
eines öffentlichen Angebots stattgefunden hat.
|
The
term
Interested
Shareholder
shall mean any person (other than the Company) and any
holding company thereof who or which (i) is the beneficial owner directly
or indirectly, of more than twenty per cent (20%) of the voting power of
the outstanding shares of the Company; or, (ii) is an Affiliate of the
Company and at any time within the two-year period immediately prior to
the date in question was the beneficial owner, directly or indirectly, of
twenty per cent (20%) or more of the voting power of the then-outstanding
shares; or (iii) is an assignee of or has otherwise succeeded to any
shares which were at any time within the two-year period immediately prior
to the date in question beneficially owned by any Interested Shareholder,
if such assignment or succession shall have occurred in the course of a
transaction or series of transactions not involving a public
offering.
|
|
Eine
natürliche oder juristische Person gilt dann nicht als Nahestehender
Aktionär, falls eine solche Person nur darum ein Nahestehender Aktionär
wird, weil die Anzahl der ausgegebenen Aktien der Gesellschaft reduziert
werden, unabhängig davon ob eine solche Reduktion auf den Rückkauf von
Aktien der Gesellschaft durch die Gesellschaft zurückzuführen ist. Die
Reduktion der ausgegebenen Aktien erhöht den prozentualen Anteil der
ausgegebenen Aktien im direkten oder indirekten Eigentum der betreffenden
Person bis diese Person direkte oder indirekte Eigentümerin zusätzlicher
Aktien wird.
|
A
person shall not be deemed an Interested Shareholder if such person would
become an Interested Shareholder solely as a result of a reduction of the
number of shares of the Company outstanding, including repurchases of
outstanding shares of the Company by the Company, which reduction
increases the percentage of outstanding shares of the Company of which
such person is the beneficial owner, until such person shall thereafter
become the beneficial owner of any additional
shares.
|
Nahestehende
Gesellschaft
|
Affiliate
|
|
Der
Begriff
Nahestehende
Gesellschaft
bedeutet bezüglich einer Person, jede andere Person,
die direkt oder indirekt über eine oder mehrere Mittelspersonen die andere
Person kontrolliert, von dieser anderen Person kontrolliert wird, oder
unter gemeinsamer Kontrolle mit dieser anderen Person steht. Kontrolle
einschliesslich der Begriffe kontrollierend und kontrolliert im Sinne
dieser Definition bedeutet die Möglichkeit, direkt oder indirekt auf die
Geschäftsführung und die Geschäftspolitik einer Person Einfluss zu nehmen,
sei es aufgrund des Haltens von Stimmrechten oder auf andere
Weise.
|
The
term
Affiliate
shall mean with respect to any person, any other person controlling or
controlled by or under common control with such specified person. For the
purposes of this definition, "control", "controlling" and "controlled"
when used with respect to any specified person, means the power to direct
the management and policies of such person, directly or indirectly,
whether through the ownership of voting securities or
otherwise.
|
|
Nahestehende
Person
|
Associate
|
|
Der
Begriff
Nahestehende
Person
bedeutet, wenn verwendet zur Bezeichnung einer Beziehung zu
einer Zivilrechtlichen Person, (i) jede Kapitalgesellschaft, rechts- oder
nicht-rechtsfähige Personengesellschaft oder ein anderer Rechtsträger, von
welcher diese Zivilrechtliche Person Mitglied des Leitungs- oder
Verwaltungsorgans, der Geschäftsleitung oder Gesellschafter ist oder von
welcher diese Person, direkt oder indirekt, Eigentümerin von 20 % oder
mehr einer Kategorie von Aktien oder anderen Anteilsrechten ist, die ein
Stimmrecht vermitteln, (ii) jedes Treuhandvermögen (Trust) oder jede
andere Vermögenseinheit, an der diese Zivilrechtliche Person
wirtschaftlich einen Anteil von 20 % oder mehr hält oder in Bezug auf
welche diese Zivilrechtliche Person als Verwalter (trustee) oder in
ähnlich treuhändischer Funktion tätig ist, und (iii) jeder Verwandte, Ehe-
oder Lebenspartner dieser Person, oder jede Verwandte des Ehe- oder
Lebenspartners, jeweils soweit diese den gleichen Wohnsitz haben wie diese
Person.
|
The
term
Associate
,
when used to indicate a relationship with any Person, means (i) any
corporation, partnership, unincorporated association or other entity of
which such Person is a director, officer or partner or is, directly or
indirectly, the Owner of 20 % or more of any class of voting shares, (ii)
any trust or other estate in which such Person has at least a 20 %
beneficial interest or as to which such Person serves as trustee or in a
similar fiduciary capacity, and (iii) any relative or spouse of such
Person, or any relative of such spouse, who has the same residence as such
Person.
|
|
OR
|
CO
|
|
Der
Begriff
OR
hat die
in Art. 1 dieser Statuten aufgeführte Bedeutung.
|
The
term
CO
has the
meaning assigned to it in Art. 1 of these Articles of
Association.
|
|
Revisionsstelle
|
Auditor
|
|
Der
Begriff
Revisionsstelle
hat die
in Abschnitt C dieser Statuten aufgeführte Bedeutung.
|
The
term
Auditor
has
the meaning assigned to it in section C of these Articles of
Association.
|
Sekretär
|
Secretary
|
|
Der
Begriff
Sekretär
hat die in Art. 26 dieser Statuten aufgeführte
Bedeutung.
|
The
term
Secretary
has
the meaning assigned to it in Art. 26 of these Articles of
Association.
|
|
Sitz
|
Registered
Office
|
|
Der
Begriff
Sitz
hat
die in Art. 1 dieser Statuten aufgeführte Bedeutung.
|
The
term
Registered
Office
has the meaning assigned to it in Art. 1 of these Articles
of Association.
|
|
Statuten
|
Articles
of Association
|
|
Der
Begriff
Statuten
bedeutet die Statuten der Garmin Ltd. jeweils in ihrer aktuellsten
Fassung.
|
The
term
Articles of
Association
shall mean the Articles of Association of Garmin Ltd.
in their most recent version.
|
|
Tochtergesellschaft
|
Subsidiary
|
|
Der
Begriff
Tochtergesellschaft
bedeutet sämtliche juristischen Personen oder Personenvereinigung,
welche von einer anderen juristischen Person beherrscht
werden.
|
The
term
Subsidiary
shall mean any corporation, company, association, foundation or
other incorporated legal entity, that directly, or indirectly through one
or more intermediaries is under control of the person
specified.
|
|
Unabhängige
Verwaltungsräte
|
Independent
Directors
|
|
Der
Begriff
unabhängige
Verwaltungsräte
bedeutet Verwaltungsräte, welche im Sinne der
anwendbaren Bestimmungen derjenigen Börse, an welcher die Gesellschaft
kotiert ist, unabhängig sind.
|
The
term
Independent
Directors
shall mean members of the board who are recognized as
such by the rules and regulations of the Exchange.
|
|
Unparteiische
Mitglieder des Verwaltungsrates
|
Disinterested
Directors
|
|
Der
Begriff
Unparteiische
Mitglieder des Verwaltungsrates
bedeutet diejenigen Mitglieder des
Verwaltungsrates, welche keine Nahestehenden Personen von Nahestehenden
Aktionären sind und bereits Mitglieder des Verwaltungsrates waren, bevor
ein Nahestehender Aktionär ein Nahestehender Aktionär wurde und jedes
Verwaltungsratsmitglied, welches erst nachträglich eine Vakanz im
Verwaltungsrat schloss oder erst nachträglich gewählt wurde und in jedem
Fall keine Nahestehende Person des Nahestehenden Aktionärs ist und auf
Empfehlung einer Mehrheit der damaligen Unparteiischen Mitgliedern des
Verwaltungsrates gewählt wurde.
|
The
term
Disinterested
Directors
shall mean any members of the Board of Directors who are
unaffiliated with the Interested Shareholder and who were a member of the
Board of Directors prior to the time that the Interested Shareholder
became an Interested Shareholder, and any director who is thereafter
chosen to fill any vacancy on the Board of Directors or who is elected and
who, in either event, is unaffiliated with the Interested Shareholder, and
in connection with his or her initial assumption of office is recommended
for appointment or election by a majority of Disinterested Directors then
on the Board of Directors.
|
|
Verwaltungsrat
|
Board
of Directors
|
|
Der
Begriff
Verwaltungsrat
hat die
in Abschnitt B dieser Statuten aufgeführte Bedeutung.
|
The
term
Board of
Directors
has the meaning assigned to it in section B of these
Articles of
Association.
|
Page
|
|||
Table
of Contents
|
|||
Article
1. Establishment, Objectives and Duration
|
1
|
||
1.1.
|
Establishment
of the Plan
|
1
|
|
1.2.
|
Objectives
of the Plan
|
1
|
|
1.3.
|
Duration
of the Plan
|
1
|
|
Article
2. Definitions
|
1
|
||
Article
3. Administration
|
7
|
||
3.1.
|
Board
and Committee
|
7
|
|
3.2.
|
Powers
of the Board
|
7
|
|
Article
4. Shares Subject to the Plan
|
9
|
||
4.1.
|
Number
of Shares Available
|
9
|
|
4.2.
|
Adjustments
in Authorized Shares
|
10
|
|
Article
5. Eligibility and General Conditions of Awards
|
10
|
||
5.1.
|
Eligibility
|
10
|
|
5.2.
|
Grant
Date
|
10
|
|
5.3.
|
Maximum
Term
|
10
|
|
5.4.
|
Award
Agreement
|
11
|
|
5.5.
|
Restrictions
on Share Transferability
|
11
|
|
5.6.
|
Termination
of Affiliation
|
11
|
|
5.7.
|
Nontransferability
of Awards
|
14
|
|
Article
6. Stock Options
|
14
|
||
6.1.
|
Grant
of Options
|
14
|
|
6.2.
|
Award
Agreement
|
14
|
|
6.3.
|
Option
Price
|
15
|
|
6.4.
|
Grant
of Incentive Stock Options
|
15
|
|
6.5.
|
Exercise
of Options.
|
16
|
|
Article
7. Stock Appreciation Rights
|
16
|
||
7.1.
|
Grant
of SARs
|
16
|
|
7.2.
|
Exercise
of SARs
|
17
|
|
7.3.
|
Payment
of SAR Benefit
|
17
|
|
Article
8. Restricted Shares
|
17
|
||
8.1.
|
Grant
of Restricted Shares
|
17
|
|
8.2.
|
Award
Agreement
|
17
|
|
8.3.
|
Consideration
|
17
|
|
8.4.
|
Effect
of Forfeiture
|
18
|
|
8.5.
|
Escrow;
Legends
|
18
|
Article
9. Performance Units and Performance Shares
|
18
|
||
9.1.
|
Grant
of Performance Units and Performance Shares
|
18
|
|
9.2.
|
Value/Performance
Goals
|
18
|
|
9.3.
|
Payment
of Performance Units and Performance Shares
|
18
|
|
9.4.
|
Form
and Timing of Payment of Performance Units and Performance
Shares
|
18
|
|
Article
10. Bonus Shares and Deferred Shares
|
19
|
||
10.1.
|
Bonus
Shares
|
19
|
|
10.2.
|
Deferred
Shares
|
19
|
|
Article
11. Beneficiary Designation
|
19
|
||
Article
12. Deferrals
|
19
|
||
Article
13. Rights of Employees
|
20
|
||
13.1.
|
Employment
|
20
|
|
13.2.
|
Participation
|
20
|
|
Article
14. Amendment, Modification, and Termination
|
20
|
||
14.1.
|
Amendment,
Modification, and Termination
|
20
|
|
14.2.
|
Adjustments
Upon Certain Unusual or Nonrecurring Events
|
20
|
|
14.3.
|
Awards
Previously Granted
|
20
|
|
Article
15. Withholding
|
20
|
||
15.1.
|
Mandatory
Tax Withholding
|
20
|
|
15.2.
|
Notification
under Code Section 83(b)
|
21
|
|
Article
16. Equity Incentive Plans of Foreign Subsidiaries
|
21
|
||
Article
17. Additional Provisions
|
21
|
||
17.1.
|
Successors
|
21
|
|
17.2.
|
Gender
and Number
|
21
|
|
17.3.
|
Severability
|
21
|
|
17.4.
|
Requirements
of Law
|
21
|
|
17.5.
|
Securities
Law Compliance
|
22
|
|
17.6.
|
No
Rights as a Shareholder
|
22
|
|
Nature
of Payments
|
22
|
||
17.8.
|
Governing
Law
|
23
|
|
(a)
|
any
Person other than (i) a Subsidiary, (ii) any employee benefit plan (or any
related trust) of the Company or any of its Subsidiaries or (iii) any
Excluded Person, becomes the Beneficial Owner of 35% or more of the shares
of the Company representing 35% or more of the combined voting power of
the Company (such a person or group, a “
35
% Owner
”),
except that (i) no Change of Control shall be deemed to have occurred
solely by reason of such beneficial ownership by a corporation with
respect to which both more than 60% of the common shares of such
corporation and Voting Securities representing more than 60% of the
aggregate voting power of such corporation are then owned, directly or
indirectly, by the persons who were the direct or indirect owners of the
shares of the Company immediately before such acquisition in substantially
the same proportions as their ownership, immediately before such
acquisition, of the shares of the Company, as the case may be and (ii)
such corporation shall not be deemed a 35% Owner;
or
|
|
(b)
|
the
Incumbent Directors (determined using the Original Effective Date as the
baseline date) cease for any reason to constitute at least a majority of
the directors of the Company then serving;
or
|
|
(c)
|
the
consummation by the Company (whether directly involving the Company or
indirectly involving the Company through one or more intermediaries) of a
merger, reorganization, consolidation, or similar transaction, or the sale
or other disposition of all or substantially all (at least 40%) of the
consolidated assets of the Company or a resolution of dissolution of the
Company (any of the foregoing transactions, a “
Reorganization
Transaction
”) which is not an Exempt Reorganization
Transaction.
|
Time Elapsed After Grant
Date
|
Percentage of Option
Exercisable
|
|||
Less
than 1 year
|
0 | % | ||
1
year but less than 2 years
|
33-1/3 | % | ||
2
years but less than 3 years
|
66-2/3 | % | ||
3
years or more
|
100 | % |
Page
|
||
I.
|
Purpose
and Effective Date
|
1
|
II.
|
Definitions
|
1
|
III.
|
Administration
|
4
|
IV.
|
Number
of Shares
|
5
|
V.
|
Eligibility
Requirements
|
6
|
VI.
|
Enrollment
|
7
|
VII.
|
Grant
of Options on Enrollment
|
7
|
VIII.
|
Payroll
Deductions
|
8
|
IX.
|
Purchase
of Shares
|
9
|
X.
|
Withdrawal
From the Plan; Termination of Employment; Leave of Absence;
Death
|
11
|
XI.
|
Miscellaneous
|
12
|
1.
|
Section
10.4 shall be replaced with the
following:
|
Page
|
||
Article
1. Establishment, Objectives and Duration
|
1
|
|
1.1.
|
Establishment
and Amendment of the Plan.
|
1
|
1.2.
|
Objectives
of the Plan.
|
1
|
1.3.
|
Duration
of the Plan.
|
1
|
Article
2. Definitions
|
1
|
|
Article
3. Administration
|
8
|
|
3.1.
|
Board
and Plan Committee.
|
8
|
3.2.
|
Powers
of the Board.
|
9
|
Article
4. Shares Subject to the Plan
|
11
|
|
4.1.
|
Number
of Shares Available.
|
11
|
4.2.
|
Adjustments
in Authorized Shares.
|
12
|
Article
5. Eligibility and General Conditions of Awards
|
12
|
|
5.1.
|
Eligibility.
|
12
|
5.2.
|
Grant
Date.
|
12
|
5.3.
|
Maximum
Term.
|
13
|
5.4.
|
Award
Agreement.
|
13
|
5.5.
|
Restrictions
on Share Transferability.
|
13
|
5.6.
|
Termination
of Affiliation.
|
13
|
5.7.
|
Nontransferability
of Awards.
|
16
|
5.8.
|
Section
162(m) Performance Awards.
|
17
|
Article
6. Stock Options
|
20
|
|
6.1.
|
Grant
of Options.
|
20
|
6.2.
|
Award
Agreement.
|
20
|
6.3.
|
Option
Price.
|
20
|
6.4.
|
Grant
of Incentive Stock Options.
|
20
|
6.5.
|
Exercise
of Options.
|
22
|
Article
7. Stock Appreciation Rights
|
23
|
|
7.1.
|
Grant
of SARs.
|
23
|
7.2.
|
SAR
Award Agreement
|
23
|
7.3.
|
Exercise
of SARs.
|
23
|
7.4.
|
Expiration
of SARs.
|
23
|
7.5.
|
Payment
of SAR Amount.
|
24
|
Article
8. Restricted Shares and Bonus Shares
|
24
|
|
8.1.
|
Grant
of Restricted Shares.
|
24
|
8.2.
|
Bonus
Shares.
|
24
|
8.3.
|
Award
Agreement.
|
24
|
8.4.
|
Consideration.
|
24
|
8.5.
|
Effect
of Forfeiture.
|
24
|
8.6.
|
Escrow.
|
25
|
Article
9. Restricted Stock Units (f/k/a “Deferred Shares”)
|
25
|
|
9.1.
|
Grant
of Restricted Stock Units.
|
25
|
9.2.
|
Award
Agreement.
|
25
|
9.3.
|
Crediting
Restricted Stock Units.
|
25
|
9.4.
|
Settlement
of RSU Accounts.
|
25
|
Article
10. Performance Units and Performance Shares
|
26
|
|
10.1.
|
Grant
of Performance Units and Performance Shares.
|
26
|
10.2.
|
Value/Performance
Goals.
|
26
|
10.3.
|
Payment
of Performance Units and Performance Shares.
|
26
|
10.4.
|
Form
and Timing of Payment of Performance Units and Performance
Shares.
|
26
|
Article
11. Beneficiary Designation
|
27
|
|
Article
12. Rights of Employees
|
27
|
|
12.1.
|
Employment.
|
27
|
12.2.
|
Participation.
|
27
|
Article
13. Amendment, Modification, and Termination
|
27
|
|
13.1.
|
Amendment,
Modification, and Termination.
|
27
|
13.2.
|
Adjustments
Upon Certain Unusual or Nonrecurring Events.
|
27
|
13.3.
|
Awards
Previously Granted.
|
28
|
13.4.
|
Adjustments
in Connection with Change of Control.
|
28
|
13.5.
|
Prohibition
on Repricings.
|
29
|
Article
14. Withholding
|
29
|
|
14.1.
|
Mandatory
Tax Withholding.
|
29
|
14.2.
|
Notification
under Code Section 83(b).
|
30
|
Article
15. Equity Incentive Plans of Foreign Subsidiaries
|
30
|
|
Article
16. Additional Provisions
|
30
|
|
16.1.
|
Successors.
|
30
|
16.2.
|
Gender
and Number.
|
30
|
16.3.
|
Severability.
|
30
|
16.4.
|
Requirements
of Law.
|
31
|
16.5.
|
Securities
Law Compliance.
|
31
|
16.6.
|
No
Rights as a Shareholder.
|
31
|
16.7.
|
Nature
of Payments.
|
32
|
16.8.
|
Military
Service.
|
32
|
16.9.
|
Data
Protection.
|
32
|
16.10.
|
Governing
Law.
|
32
|
Annex
|
A1
|
|
1.1.
|
Establishment and
Amendment of the Plan
. The Board of Directors (the
“Board”) of Garmin Ltd., a Swiss company (the "Company"), hereby
establishes the incentive compensation plan to be known as the Garmin Ltd.
2005 Equity Incentive Plan (the "Plan"). The Plan was adopted
by the Board of Directors of Garmin Ltd., a Cayman Islands company
(“Garmin Cayman”),on March 1, 2005 and was approved by the
shareholders of Garmin Cayman on June 3, 2005. The Plan is
effective as of June 3, 2005 (the "Effective Date"). In 2006,
Garmin Cayman effected a two-for-one stock split of its common Shares (the
"Stock Split"). Subject to approval of the shareholders of
Garmin Cayman, the Board of Directors of Garmin Cayman adopted an amended
and restated plan effective June 5, 2009 with certain amendments
reflecting the Stock Split, updated changes in the law and an expanded
type of performance-based awards eligible to be granted under the Plan.
The Plan was amended and restated on June 27, 2010 following the
redomestication transaction on June 27, 2010 pursuant to which the shares
of Garmin Cayman were exchanged for shares of the Company and the Company
became the public holding company of Garmin Cayman and its
subsidiaries
|
|
1.2.
|
Objectives of the
Plan
. The Plan is intended to allow employees of the
Company and its Subsidiaries to acquire or increase equity ownership in
the Company, or to be compensated under the Plan based on growth in the
Company's equity value, thereby strengthening their commitment to the
success of the Company and stimulating their efforts on behalf of the
Company, and to assist the Company and its Subsidiaries in attracting new
employees and retaining existing employees. The Plan is also
intended to optimize the profitability and growth of the Company through
incentives which are consistent with the Company's goals; to provide
incentives for excellence in individual performance; and to promote
teamwork.
|
|
1.3.
|
Duration of the
Plan
. The Plan shall commence on the Effective Date and
shall remain in effect, subject to the right of the Board to amend or
terminate the Plan at any time pursuant to Article 13 hereof, until all
Shares subject to it shall have been purchased or acquired according to
the Plan's provisions.
|
|
2.1.
|
"
Article
" means
an Article of the Plan.
|
|
2.2.
|
"
Award
" means
Options, Restricted Shares, Bonus Shares, SARs, Restricted Stock Units,
Performance Units or Performance Shares granted under the
Plan.
|
|
2.3.
|
"
Award
Agreement
" means a written agreement by which an Award is
evidenced.
|
|
2.4.
|
"
Beneficial
Owner
" has the meaning specified in Rule 13d-3 of the SEC under the
Exchange Act.
|
|
2.5.
|
"
Board
" means
the Board of Directors of the
Company..
|
|
2.6.
|
"
Bonus Shares
"
means Shares that are awarded to a Grantee without cost and without
restrictions in recognition of past performance (whether determined by
reference to another employee benefit plan of the Company or otherwise) or
as an incentive to become an employee of the Company or a
Subsidiary.
|
|
2.7.
|
"
Business
Criteria
" has the meaning set forth in Section
5.8(c).
|
|
2.8.
|
"
Cause
" means,
unless otherwise defined in an Award
Agreement,
|
|
(a)
|
a
Grantee's conviction of, plea of guilty to, or plea of nolo contendere to
a felony or other crime that involves fraud, dishonesty or moral
turpitude,
|
|
(b)
|
any
willful action or omission by a Grantee which would constitute grounds for
immediate dismissal under the employment policies of the Company or the
Subsidiary by which Grantee is employed, including but not limited to
intoxication with alcohol or illegal drugs while on the premises of the
Company or any Subsidiary, or violation of sexual harassment laws or the
internal sexual harassment policy of the Company or the Subsidiary by
which Grantee is employed, irrespective of whether the applicable law
would allow an immediate dismissal in these
cases,
|
|
(c)
|
a
Grantee's habitual neglect of duties, including but not limited to
repeated absences from work without reasonable excuse,
or
|
|
(d)
|
a
Grantee's willful and intentional material misconduct in the performance
of his duties that results in financial detriment to the Company or any
Subsidiary;
|
|
2.9.
|
"
Change of
Control
" means, unless otherwise defined in an Award Agreement, any
one or more of the following:
|
|
(a)
|
any
Person other than (i) a Subsidiary, (ii) any employee benefit plan (or any
related trust) of the Company or any of its Subsidiaries or (iii) any
Excluded Person, becomes the Beneficial Owner of 35% or more of the shares
of the Company representing 35% or more of the combined voting power of
the Company (such a person or group, a "
35
% Owner
"),
except that (i) no Change of Control shall be deemed to have occurred
solely by reason of such beneficial ownership by a corporation with
respect to which both more than 60% of the common shares of such
corporation and Voting Securities representing more than 60% of the
aggregate voting power of such corporation are then owned, directly or
indirectly, by the persons who were the direct or indirect owners of the
shares of the Company immediately before such acquisition in substantially
the same proportions as their ownership, immediately before such
acquisition, of the shares of the Company, as the case may be and (ii)
such corporation shall not be deemed a 35% Owner;
or
|
|
(b)
|
the
Incumbent Directors (determined using the Effective Date as the baseline
date) cease for any reason to constitute at least a majority of the
directors of the Company then serving;
or
|
|
(c)
|
the
consummation by the Company (whether directly involving the Company or
indirectly involving the Company through one or more intermediaries) of a
merger, reorganization, consolidation, or similar transaction, or the sale
or other disposition of all or substantially all (at least 40%) of the
consolidated assets of the Company or a resolution of dissolution of the
Company (any of the foregoing transactions, a "
Reorganization
Transaction
") which is not an Exempt Reorganization
Transaction.
|
2.10.
|
"
Change
of Control Period
" has the meaning set forth in Section
5.6(c).
|
2.11.
|
"
Change
of Control Value
" means the Fair Market Value of a Share on the
date of a Change of Control.
|
2.12.
|
"
Code
"
means the Internal Revenue Code of 1986, as amended from time to time, and
regulations and rulings thereunder. References to a particular
section of the Code include references to successor provisions of the Code
or any successor statute.
|
2.13.
|
"
Company
"
has the meaning set forth in Section
1.1.
|
2.14.
|
"
Disabled
"
or "
Disability
"
means an individual (i) is unable to engage in any substantial gainful
activity by reason of any medically determinable physical or mental
impairment which can be expected to result in death or can be expected to
last for a continuous period of not less than twelve (12) months or (ii)
is, by reason of any medically determinable physical or mental impairment
which can be expected to result in death or can be expected to last for a
continuous period of not less than twelve (12) months, receiving income
replacement benefits for a period of not less than 3 months under a
Company-sponsored accident and health plan. Notwithstanding the
foregoing, with respect to an Incentive Stock Option, "Disability" means a
permanent and total disability, within the meaning of Code Section
22(e)(3), as determined by the Board in good faith, upon receipt of
medical advice from one or more individuals, selected by the Board, who
are qualified to give professional medical
advice.
|
2.15.
|
"
Effective
Date
" has the meaning set forth in Section
1.1.
|
2.16.
|
"
Eligible
Person
" means any employee (including any officer) of the Company
or any Subsidiary, including any such employee who is on an approved leave
of absence or has been subject to a disability which does not qualify as a
Disability.
|
2.17.
|
"
Exchange
Act
" means the Securities Exchange Act of 1934, as amended.
References to a particular section of the Exchange Act include references
to successor provisions.
|
2.18.
|
"
Excluded
Person
" means any Person who, along with such Person's Affiliates
and Associates (as such terms are defined in Rule 12b-2 of the General
Rules and Regulations under the Exchange Act) is the Beneficial Owner of
15% or more of the Shares outstanding as of the Effective
Date.
|
2.19.
|
"
Exempt
Reorganization Transaction
" means a Reorganization Transaction
which (i) results in the Persons who were the direct or indirect owners of
the outstanding shares of the Company immediately before such
Reorganization Transaction becoming, immediately after the consummation of
such Reorganization Transaction, the direct or indirect owners of both
more than 60% of the then-outstanding common shares of the Surviving
Corporation and Voting Securities representing more than 60% of the
aggregate voting power of the Surviving Corporation, in substantially the
same respective proportions as such Persons' ownership of the shares of
the Company immediately before such Reorganization Transaction, or (ii)
after such transaction, more than 50% of the members of the board of
directors of the Surviving Corporation were Incumbent Directors at the
time of the Board's approval of the agreement providing for the
Reorganization Transaction or other action of the Board approving the
transaction (or whose election or nomination was approved by a vote of at
least two-thirds of the members who were members of the Board at that
time).
|
2.20.
|
"
Fair
Market Value
" means, unless otherwise determined or provided by the
Board in the circumstances, (A) with respect to any property other than
Shares, the fair market value of such property determined by such methods
or procedures as shall be established from time to time by the Board, and
(B) with respect to Shares, (i) the last sale price (also referred to as
the closing price) of a Share on such U.S. securities exchange as the
Shares are then traded, for the applicable date, (ii) if such U.S.
securities exchange is closed for trading on such date, or if the Shares
do not trade on such date, then the last sales price used shall be the one
on the date the Shares last traded on such U.S. securities exchange, or
(iii) in the event that there shall be no public market for the Shares,
the fair market value of the Shares as determined in good faith by the
Board using a method consistently applied. Notwithstanding the
above, for all Options, SARs and Deferred Shares (RSUs) granted before
June 5, 2009, Fair Market Value for purposes of establishing Option
Prices, Exercise Prices or values of Shares, respectively, was established
based on the average of the high and low trading prices on the Nasdaq
Global Select Market (or, if no sale of Shares was reported for such date,
on the next preceding date on which a sale of Shares was
reported).
|
2.21.
|
"
Freestanding
SAR
" means any SAR that is granted independently of any
Option.
|
2.22.
|
"
Good
Reason
" means any action by the Company or the Subsidiary employing
a Grantee which results in any of the following without the Grantee's
consent: (a) a material diminution or other material adverse
change in the Grantee's position, authority or duties, (b) requiring the
Grantee to be based at any office or location more than 50 miles from the
location where he or she was previously based; (c) a material diminution
in the Grantee's compensation in the aggregate, other than a diminution
applicable to all similarly situated employees. A Grantee shall
not have Good Reason to terminate his or her position unless, (1) within
60 days following the event or circumstance set forth above in (a), (b) or
(c), the Grantee notifies the Company of such event or circumstance, (2)
the Grantee gives the Company 30 days to correct the event or
circumstance, and (3) the Company does not correct, in all material
respects, such event or
circumstance.
|
2.23.
|
"
Grant
Date
" has the meaning set forth in Section
5.2.
|
2.24.
|
"
Grantee
"
means an individual who has been granted an
Award.
|
2.25.
|
"
Including
"
or "
includes
"
mean "including, without limitation," or "includes, without limitation",
respectively.
|
2.26.
|
"
Incumbent
Directors
" means, as of any specified baseline date, individuals
then serving as members of the Board who were members of the Board as of
the date immediately preceding such baseline date;
provided
that any subsequently-appointed or elected member of the Board whose
election, or nomination for election by shareholders of the Company or the
Surviving Corporation, as applicable, was approved by a vote or written
consent of a majority of the directors then comprising the Incumbent
Directors shall also thereafter be considered an Incumbent Director,
unless the initial assumption of office of such subsequently-elected or
appointed director was in connection with (i) an actual or threatened
election contest, including a consent solicitation, relating to the
election or removal of one or more members of the Board, (ii) a "tender
offer" (as such term is used in Section 14(d) of the Exchange Act), or
(iii) a proposed Reorganization
Transaction.
|
2.27.
|
"
Option
"
means an option granted under Article 6 of the Plan, including an
incentive stock option.
|
2.28.
|
"
Option
Price
" means the price at which a Share may be purchased by a
Grantee pursuant to an Option.
|
2.29.
|
"
Option
Term
" means the period beginning on the Grant Date of an Option and
ending on the expiration date of such Option, as specified in the Award
Agreement for such Option and as may, consistent with the provisions of
the Plan, be extended from time to time by the Board prior to the
expiration date of such Option then in
effect.
|
2.30.
|
"
Performance
Award
" means any Award that will be issued, granted, vested,
exercisable or payable, as the case may be, upon the achievement of one or
more Business Criteria, as set forth in Section
5.8.
|
2.31.
|
"
Performance
Period
" has the meaning set forth in Section
10.2.
|
2.32.
|
"
Performance
Share
" or "
Performance
Unit
" has the meaning set forth in
Article 10.
|
2.33.
|
"
Period
of Restriction
" means the period during which the transfer of
Restricted Shares is limited in some way (based on the passage of time,
the achievement of performance goals, or upon the occurrence of other
events as determined by the Board) or the Shares are subject to a
substantial risk of forfeiture, as provided in Article
8.
|
2.34.
|
"
Person
"
shall have the meaning ascribed to such term in Section 3(a)(9) of the
Exchange Act and used in Sections 13(d) and 14(d) thereof, including a
"group" as defined in Section 13(d)
thereof.
|
2.35.
|
"
Plan"
has the meaning set forth in Section
1.1.
|
2.36.
|
"
Plan
Committee
" has the meaning set forth in Section
3.1.
|
2.37.
|
"
Reorganization
Transaction
" has the meaning set forth in Section
2.8(c).
|
2.38.
|
"
Restricted
Shares
" means Shares that are issued as an Award under the Plan
that is subject to Restrictions.
|
2.39.
|
"
Restricted
Stock Units
" (f/k/a "
Deferred
Shares
") means units awarded to Grantees pursuant to Article 9
hereof, which are convertible into Shares at such time as such units are
no longer subject to Restrictions as established by the
Board. Restricted Stock Units are the same as "Deferred Shares"
previously referred to and granted under the Plan prior to this Amended
and Restated Plan becoming
effective.
|
2.40.
|
"
Restriction
"
means any restriction on a Grantee's free enjoyment of the Shares or other
rights underlying Awards, including (a) that the Grantee or other holder
may not sell, transfer, pledge, or assign a Share or right, and (b) such
other restrictions as the Board may impose in the Award Agreement that are
permissible under Swiss law. Restrictions may be based on the passage of
time or the satisfaction of performance criteria or the occurrence of one
or more events or conditions, and shall lapse separately or in combination
upon such conditions and at such time or times, in installments or
otherwise, as the Board shall specify. Awards subject to a Restriction
shall be forfeited if the Restriction does not lapse prior to such date or
the occurrence of such event or the satisfaction of such other criteria as
the Board shall determine.
|
2.41.
|
"
Rule
16b-3
" means Rule 16b-3 promulgated by the SEC under the Exchange
Act, together with any successor rule, as in effect from time to
time.
|
2.42.
|
"
SAR
"
means a stock appreciation right and includes both Tandem SARs and
Freestanding SARs.
|
2.43.
|
"SAR
Term
"
means the period beginning on the Grant Date of a SAR and ending on the
expiration date of such SAR, as specified in the Award Agreement for such
SAR and as may, consistent with the provisions of the Plan, be extended
from time to time by the Board prior to the expiration date of such SAR
then in effect.
|
2.44.
|
"
SEC
"
means the United States Securities and Exchange Commission, or any
successor thereto.
|
2.45.
|
"
Section
"
means, unless the context otherwise requires, a Section of the
Plan.
|
2.46.
|
"
Section
16 Person
" means a person who is subject to obligations under
Section 16 of the Exchange Act with respect to transactions involving
equity securities of the Company.
|
2.47.
|
"
Share
"
means a registered share, CHF 10 par value, of the
Company.
|
2.48.
|
"
Subsidiary
"
means with respect to any Person (a) any corporation of which more than
50% of the Voting Securities are at the time, directly or indirectly,
owned by such Person, and (b) any partnership or limited liability company
in which such Person has a direct or indirect interest (whether in the
form of voting power or participation in profits or capital contribution)
of more than 50%. Solely with respect to a grant of an
incentive stock option under the requirements of Section 422 of the Code,
"Subsidiary" means a "subsidiary corporation" as defined in Section 424(f)
of the Code.
|
2.49.
|
"
Substitute
Option
" has the meaning set forth in Section
6.3.
|
2.50.
|
"
Surviving
Corporation
" means the corporation resulting from a Reorganization
Transaction or, if Voting Securities representing at least 50% of the
aggregate voting power of such resulting corporation are directly or
indirectly owned by another corporation, such other
corporation.
|
2.51.
|
"
Tandem
SAR
" means a SAR that is granted in connection with, or related to,
an Option, and which requires forfeiture of the right to purchase an equal
number of Shares under the related Option upon the exercise of such SAR;
or alternatively, which requires the cancellation of an equal amount of
SARs upon the purchase of the Shares subject to the
Option.
|
2.52.
|
"
Tax
Withholding
" has the meaning set forth in Section
14.1(a).
|
2.53.
|
"
Termination
of Affiliation
" occurs on the first day on which an individual is
for any reason no longer providing services to the Company or any
Subsidiary in the capacity of an employee, or with respect to an
individual who is an employee of a Subsidiary, the first day on which such
Subsidiary ceases to be a Subsidiary. A Termination of
Affiliation shall have the same meaning as a "separation from service"
under Code Section 409A(2)(A)(i).
|
2.54.
|
"
Voting
Securities
" of a corporation means securities of such corporation
that are entitled to vote generally in the election of directors, but not
including any other class of securities of such corporation that may have
voting power by reason of the occurrence of a
contingency.
|
|
3.1.
|
Board and Plan
Committee
. Subject to Article 13, and to Section 3.2,
the Plan shall be administered by the Board, or a committee of the Board
appointed by the Board to administer the Plan ("Plan
Committee"). To the extent the Board considers it desirable for
transactions relating to Awards to be eligible to qualify for an exemption
under Rule 16b-3, the Plan Committee shall consist of two or more
directors of the Company, all of whom qualify as "non-employee directors"
within the meaning of Rule 16b-3. To the extent the Board
considers it desirable for compensation delivered pursuant to Awards to be
eligible to qualify for an exemption from the limit on tax deductibility
of compensation under Section 162(m) of the Code, the Plan Committee shall
consist of two or more directors of the Company, all of whom shall qualify
as "outside directors" within the meaning of Code Section
162(m). The number of members of the Plan Committee shall from
time to time be increased or decreased, and shall be subject to such
conditions, including, but not limited to having exclusive authority to
make certain grants of Awards or to perform such other acts, in each case
as the Board deems appropriate to permit transactions in Shares pursuant
to the Plan to satisfy such conditions of Rule 16b-3 or Code Section
162(m) as then in effect.
|
|
3.2.
|
Powers of the
Board
. Subject to the express provisions of the Plan,
the Board has full and final authority and sole discretion as
follows:
|
|
(a)
|
taking
into consideration the reasonable recommendations of management, to
determine when, to whom and in what types and amounts Awards should be
granted and the terms and conditions applicable to each Award, including
the Option Price, the Option Term, the Restrictions, the benefit payable
under any SAR, Performance Unit or Performance Share and whether or not
specific Awards shall be granted in connection with other specific Awards,
and if so whether they shall be exercisable cumulatively with, or
alternatively to, such other specific
Awards;
|
|
(b)
|
to
determine the amount, if any, that a Grantee shall pay for Restricted
Shares, whether and on what terms to permit or require the payment of cash
dividends thereon to be deferred, when Restrictions on Restricted Shares
(including Restricted Shares acquired upon the exercise of an Option)
shall lapse and whether such shares shall be held in
escrow;
|
|
(c)
|
to
construe and interpret the Plan and to make all determinations necessary
or advisable for the administration of the
Plan;
|
|
(d)
|
to
make, amend, and rescind rules relating to the Plan, including rules with
respect to the exercisability and nonforfeitability of Awards and lapse of
Restrictions upon the Termination of Affiliation of a
Grantee;
|
|
(e)
|
to
determine the terms and conditions of all Award Agreements (which need not
be identical) and, with the consent of the Grantee, to amend any such
Award Agreement at any time, among other things, to permit transfers of
such Awards to the extent permitted by the Plan;
provided
that the
consent of the Grantee shall not be required for any amendment which (A)
does not adversely affect the rights of the Grantee, or (B) is necessary
or advisable (as determined by the Board) to carry out the purpose of the
Award as a result of any new or change in existing applicable
law;
|
|
(f)
|
to
cancel, with the consent of the Grantee, outstanding Awards and to grant
new Awards in substitution therefor;
provided
that any
replacement grant that would be considered a repricing shall be subject to
shareholder approval;
|
|
(g)
|
to
accelerate the exercisability (including exercisability within a period of
less than six months after the Grant Date) of, and to accelerate or waive
any or all of the terms conditions or Restrictions applicable
to, any Award or any group of Awards for any reason and at any time,
including in connection with a Termination of
Affiliation;
|
|
(h)
|
subject
to Section 5.3, to extend the time during which any Award or group of
Awards may be exercised;
|
|
(i)
|
to
make such adjustments or modifications to Awards to Grantees who are
working outside the United States as are advisable to fulfill the purposes
of the Plan or to comply with applicable local law, and to authorize
foreign Subsidiaries to adopt plans as provided in Article
15;
|
|
(j)
|
to
delegate to any member of the Board or committee of Board members such of
its powers as it deems appropriate, including the power to subdelegate,
except that only a member of the Board of Directors of the Company (or a
committee thereof) may grant Awards from time to time to specified
categories of Eligible Persons in amounts and on terms to be specified by
the Board; provided that no such grants shall be made other than by the
Board or the Plan Committee to individuals who are then Section 16 Persons
or other than by the Plan Committee to individuals who are then or are
deemed likely to become a "covered employee" within the meaning of Code
Section 162(m);
|
|
(k)
|
to
delegate to officers, employees or independent contractors of the Company
matters involving the routine administration of the Plan and which are not
specifically required by any provision of the Plan to be
performed by the Board of Directors of the
Company;
|
|
(l)
|
to
delegate its duties and responsibilities under the Plan with respect to
foreign Subsidiary plans, except its duties and responsibilities with
respect to Section 16 Persons, and (A) the acts of such delegates shall be
treated hereunder as acts of the Board and (B) such delegates shall report
to the Board regarding the delegated duties and
responsibilities;
|
|
(m)
|
to
correct any defect or supply any omission or reconcile any inconsistency,
and construe and interpret the Plan, the rules and regulations, any Award
Agreement or any other instrument entered into or relating to an Award
under the Plan, and to make all determinations, including factual
determinations, necessary or advisable for the administration of the
Plan;
|
|
(n)
|
to
impose such additional terms and conditions upon the grant, exercise or
retention of Awards as the Board may, before or concurrently with the
grant thereof, deem appropriate, including limiting the percentage of
Awards which may from time to time be exercised by a Grantee;
and
|
|
(o)
|
to
take any other action with respect to any matters relating to the Plan for
which it is responsible.
|
|
4.1.
|
Number of Shares
Available
.
|
|
(a)
|
Plan
Limit
. Subject to adjustment as provided in Section 4.2,
the number of Shares hereby reserved for delivery under the Plan is ten
million (10,000,000) Shares. The maximum number of Shares that
may be delivered pursuant to the exercise of Options (including incentive
stock options under Code Section 422) or SARs is ten million (10,000,000
Shares. The maximum number of Shares that may be delivered as Restricted
Shares or pursuant to Performance Units or Restricted Stock Units is three
million (3,000,000) Shares. The maximum number of Bonus Shares
that may be awarded is one million (1,000,000) Shares. If any
Shares subject to an Award granted hereunder are forfeited or an Award or
any portion thereof otherwise terminates or is settled without the
issuance of Shares, the Shares subject to such Award, to the extent of any
such forfeiture, termination or settlement, shall again be available for
grant under the Plan. The Board may from time to time determine
the appropriate methodology for calculating the number of Shares issued
pursuant to the Plan.
|
|
(b)
|
Individual
Limit
. No individual Grantee may be granted Options,
SARs, Restricted Shares, Restricted Stock Units, Bonus Shares, Performance
Units or Performance Shares in Shares, or in any combination thereof,
relating to an aggregate number of Shares under the Plan that exceeds two
million (2,000,000) Shares in any 5-year period. If a
previously granted Option, SAR, Restricted Stock Unit, Performance Unit,
or Performance Share is forfeited, canceled or repriced, such forfeited,
canceled or repriced Award as the case may be, shall continue to be
counted against the maximum number of Shares subject to Awards that may be
delivered to any Grantee under this Section
4.1(b).
|
|
4.2.
|
Adjustments in
Shares
.
|
|
(a)
|
Adjustment
Principle
. In the event that the Board determines that
any dividend or other distribution (whether in the form of cash, Shares,
other securities, or other property), recapitalization, share split,
reverse share split, subdivision, consolidation or reduction of capital,
reorganization, merger, scheme of arrangement, split-up, spin-off or
combination involving the Company or repurchase or exchange of Shares or
other rights to purchase Shares or other securities of the Company, or
other similar corporate transaction or event affects the Shares such that
any adjustment is determined by the Board to be appropriate in order to
prevent dilution or enlargement of the benefits or potential benefits
intended to be made available under the Plan, then the Board shall, in
such manner as it may deem equitable, adjust any or all of (i) the number
and type of Shares (or other securities or property of the Company or any
Person that is a party to a Reorganization Transaction with the Company)
with respect to which Awards may be granted, (ii) the number and type of
Shares (or other securities or property of the Company or any Person that
is a party to a Reorganization Transaction with the Company) subject to
outstanding Awards, and (iii) the grant or exercise price with respect to
any Award or, if deemed appropriate, make provision for a cash payment to
the holder of an outstanding Award or the substitution of other property
for Shares subject to an outstanding Award; provided, that the number of
Shares subject to any Award denominated in Shares shall always be a whole
number.
|
|
(b)
|
Example
. By
way of illustration, and not by way of limitation, the following
illustrates how the foregoing adjustment principles would apply in the
context of a stock split: Assume a Grantee holds an Option to
purchase 1,000 shares of Company stock at an Option Price of $50 per
share. Assume further that the Company completes a two-for-one
share split such that every shareholder on the requisite record date
receives two Shares for every one Share held on the record
date. Pursuant to the adjustment principles set forth above in
Section 4.2(a), the Grantee's Option would be adjusted such that, after
such adjustment, the Grantee would hold an Option to purchase 2,000 Shares
at an Option Price of $25 per Share. All other terms and
conditions of the Option would remain the same. Similar
adjustment principles would apply to SARs, Performance Shares, Performance
Units, Bonus Shares and Deferred Shares. This Section 4.2(b) is
for illustrative purposes only, assumes hypothetical facts, and shall not,
under any event or circumstance, be interpreted as the adjustment outcome
with respect to specific factual
situations.
|
|
5.1.
|
Eligibility
. The
Board may grant Awards to any Eligible Person, whether or not he or she
has previously received an Award.
|
|
5.2.
|
Grant
Date
. The Grant Date of an Award shall be the date on
which the Board grants the Award or such later date as specified by the
Board (i) in the Board's resolutions or minutes addressing the Award
grants or (ii) in the Award
Agreement.
|
|
5.3.
|
Maximum
Term
. Subject to the following proviso, the Option Term
or other period during which an Award may be outstanding shall not extend
more than 10 years after the Grant Date, and shall be subject to earlier
termination as herein specified.
|
|
5.4.
|
Award
Agreement
. To the extent not set forth in the Plan, the
terms and conditions of each Award (which need not be the same for each
grant or for each Grantee) shall be set forth in an Award
Agreement.
|
|
5.5.
|
Restrictions on Share
Transferability
. The Board may include in the Award
Agreement such restrictions on any Shares acquired pursuant to the
exercise or vesting of an Award as it may deem advisable, including
restrictions under applicable federal securities
laws.
|
|
5.6.
|
Termination of
Affiliation
. Except as otherwise provided in an Award
Agreement (including an Award Agreement as amended by the Board pursuant
to Section 3.2), and subject to the provisions of Section 13.1, the extent
to which the Grantee shall have the right to exercise, vest in, or receive
payment in respect of an Award following Termination of Affiliation shall
be determined in accordance with the following provisions of this Section
5.6.
|
|
(a)
|
For
Cause
. If a Grantee has a Termination of Affiliation for
Cause:
|
|
(i)
|
the
Grantee's Restricted Shares that are forfeitable immediately before such
Termination of Affiliation shall automatically be forfeited on such date,
subject in the case of Restricted Shares to the provisions of Section 8.5
regarding repayment of certain amounts to the
Grantee;
|
|
(ii)
|
the
Grantee's Restricted Stock Units shall automatically be forfeited;
and
|
|
(iii)
|
any
unexercised Option or SAR, and any Performance Share or Performance Unit
with respect to which the Performance Period has not ended immediately
before such Termination of Affiliation, shall terminate effective
immediately upon such Termination of
Affiliation.
|
|
(b)
|
On Account of Death or
Disability
. If a Grantee has a Termination of
Affiliation on account of death or
Disability:
|
|
(i)
|
the
Grantee's Restricted Shares that were forfeitable immediately before such
Termination of Affiliation shall thereupon become
nonforfeitable;
|
|
(ii)
|
the
Grantee’s Restricted Stock Units shall immediately be settled in
accordance with Section 9.4;
|
|
(iii)
|
any
unexercised Option or SAR, whether or not exercisable immediately before
such Termination of Affiliation, shall be fully exercisable and may be
exercised, in whole or in part, at any time up to one year after such
Termination of Affiliation (but only during the Option Term or SAR Term,
respectively) by the Grantee or, after his or her death, by (A) his or her
personal representative or the person to whom the Option or SAR, as
applicable, is transferred by will or the applicable laws of descent and
distribution, or (B) the Grantee's beneficiary designated in accordance
with Article 11; and
|
|
(iv)
|
the
benefit payable with respect to any Performance Share or Performance Unit
with respect to which the Performance Period has not ended immediately
before such Termination of Affiliation on account of death or Disability
shall be equal to the product of the Fair Market Value of a Share as of
the date of such Termination of Affiliation or the value of the
Performance Unit specified in the Award Agreement (determined as of the
date of such Termination of Affiliation), as applicable, multiplied
successively by each of the
following:
|
|
(c)
|
Change of Control
Period
. If a Grantee has a Termination of Affiliation
during the period ("Change of Control Period") commencing on a Change of
Control and ending on the first anniversary of the Change of Control,
which Termination of Affiliation is initiated by the Company or a
Subsidiary other than for Cause, or initiated by the Grantee for Good
Reason, then
|
|
(i)
|
the
Grantee’s Restricted Shares that were forfeitable shall thereupon become
nonforfeitable;
|
|
(ii)
|
the
Grantee’s Restricted Stock Units shall immediately be settled in
accordance with Section 9.4;
|
|
(iii)
|
any
unexercised Option or SAR, whether or not exercisable on the date of such
Termination of Affiliation, shall thereupon be fully exercisable and may
be exercised, in whole or in part for ninety (90) days following such
Termination of Affiliation (but only during the Option Term or SAR Term,
respectively); and
|
|
(iv)
|
the
Company shall immediately pay to the Grantee, with respect to any
Performance Share or Performance Unit with respect to which the
Performance Period has not ended as of the date of such Termination of
Affiliation, a cash payment equal to the product of (A) in the case of a
Performance Share, the Change of Control Value or (B) in the case of a
Performance Unit, the value of the Performance Unit specified in the Award
Agreement, as applicable, multiplied successively by each of the
following:
|
|
(d)
|
Any Other
Reason
. If a Grantee has a Termination of Affiliation
for any reason other than for Cause, death or Disability, and other than
under the circumstances described in Section 5.6(c),
then:
|
|
(i)
|
the
Grantee's Restricted Shares, to the extent forfeitable immediately before
such Termination of Affiliation, shall thereupon automatically be
forfeited, subject in the case of Restricted Shares to the provisions of
Section 8.5 regarding repayment of certain amounts to the
Grantee;
|
|
(ii)
|
the
Grantee's Restricted Stock Units shall automatically be
forfeited;
|
|
(iii)
|
any
unexercised Option or SAR, to the extent exercisable immediately before
such Termination of Affiliation, shall remain exercisable in whole or in
part for ninety (90) days after such Termination of Affiliation (but only
during the Option Term or SAR Term, respectively) by the Grantee or, after
his or her death, by (A) his or her personal representative or the person
to whom the Option or SAR, as applicable, is transferred by will or the
applicable laws of descent and distribution, or (B) the Grantee's
beneficiary designated in accordance with Article 11;
and
|
|
(iv)
|
any
Performance Shares or Performance Units with respect to which the
Performance Period has not ended as of the date of such Termination of
Affiliation shall terminate immediately upon such Termination of
Affiliation.
|
|
5.7.
|
Nontransferability of
Awards
.
|
|
(a)
|
Except
as provided in Section 5.7(c) below, each Award, and each right under any
Award, shall be exercisable only by the Grantee during the Grantee's
lifetime, or, if permissible under applicable law, by the Grantee's
guardian or legal representative.
|
|
(b)
|
Except
as provided in Section 5.7(c) below, no Award (prior to the time, if
applicable, Shares are issued in respect of such Award), and no right
under any Award, may be assigned, alienated, pledged, attached, sold or
otherwise transferred or encumbered by a Grantee otherwise than by will or
by the laws of descent and distribution and any such purported assignment,
alienation, pledge, attachment, sale, transfer or encumbrance shall be
void and unenforceable against the Company or any Subsidiary;
provided
, that the
designation of a beneficiary shall not constitute an assignment,
alienation, pledge, attachment, sale, transfer or
encumbrance.
|
|
(c)
|
To
the extent and in the manner permitted by the Board, and subject to such
terms and conditions as may be prescribed by the Board, a Grantee may
transfer an Award to (a) a child, stepchild, grandchild, parent,
stepparent, grandparent, spouse, former spouse, sibling, niece, nephew,
mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law,
or sister-in-law of the Grantee, (including adoptive relationships), (b)
any person sharing the Grantee's household (other than a tenant or
employee), (c) a trust in which persons described in (a) or (b) have more
than 50% of the beneficial interest, (d) a foundation in which persons
described in (a) or (b) or the Grantee own more than 50% of the voting
interests; provided such transfer is not for value. The
following shall not be considered transfers for value: (i) a
transfer under a domestic relations order in settlement of marital
property rights; and (ii) a transfer to an entity in which more than 50%
of the voting interests are owned by persons described in (a) or (b) above
or the Grantee, in exchange for an interest in that
entity.
|
|
5.8.
|
Section 162(m)
Performance Awards
.
|
|
(a)
|
General
. Any
type of Award that is eligible to be granted under the Plan may be granted
to officers and employees as awards intended to satisfy the requirements
of "performance-based compensation" within the meaning of Section 162(m)
of the Code ("
Performance
Awards
"). The grant, vesting, exercisability or payment
of Performance Awards may depend on the degree of achievement of one or
more performance goals relative to a preestablished target level or levels
using one or more of the Business Criteria set forth
below.
|
|
(b)
|
Class
. The
eligible class of persons to receive Performance Awards shall be any
hourly or salaried officer or employee of the Company or one of its
subsidiaries. The Plan Committee approving Performance Awards
or making any certification required pursuant to Section 5.8(c) must be
constituted as provided for in Section 3.1 for awards that are intended as
performance-based compensation under Section 162(m) of the
Code.
|
|
(c)
|
Performance
Goals
. The specific performance goals for Performance
Awards shall be, on an absolute or relative basis, established based on
one or more of the following business criteria ("
Business
Criteria
") for the Company on a segregated or consolidated basis or
for one or more of the Company's subsidiaries, segments, divisions, or
business units, as selected by the Plan
Committee:
|
|
(d)
|
Flexibility as to
Timing, Weighting, Applicable Business Unit
. For Awards
intended to comply with the performance-based exception to Code Section
162(m), the Plan Committee shall set the Business Criteria within the time
period prescribed by Section 162(m) of the Code. The levels of performance
required with respect to Business Criteria may be expressed in absolute or
relative levels and may be based upon a set increase, set positive result,
maintenance of the status quo, set decrease or set negative result.
Business Criteria may differ for Awards to different Grantees. The Plan
Committee shall specify the weighting (which may be the same or different
for multiple objectives) to be given to each performance objective for
purposes of determining the final amount payable with respect to any such
Award. Any one or more of the Business Criteria may apply to a Grantee, to
the Company as a whole, to one or more Subsidiaries or to a department,
unit, division or function within the Company, within any one or more
Subsidiaries or any one or more joint ventures of which the Company is a
party, and may apply either alone or relative to the performance of other
businesses or individuals (including industry or general market
indices).
|
|
(e)
|
Discretion to
Adjust
. The Plan Committee shall have the discretion to
adjust the determinations of the degree of attainment of the
pre-established performance goals; provided, however, that Awards which
are designed to qualify for the performance-based exception under Code
Section 162(m) may not (unless the Plan Committee determines to amend the
Award so that it no longer qualifies for such performance-based exception)
be adjusted upward. The Plan Committee shall retain the discretion to
adjust such Awards downward. The Plan Committee may not, unless the Plan
Committee determines to amend the Award so that it no longer qualifies for
the performance-based exception, delegate any responsibility with respect
to Awards intended to qualify for such performance-based exception. All
determinations by the Plan Committee as to the achievement of the Business
Criteria shall be certified in writing prior to payment of the
Award.
|
|
(f)
|
Alteration of
Performance Measures
. In the event that applicable laws
allow an Award to qualify for the performance-based exception to Code
Section 162(m) even if the Plan Committee alters the governing Business
Criteria without obtaining shareholder approval, the Plan Committee shall
have sole discretion to make such changes without obtaining shareholder
approval.
|
|
6.1.
|
Grant of
Options
. Subject to the terms and provisions of the
Plan, Options may be granted to any Eligible Person in such number, and
upon such terms, and at any time and from time to time as shall be
determined by the Board. Without limiting the generality of the
foregoing, the Board may grant to any Eligible Person, or permit any
Eligible Person to elect to receive, an Option in lieu of or in
substitution for any other compensation (whether payable currently or on a
deferred basis, and whether payable under the Plan or otherwise) which
such Eligible Person may be eligible to receive from the Company or a
Subsidiary, which Option may have a value (as determined by the Board
under Black-Scholes or any other option valuation method) that is equal to
or greater than the amount of such other
compensation.
|
|
6.2.
|
Award
Agreement
. Each Option grant shall be evidenced by an
Award Agreement that shall specify the Option Price, the Option Term, the
number of shares to which the Option pertains, the time or times at which
such Option shall be exercisable and such other provisions as the Board
shall determine.
|
|
6.3.
|
Option
Price
. The Option Price of an Option under the Plan
shall be determined by the Board, and shall be the higher of 100% of the
Fair Market Value of a Share on the Grant Date or 100% of the par value of
a Share;
provided,
however
, that any Option ("Substitute Option") that is (x) granted
to a Grantee in connection with the acquisition ("Acquisition"), however
effected, by the Company of another corporation or entity ("Acquired
Entity") or the assets thereof, (y) associated with an option to purchase
shares of stock or other equity interest of the Acquired Entity or an
affiliate thereof ("Acquired Entity Option") held by such Grantee
immediately prior to such Acquisition, and (z) intended to preserve for
the Grantee the economic value of all or a portion of such Acquired Entity
Option, shall be granted such that such option substitution is completed
in conformity with the rules set forth in Section 424(a) of the
Code.
|
|
6.4.
|
Grant of Incentive
Stock Options
.
|
|
(a)
|
At
the time of the grant of any Option to an Eligible Person who is an
employee of the Company or a Subsidiary, the Board may designate that such
option shall be made subject to additional restrictions to permit it to
qualify as an "incentive stock option" under the requirements of Section
422 of the Code. Any option designated as an incentive stock
option:
|
|
(i)
|
shall
not be granted to a person who owns shares (including shares treated as
owned under Section 424(d) of the Code) possessing more than 10% of the
total combined voting power of all classes of shares of the
Company;
|
|
(ii)
|
shall
be for a term of not more than 10 years from the Grant Date, and shall be
subject to earlier termination as provided herein or in the applicable
Award Agreement;
|
|
(iii)
|
shall
not have an aggregate Fair Market Value (determined for each incentive
stock option at its Grant Date) of Shares with respect to which incentive
stock options are exercisable for the first time by such Grantee during
any calendar year (under the Plan and any other employee stock option plan
of the Grantee's employer or any parent or Subsidiary thereof ("Other
Plans")), determined in accordance with the provisions of Section 422 of
the Code, which exceeds $100,000 (the "$100,000
Limit");
|
|
(iv)
|
shall,
if the aggregate Fair Market Value of a Share (determined on the Grant
Date) with respect to the portion of such grant which is exercisable for
the first time during any calendar year ("Current Grant") and all
incentive stock options previously granted under the Plan and any Other
Plans which are exercisable for the first time during a calendar year
("Prior Grants") would exceed the $100,000 Limit, be exercisable as
follows:
|
|
(v)
|
shall
be granted within 10 years from the earlier of the date the Plan is
adopted or the date the Plan is approved by the shareholders of the
Company;
|
|
(vi)
|
shall
require the Grantee to notify the Board of any disposition of any Shares
issued pursuant to the exercise of the incentive stock option under the
circumstances described in Section 421(b) of the Code (relating to certain
disqualifying dispositions), within 10 days of such disposition;
and
|
|
(vii)
|
shall
by its terms not be assignable or transferable other than by will or the
laws of descent and distribution and may be exercised, during the
Grantee's lifetime, only by the Grantee; provided, however, that the
Grantee may, to the extent provided in the Plan in any manner specified by
the Board, designate in writing a beneficiary to exercise such incentive
stock option after the Grantee's
death.
|
|
6.5.
|
Exercise of
Options
. Options shall be exercised by the delivery of a
written notice of exercise to the Company or its designee, setting forth
the number of Shares with respect to which the Option is to be exercised,
accompanied by full payment for the Shares as instructed by the Board or,
subject to the approval of the Board pursuant to procedures approved by
the Board,
|
|
(a)
|
through
the sale of the Shares acquired on exercise of the Option through a
broker-dealer to whom the Grantee has submitted an irrevocable notice of
exercise and irrevocable instructions to deliver promptly to the Company
the amount of sale or loan proceeds sufficient to pay for such Shares,
together with, if requested by the Company, the amount of federal, state,
local or foreign withholding taxes payable by Grantee by reason of such
exercise,
|
|
(b)
|
through
simultaneous sale through a broker of Shares acquired on exercise, as
permitted under Regulation T of the Federal Reserve
Board,
|
|
(c)
|
by
transfer to the Company of the number of Shares then owned by the Grantee,
the Fair Market Value of which equals the purchase price of the Shares
purchased in connection with the Option exercise, properly endorsed for
transfer to the Company; provided however, that Shares used for this
purpose must have been held by the Grantee for such minimum period of time
as may be established from time to time by the Board; and provided further
that the Fair Market Value of any Shares delivered in payment of the
purchase price upon exercise of the Options shall be the Fair Market Value
as of the exercise date, which shall be the date of delivery of the
certificates for the Stock used as payment of the exercise
price. For purposes of this Section 6.5(c), in lieu of actually
transferring to the Company the number of Shares then owned by the
Grantee, the Board may, in its discretion permit the Grantee to submit to
the Company a statement affirming ownership by the Grantee of such number
of Shares and request that such Shares, although not actually transferred,
be deemed to have been transferred by the Grantee as payment of the
exercise price, or
|
|
(d)
|
by
a "net exercise" arrangement pursuant to which the Company will not
require a payment of the Option Price but will reduce the number of Shares
upon the exercise by the largest number of whole shares that has a Fair
Market Value on the date of exercise that does not exceed the aggregate
Option Price. With respect to any remaining balance of the
aggregate option price, the Company will accept a cash payment from the
Grantee. Notwithstanding the foregoing, a "net exercise" arrangement will
not be an eligible exercise method for incentive stock options unless and
until the Company and its advisors conclude that such method of exercise
may be utilized without resulting in a disqualification of the incentive
stock option.
|
|
7.1.
|
Grant of
SARs
. Subject to the terms and conditions of the Plan,
SARs may be granted to any Eligible Person at any time and from time to
time as shall be determined by the Board in its sole
discretion. The Board may grant Freestanding SARs or Tandem
SARs, or any combination thereof.
|
|
(a)
|
Number of
Shares
. The Board shall have complete discretion to
determine the number of SARs granted to any Grantee, subject to the
limitations imposed in the Plan and by applicable
law.
|
|
(b)
|
Exercise Price and
Other Terms
. All SARs shall be granted with an exercise
price no less than the Fair Market Value of the underlying Shares on the
SARs' Grant Date. The Board, subject to the provisions of the
Plan, shall have complete discretion to determine the terms and conditions
of SARs granted under the Plan. The exercise price per Share of
Tandem SARs shall equal the exercise price per Share of the related
Option.
|
|
7.2.
|
SAR Award
Agreement
. Each SAR granted under the Plan shall be
evidenced by a written SAR Award Agreement which shall be entered into by
the Company and the Grantee to whom the SAR is granted and which shall
specify the exercise price per share, the SAR Term, the conditions of
exercise, and such other terms and conditions as the Board in its sole
discretion shall determine.
|
|
7.3.
|
Exercise of
SARs
. SARs shall be exercised by the delivery of a
written notice of exercise to the Company or its designee, setting forth
the number of Shares over which the SAR is to be
exercised. Tandem SARs (a) may be exercised with respect to all
or part of the Shares subject to the related Option upon the surrender of
the right to exercise the equivalent portion of the related Option; (b)
may be exercised only with respect to the Shares for which its related
Option is then exercisable; and (c) may be exercised only when the Fair
Market Value of the Shares subject to the Option exceeds the Option Price
of the Option. The value of the payment with respect to the
Tandem SAR may be no more than 100% of the difference between the Option
Price of the underlying Option and the Fair Market Value of the Shares
subject to the underlying Option at the time the Tandem SAR is
exercised.
|
|
7.4.
|
Expiration of
SARs
. A SAR granted under the Plan shall expire on the
date set forth in the SAR Award Agreement, which date shall be determined
by the Board in its sole discretion. Unless otherwise
specifically provided for in the SAR Award agreement, a Tandem SAR granted
under the Plan shall be exercisable at such time or times and only to the
extent that the related Option is exercisable. The Tandem SAR
shall terminate and no longer be exercisable upon the termination or
exercise of the related Options, except that Tandem SARs granted with
respect to less than the full number of Shares covered by a related Option
shall not be reduced until the exercise or termination of the related
Option exceeds the number of Shares not covered by the
SARs.
|
|
7.5.
|
Payment of SAR
Amount
. Upon exercise of a SAR, a Grantee shall be
entitled to receive payment from the Company in an amount determined by
multiplying (i) the positive difference between the Fair Market Value of a
Share on the date of exercise over the exercise price per Share by (ii)
the number of Shares with respect to which the SAR is
exercised. The payment upon a SAR exercise shall be solely in
whole Shares of equivalent value. Fractional Shares shall be
rounded down to the nearest whole Share with no cash consideration being
paid upon exercise.
|
|
8.1.
|
Grant of Restricted
Shares
. Subject to the terms and provisions of the Plan,
the Board, at any time and from time to time, may grant Restricted Shares
to any Eligible Person in such amounts as the Board shall
determine.
|
|
8.2.
|
Bonus
Shares
. Subject to the terms of the Plan, the Board may
grant Bonus Shares to any Eligible Person, in such amount and upon such
terms and at any time and from time to time as shall be determined by the
Board. Bonus Shares shall be Shares issued without any
Restriction.
|
|
8.3.
|
Award
Agreement
. Each grant of Restricted Shares shall be
evidenced by an Award Agreement, which shall specify the Restrictions and
the Period(s) of Restriction, the number of Restricted Shares granted, and
such other provisions as the Board shall determine. The Board
may impose such Restrictions on any Restricted Shares as it may deem
advisable, including Restrictions based upon the achievement of specific
performance goals (Company-wide, divisional, Subsidiary or individual),
time-based Restrictions on vesting or Restrictions under applicable
securities laws; provided that in all cases, the Restricted Shares shall
be subject to a minimum two-year graduated vesting schedule (50% each
year), except, if as provided in the Award Agreement, in the event of
death, disability, Change of Control, Termination of Affiliation with Good
Reason, or Termination of Affiliation by the Employer other than for
Cause.
|
|
8.4.
|
Consideration
. The
Board shall determine the amount, if any, that a Grantee shall pay for
Restricted Shares or Bonus Shares. Such payment shall be made
in full by the Grantee before the delivery of the shares and in any event
no later than 10 business days after the Grant Date for such
shares.
|
|
8.5.
|
Effect of
Forfeiture
. If Restricted Shares are forfeited, and if
the Grantee was required to pay for such shares or acquired such
Restricted Shares upon the exercise of an Option, the Grantee shall resell
such Restricted Shares to the Company at a price equal to the lesser of
(x) the amount paid by the Grantee for such Restricted Shares, or (y) the
Fair Market Value of a Share on the date of such
forfeiture. The Company shall pay to the Grantee the required
amount as soon as is administratively
practical.
|
|
8.6.
|
Escrow
. The
Board may provide that any Restricted Shares or Bonus Shares shall be
represented by, at the option of the Board, either book entry registration
or by a stock certificate or certificates. If the shares of
Restricted Shares are represented by a certificate or certificates, such
shares shall be held (together with an assignment or
endorsement executed in blank by the Grantee) in escrow by an escrow agent
until such Restricted Shares become nonforfeitable or are
forfeited.
|
10.1.
|
Grant of Performance
Units and Performance Shares
. Subject to the terms of
the Plan, Performance Units or Performance Shares may be granted to any
Eligible Person in such amounts and upon such terms, and at any time and
from time to time, as the Board shall determine. Each grant of
Performance Units or Performance Shares shall be evidenced by an Award
Agreement which shall specify the terms and conditions applicable to the
Performance Units or Performance Shares, as the Board
determines.
|
10.2.
|
Value/Performance
Goals
. Each Performance Unit shall have an initial value
that is established by the Board at the time of grant, that is equal to
the Fair Market Value of a Share on the Grant Date. The Board
shall set the Business Criteria which, depending on the extent to which
they are met, will determine the number or value of Performance Units or
Performance Shares that will be paid to the Grantee. For
purposes of this Article 10, the time period during which the performance
goals must be met shall be called a "Performance Period." The
Board shall have complete discretion to establish the performance
goals.
|
10.3.
|
Payment of Performance
Units and Performance Shares
. Subject to the terms of
the Plan, after the applicable Performance Period has ended, the holder of
Performance Units or Performance Shares shall be entitled to receive a
payment based on the number and value of Performance Units or Performance
Shares earned by the Grantee over the Performance Period, determined as a
function of the extent to which the corresponding performance goals have
been achieved.
|
10.4.
|
Form and Timing of
Payment of Performance Units and Performance
Shares
. Payment of earned Performance Units or
Performance Shares shall be made in a lump sum following the close of the
applicable Performance Period. The Board may cause earned
Performance Units or Performance Shares to be paid in cash or in Shares
(or in a combination thereof) which have an aggregate Fair Market Value
equal to the value of the earned Performance Units or Performance Shares
at the close of the applicable Performance Period. Such Shares
may be granted subject to any restrictions deemed appropriate by the
Board. The form of payout of such Awards shall be set forth in
the Award Agreement pertaining to the grant of the
Award.
|
12.1.
|
Employment
. Nothing
in the Plan shall interfere with or limit in any way the right of the
Company to terminate any Grantee's employment at any time, nor confer upon
any Grantee the right to continue in the employ of the
Company.
|
12.2.
|
Participation
. No
employee shall have the right to be selected to receive an Award, or,
having been so selected, to be selected to receive a future
Award.
|
13.1.
|
Amendment,
Modification, and Termination
. Subject to the terms of
the Plan, the Board of Directors of the Company may at any time and from
time to time, alter, amend, suspend or terminate the Plan in whole or in
part without the approval of the Company's shareholders, except to the
extent the Board of Directors of the Company determines it is desirable to
obtain approval of the Company's shareholders, to retain eligibility for
exemption from the limitations of Code Section 162(m), to have available
the ability for Options to qualify as ISOs, to comply with the
requirements for listing on any exchange where the Company's Shares are
listed, or for any other purpose the Board of Directors of the Company
deems appropriate.
|
13.2.
|
Adjustments Upon
Certain Unusual or Nonrecurring Events
. The Board may
make adjustments in the terms and conditions of Awards in recognition of
unusual or nonrecurring events (including the events described in Section
4.2) affecting the Company or the financial statements of the Company or
of changes in applicable laws, regulations, or accounting principles,
whenever the Board determines that such adjustments are appropriate in
order to prevent dilution or enlargement of the benefits or potential
benefits intended to be made available under the
Plan.
|
13.3.
|
Awards Previously
Granted
. Notwithstanding any other provision of the Plan
to the contrary (but subject to Section 2.8 and Section 13.2), no
termination, amendment or modification of the Plan shall adversely affect
in any material way any Award previously granted under the Plan, without
the written consent of the Grantee of such Award. Any
adjustment, modification, extension or renewal of an Option shall be
effected such that the Option is either exempt from, or is compliant with,
Code section 409A.
|
13.4.
|
Adjustments in
Connection with Change of Control
. In the event the
Company undergoes a Change of Control or in the event of a separation,
spin-off, sale of a material portion of the Company's assets or any "going
private" transaction under Rule 13e-3 promulgated pursuant to the Exchange
Act and in which a Change of Control does not occur, the Board, or the
board of directors of any corporation assuming the obligations of the
Company, shall have the full power and discretion to prescribe and amend
the terms and conditions for the exercise, or modification, of any
outstanding Awards granted hereunder in the manner as agreed to by the
Board as set forth in the definitive agreement relating to the
transaction. Without limitation, the Board or Plan Committee
may:
|
|
(a)
|
remove
restrictions on Restricted Shares and Restricted Stock
Units;
|
|
(b)
|
modify
the performance requirements for any other
Awards;
|
|
(c)
|
provide
that Options or other Awards granted hereunder must be exercised in
connection with the closing of such transactions, and that if not so
exercised such Awards will expire;
|
|
(d)
|
provide
for the purchase by the Company of any such Award, upon the Grantee's
request, for an amount of cash equal to the amount that could have been
attained upon the exercise of such Award or realization of the Grantee's
rights had such Award been currently exercisable or
payable;
|
|
(e)
|
make
such adjustment to any such Award then outstanding as the Board deems
appropriate to reflect such Change of
Control;
|
|
(f)
|
cause
any such Award then outstanding to be assumed, or new rights substituted
therefore, by the acquiring or surviving corporation after such Change of
Control. Any such determinations by the Board may be made
generally with respect to all Participants, or may be made on a
case-by-case basis with respect to particular
Participants.
|
13.5.
|
Prohibition on
Repricings
. Except in connection with a corporate
transaction involving the Company (including, without limitation, any
stock dividend, stock split, extraordinary cash dividend,
recapitalization, reorganization, merger, consolidation, split-up,
spin-off, combination, or exchange of shares), the terms of outstanding
Awards may not be amended to reduce the exercise price of outstanding
Options or SARs or cancel outstanding Options or SARs in exchange for
cash, other Awards or Options or SARs with an exercise price that is less
than the exercise price of the original Options or SARs without
stockholder approval.
|
14.1.
|
Mandatory Tax
Withholding
.
|
|
(a)
|
Whenever
under the Plan, Shares are to be delivered upon exercise or payment of an
Award, or upon the lapse of Restrictions on an Award, or any other event
with respect to rights and benefits hereunder (the exercise date, date
such Restrictions lapse or such payment of any other benefit or right
occurs hereinafter referred to as the "
Tax Date
"), the
Company shall be entitled to require and may accommodate the Grantee's
request if so requested, to satisfy all federal, state, local and foreign
tax withholding requirements, including Social Security and Medicare
("
FICA
")
taxes related thereto ("
Tax
Withholding
"), by one or a combination of the following
methods:
|
|
(b)
|
Any
Grantee who makes a disqualifying disposition of an incentive stock option
granted under the Plan or who makes an election under Section 83(b) of the
Code shall remit to the Company an amount sufficient to satisfy all
resulting Tax Withholding;
provided
that, in lieu
of or in addition to the foregoing, the Company shall have the right to
withhold such Tax Withholding from compensation otherwise due to the
Grantee or from any Shares or other payment due to the Grantee under the
Plan.
|
14.2.
|
Notification under
Code Section 83(b)
. If the Grantee, in connection with
the exercise of any Option, or the grant of Restricted Shares, makes the
election permitted under Section 83(b) of the Code to include in such
Grantee's gross income in the year of transfer the amounts specified in
Section 83(b) of the Code, then such Grantee shall notify the Company of
such election within 10 days of filing the notice of the election with the
Internal Revenue Service, in addition to any filing and notification
required pursuant to regulations issued under Section 83(b) of the
Code. The Board may, in connection with the grant of an Award
or at any time thereafter prior to such an election being made, prohibit a
Grantee from making the election described
above.
|
16.1.
|
Successors
. All
obligations of the Company under the Plan with respect to Awards granted
hereunder shall be binding on any successor to the Company, whether the
existence of such successor is the result of a direct or indirect
purchase, merger, consolidation, or otherwise of all or substantially all
of the business or assets of the
Company.
|
16.2.
|
Gender and
Number
. Except where otherwise indicated by the context,
any masculine term used herein also shall include the feminine; the plural
shall include the singular and the singular shall include the
plural.
|
16.3.
|
Severability
. If
any part of the Plan is declared by any court or governmental authority to
be unlawful or invalid, such unlawfulness or invalidity shall not
invalidate any other part of the Plan. Any Section or part of a
Section so declared to be unlawful or invalid shall, if possible, be
construed in a manner which will give effect to the terms of such Section
or part of a Section to the fullest extent possible while remaining lawful
and valid.
|
16.4.
|
Requirements of
Law
. The granting of Awards and the issuance of Shares
under the Plan shall be subject to all applicable laws, rules, and
regulations, and to such approvals by any governmental agencies or stock
exchanges as may be required. Notwithstanding any provision of
the Plan or any Award, Grantees shall not be entitled to exercise, or
receive benefits under, any Award, and the Company shall not be obligated
to deliver any Shares or other benefits to a Grantee, if such exercise or
delivery would constitute a violation by the Grantee or the Company of any
applicable law or regulation.
|
16.5.
|
Securities Law
Compliance
.
|
|
(a)
|
If
the Board deems it necessary to comply with any applicable securities law,
or the requirements of any stock exchange upon which Shares may be listed,
the Board may impose any restriction on Shares acquired pursuant to Awards
under the Plan as it may deem advisable. All Shares transferred
under the Plan pursuant to any Award or the exercise thereof shall be
subject to such stop transfer orders and other restrictions as the Board
may deem advisable under the rules, regulations and other requirements of
the SEC, any stock exchange upon which Shares are then listed, any
applicable securities law,. If so requested by the Company, the
Grantee shall represent to the Company in writing that he or she will not
sell or offer to sell any Shares unless a registration statement shall be
in effect with respect to such Shares under the Securities Act of 1933 or
unless he or she shall have furnished to the Company evidence satisfactory
to the Company that such registration is not
required.
|
|
(b)
|
If
the Board determines that the exercise of, or delivery of benefits
pursuant to, any Award would violate any applicable provision of
securities laws or the listing requirements of any stock exchange upon
which any of the Company's equity securities are then listed, then the
Board may postpone any such exercise or delivery, as applicable, but the
Company shall use all reasonable efforts to cause such exercise or
delivery to comply with all such provisions at the earliest practicable
date.
|
16.6.
|
No Rights as a
Shareholder
. A Grantee shall not have any rights as a shareholder
with respect to the Shares (other than Restricted Shares) which may be
deliverable upon exercise or payment of such Award until such shares have
been delivered to him or her. Restricted Shares, whether held by a Grantee
or in escrow by the escrow agent, shall confer on the Grantee all rights
of a shareholder of the Company, except as otherwise provided in the Plan
or Award Agreement. Unless otherwise determined by the Board at the time
of a grant of Restricted Shares, any cash dividends that become payable on
Restricted Shares shall be deferred and, if the Board so determines,
reinvested in additional Restricted Shares. Except as otherwise provided
in an Award Agreement, any share dividends and deferred cash dividends
issued with respect to Restricted Shares shall be subject to the same
restrictions and other terms as apply to the Restricted Shares with
respect to which such dividends are issued. The Board may provide for
payment of interest on deferred cash
dividends.
|
16.7.
|
Nature of
Payments
. Awards shall be special incentive payments to
the Grantee and shall not be taken into account in computing the amount of
salary or compensation of the Grantee for purposes of determining any
pension, retirement, death or other benefit under (a) any pension,
retirement, profit-sharing, bonus, insurance or other employee benefit
plan of the Company or any Subsidiary or (b) any agreement between (i) the
Company or any Subsidiary and (ii) the Grantee, except as such plan or
agreement shall otherwise expressly
provide.
|
16.8.
|
Military
Service
. Awards shall be administered in accordance with
Section 414(u) of the Code and the Uniformed Services Employment and
Reemployment Rights Act of 1994.
|
16.9.
|
Data
Protection
. The Board, the Plan Committee and any other person or
entity empowered by the Board or the Plan Committee to administer the Plan
may process, store, transfer or disclose personal data of the Grantees to
the extent required for the implementation and administration of the Plan.
The Board, the Plan Committee and any other person or entity empowered by
the Board or the Plan Committee to administer the Plan shall comply with
any applicable data protection
laws.
|
16.10.
|
Governing
Law
. The Plan and the rights of any Grantee receiving an
Award thereunder shall be construed and interpreted in accordance with and
governed by the laws of the State of Kansas without giving effect to the
principles of the conflict of laws to the
contrary.
|
1.
|
Section
5.6(a)(i) shall be replaced with the
following:
|
|
(i)
|
to
the extent permitted by the applicable Swiss law the Grantee's Restricted
Shares that are forfeitable immediately before such Termination of
Affiliation shall automatically be forfeited on such date, subject in the
case of Restricted Shares to the provisions of Section 8.5 regarding
repayment of certain amounts to the
Grantee;
|
2.
|
Section
5.6(a)(ii) shall be replaced with the
following:
|
|
(ii)
|
to
the extent permitted by the applicable Swiss law the Grantee's Restricted
Stock Units shall automatically be
forfeited;
|
3.
|
Section
5.6(a)(iii) shall be replaced with the
following:
|
|
(iii)
|
to
the extent permitted by the applicable Swiss law any unexercised Option or
SAR, and any Performance Share or Performance Unit with respect to which
the Performance Period has not ended immediately before such Termination
of Affiliation, shall terminate effective immediately upon such
Termination of Affiliation.
|
4.
|
Section
5.6(d)(i) shall be replaced with the
following:
|
|
(i)
|
to
the extent permitted by the applicable Swiss law the Grantee's Restricted
Shares and Deferred Shares, to the extent forfeitable immediately before
such Termination of Affiliation, shall thereupon automatically be
forfeited, subject in the case of Restricted Shares to the provisions of
Section 8.4 regarding repayment of certain amounts to the
Grantee;
|
|
5.
|
Section
5.6(d)(ii) shall be replaced with the
following:
|
|
(ii)
|
to
the extent permitted by the applicable Swiss law the Grantee's Restricted
Stock Units shall automatically be
forfeited;
|
6.
|
Section
5.6(d)(iv) shall be replaced with the
following:
|
|
(iv)
|
to
the extent permitted by the applicable Swiss law any Performance Shares or
Performance Units with respect to which the Performance Period has not
ended as of the date of such Termination of Affiliation shall terminate
immediately upon such Termination of
Affiliation.
|
7.
|
Section
6.1 shall be replaced with the
following:
|
|
6.1
|
Grant of
Options
. Subject to the terms and provisions of the
Plan, Options may be granted to any Eligible Person in such number, and
upon such terms, and at any time and from time to time as shall be
determined by the Board. Without limiting the generality of the
foregoing and to the extent permitted by the applicable Swiss law, the
Board may grant to any Eligible Person, or permit any Eligible Person to
elect to receive, an Option in lieu of or in substitution for any other
compensation (whether payable currently or on a deferred basis, and
whether payable under the Plan or otherwise) which such Eligible Person
may be eligible to receive from the Company or a Subsidiary, which Option
may have a value (as determined by the Board under Black-Scholes or any
other option valuation method) that is equal to or greater than the amount
of such other compensation.
|
8.
|
Article
11. shall be replaced with the
following:
|
Grant
Date
|
____________________
|
||||
Expiration
Date
|
____________________
|
||||
Number
of Shares
|
____________________
|
||||
Option
Price
|
$___________________
|
||||
Exercisability
|
Time Elapsed Since Grant
|
Percentage Exercisable
|
|||
Less
than 1 year
|
0 | % | |||
1
year but less than 2 years
|
33-1/3 | % | |||
2
years but less than 3 years
|
66-2/3 | % | |||
3
years or more
|
100 | % |
Garmin
Ltd.
|
|||
By:
|
Number
of Performance Shares Granted:
|
______________
Shares
|
|
Performance
Condition Required for Grantee To Receive Award
|
For
the period commencing _______ and ending __________, (the "Performance
Period"), the growth in the Company's Operating Income (as presented in
the Company’s annual audited consolidated financial statements included in
its annual reports on Form 10-K) must equal or exceed
_____%
|
|
Date
Grantee Must Be Employed To Receive Award :
|
______________,
2012*
|
|
Date
Payable:
|
______________,
2012**
|
GARMIN
LTD.
|
||
By:
|
/s/ Min H. Kao
|
|
Name:
|
Min
H. Kao
|
|
Title:
|
Chairman
and CEO
|
Section
1.
|
Incorporation
of Plan
|
Section
2.
|
Grant
of Performance Shares
|
Section
3.
|
Effect
of Termination of Affiliation or Cessation as Full-Time
Employee
|
|
(a)
|
If
at the end of the applicable Performance Period, the Performance Condition
set forth on the Notice of Grant is achieved but you incurred a
Termination of Affiliation on account of death or Disability, the
Performance Shares shall thereupon become nonforfeitable and the Company
shall, promptly settle all Performance Shares by delivery to you (or,
after your death, to your personal representative or designated
beneficiary) a number of unrestricted Shares equal to the number of your
Performance Shares.
|
|
(b)
|
If
you have a Termination of Affiliation during the period ("Change of
Control Period") commencing on a Change of Control and ending on the first
anniversary of the Change of Control, which Termination of Affiliation is
initiated by the Company or a Subsidiary other than for Cause, or
initiated by the Grantee for Good Reason, then your Performance Shares
that were forfeitable shall thereupon become nonforfeitable and the
Company shall immediately settle all Performance Shares by delivery to you
a number of unrestricted Shares equal to the number of your Performance
Shares.
|
|
(c)
|
If
you have a Termination of Affiliation for Cause or for any reason other
than for death or Disability, or under the circumstances described
immediately above in Section 3(b), your Performance Shares, to the extent
forfeitable immediately before such Termination of Affiliation, shall
thereupon automatically be forfeited and you shall have no further rights
under this Award Agreement.
|
|
(d)
|
If
you cease to be employed on a Full-Time Basis for any reason other than
for death or Disability, your Performance Shares, to the extent
forfeitable immediately before such cessation of employment on a Full-Time
Basis, shall thereupon automatically be forfeited and you shall have no
further rights under this Award
Agreement.
|
Section
4.
|
Investment
Intent
|
Section
5.
|
Nontransferability
of Performance Shares
|
Section
6.
|
Restrictive
Covenants
|
|
(a)
|
Nondisclosure
of Award Agreement Terms
.
The Grantee
agrees not to disclose or cause to be disclosed at any time, nor authorize
anyone to disclose any information concerning this Award Agreement except
(i) as required by law, or (ii) to the Grantee's legal and financial
advisors who agree to be bound by this Paragraph
6(a).
|
|
(b)
|
Noncompetition.
During
the Grantee's employment and until one year after the Grantee ceases being
employed by or acting as a consultant or independent contractor to the
Company or any Subsidiary, the Grantee will not perform services as an
employee, director, officer, consultant, independent contractor or
advisor, or invest in, whether in the form of equity or debt, or otherwise
have an ownership interest in any company, entity or person that directly
competes anywhere in the United States, the United Kingdom, Taiwan, or in
any other location outside the United States, the United Kingdom or Taiwan
where the Company or a Subsidiary conducts or (to the Grantee's knowledge)
plans to conduct business. Nothing in this Section 6(b) shall,
however, restrict the Grantee from making an investment in and owning up
to one-percent (1%) of the common stock of any company whose stock is
listed on a national securities exchange or actively traded in an
over-the-counter market; provided that such investment does not give the
Grantee the right or ability to control or influence the policy decisions
of any direct competitor of the Company or a
Subsidiary.
|
|
(c)
|
Noninterference.
During
the Grantee's employment and until one year after the Grantee ceases being
employed by or acting as a consultant or independent contractor to the
Company or any Subsidiary, the Grantee will not, either directly or
indirectly through another business or person, solicit, entice away, or
otherwise interfere with any employee, customer, prospective customer,
vendor, prospective vendor, supplier or other similar business relation or
(to the Grantee's knowledge) prospective business relation of the Company
or any Subsidiary.
|
|
(d)
|
Nonsolicitation.
During
the Grantee's employment and until one year after the Grantee ceases being
employed by or acting as a consultant or independent contractor to the
Company or any Subsidiary, the Grantee will not, either directly or
indirectly through another business or person, hire, recruit, employ, or
attempt to hire, recruit or employ, or facilitate any such acts by others,
any person then currently employed by the Company or any
Subsidiary.
|
|
(e)
|
Confidentiality.
The
Grantee acknowledges that it is the policy of the Company and its
Subsidiaries to maintain as secret and confidential all valuable and
unique information and techniques acquired, developed or used by the
Company and its Subsidiaries relating to their businesses, operations,
employees and customers ("Confidential Information"). The
Grantee recognizes that the Confidential Information is the sole and
exclusive property of the Company and its subsidiaries, and that
disclosure of Confidential Information would cause damage to the Company
and its Subsidiaries. The Grantee shall not at any time
disclose or authorize anyone else to disclose any Confidential Information
or proprietary information that (A) is disclosed to or known by the
Grantee as a result or as a consequence of or through the Grantee's
performance of services for the Company or any Subsidiary, (B) is not
publicly or generally known outside the Company and (C) relates in any
manner to the Company's business. This obligation will continue
even though the Grantee's employment with the Company or a Subsidiary may
have terminated. This paragraph 6(e) shall apply in addition
to, and not in derogation of any other confidentiality agreements that may
exist, now or in the future, between the Grantee and the Company or any
Subsidiary.
|
|
(f)
|
No
Detrimental Communications.
The Grantee agrees not to
disclose or cause to be disclosed at any time any untrue, negative,
adverse or derogatory comments or information about the Company or any
Subsidiary, about any product or service provided by the Company or any
Subsidiary, or about prospects for the future of the Company or any
Subsidiary.
|
|
(g)
|
Remedy.
The
Grantee acknowledges the consideration provided herein (absent the
Grantee's agreement to this Section 6) is more than the Company is
obligated to pay, and the Grantee further acknowledges that irreparable
harm would result from any breach of this Section and monetary damages
would not provide adequate relief or remedy. Accordingly, the Grantee
specifically agrees that, if the Grantee breaches any of the Grantee's
obligations under this Section 6, the Company and any Subsidiary shall be
entitled to injunctive relief therefor, and in particular, without
limiting the generality of the foregoing, neither the Company nor any
Subsidiary shall be precluded from pursuing any and all remedies they may
have at law or in equity for breach of such obligations. In
addition, this Award Agreement and all of Grantee's right hereunder shall
terminate immediately the first date on which the Grantee engages in such
activity and the Board shall be entitled on or after the first date on
which the Grantee engages in such activity to require the Grantee to
return any Shares obtained by the Grantee's upon vesting of any
Performance Shares to the Company and to require the Grantee to repay any
proceeds received at any time from the sale of Shares obtained by the
Grantee pursuant to the vesting of any Performance Shares (plus interest
on such amount from the date received at a rate equal to the prime lending
rate as announced from time to time in
The Wall Street
Journal
) and to recover all reasonable attorneys' fees and expenses
incurred in terminating this Award Agreement and recovering such Shares
and proceeds.
|
Section
7.
|
Status
of the Grantee
|
Section
8.
|
No
Effect on Capital
Structure
|
Section
9.
|
Adjustments
|
Section
10.
|
Amendments
|
Section
11.
|
Board
Authority
|
Section
12.
|
Withholding
|
Section
13.
|
Notice
|
Section
14.
|
Severability
|
Section
15.
|
Binding
Effect
|
Section
16.
|
Governing
Law and Jurisdiction
|
Number
of RSUs Granted
|
Dates
Payable
|
Date
Grantee Must Be
Employed
To Receive Award
|
||
__________
Shares
|
__________,
2010
|
______________,
2010
|
||
__________
Shares
|
__________,
2011
|
______________,
2011
|
||
__________
Shares
|
__________,
2012
|
______________,
2012
|
||
__________
Shares
|
__________,
2013
|
______________,
2013
|
||
__________
Shares
|
__________,
2014
|
______________,
2014
|
Section 1.
|
Incorporation of
Plan
|
Section 2.
|
Grant of
RSUs
|
Section 3.
|
Effect of Termination
of Affiliation or Cessation as Full-Time
Employee
|
|
(a)
|
If
you have a Termination of Affiliation on account of death or Disability,
your RSUs that were forfeitable immediately before such Termination of
Affiliation, if any, shall thereupon become nonforfeitable and the Company
shall, promptly settle all RSUs by delivery to you (or, after your death,
to your personal representative or designated beneficiary) a number of
unrestricted Shares equal to the aggregate number of your remaining
RSUs;
|
|
(b)
|
If
you have a Termination of Affiliation during the period ("Change of
Control Period") commencing on a Change of Control and ending on the first
anniversary of the Change of Control, which Termination of Affiliation is
initiated by the Company or a Subsidiary other than for Cause, or
initiated by the Grantee for Good Reason, then your RSUs that were
forfeitable shall thereupon become nonforfeitable and the Company shall
immediately settle all RSUs by delivery to you a number of unrestricted
Shares equal to the aggregate number of your remaining
RSUs;
|
|
(c)
|
If
you have a Termination of Affiliation for Cause or for any reason other
than for, death or Disability, or under the circumstances described in
immediately above in Section 3(b), your RSUs, to the extent forfeitable
immediately before such Termination of Affiliation and to the extent
permitted by the applicable Swiss law, shall thereupon automatically be
forfeited and you shall have no further rights under this Award
Agreement;
|
|
(d)
|
If
you cease to be employed on a Full-Time Basis for any reason other than
for death or Disability, your RSUs, to the extent forfeitable immediately
before such cessation of employment on a Full-Time Basis and to the extent
permitted by applicable Swiss law, shall thereupon automatically be
forfeited and you shall have no further rights under this Award
Agreement.
|
Section 4.
|
Investment
Intent
|
Section 5.
|
Nontransferability of
RSUs
|
Section 6.
|
Restrictive
Covenants
|
|
(a)
|
Nondisclosure
of Award Agreement Terms
.
The Grantee
agrees not to disclose or cause to be disclosed at any time, nor authorize
anyone to disclose any information concerning this Award Agreement except
(i) as required by law, or (ii) to the Grantee's legal and financial
advisors who agree to be bound by this Paragraph
6(a).
|
|
(b)
|
Noncompetition.
During
the Grantee's employment and until one year after the Grantee ceases being
employed by or acting as a consultant or independent contractor to the
Company or any Subsidiary, the Grantee will not perform services as an
employee, director, officer, consultant, independent contractor or
advisor, or invest in, whether in the form of equity or debt, or otherwise
have an ownership interest in any company, entity or person that directly
competes anywhere in the United States, the United Kingdom, Taiwan, or in
any other location outside the United States, the United Kingdom or Taiwan
where the Company or a Subsidiary conducts or (to the Grantee's knowledge)
plans to conduct business. Nothing in this Section 6(b) shall,
however, restrict the Grantee from making an investment in and owning up
to one-percent (1%) of the common stock of any company whose stock is
listed on a national securities exchange or actively traded in an
over-the-counter market; provided that such investment does not give the
Grantee the right or ability to control or influence the policy decisions
of any direct competitor of the Company or a
Subsidiary.
|
|
(c)
|
Noninterference.
During
the Grantee's employment and until one year after the Grantee ceases being
employed by or acting as a consultant or independent contractor to the
Company or any Subsidiary, the Grantee will not, either directly or
indirectly through another business or person, solicit, entice away, or
otherwise interfere with any employee, customer, prospective customer,
vendor, prospective vendor, supplier or other similar business relation or
(to the Grantee's knowledge) prospective business relation of the Company
or any Subsidiary.
|
|
(d)
|
Nonsolicitation.
During
the Grantee's employment and until one year after the Grantee ceases being
employed by or acting as a consultant or independent contractor to the
Company or any Subsidiary, the Grantee will not, either directly or
indirectly through another business or person, hire, recruit, employ, or
attempt to hire, recruit or employ, or facilitate any such acts by others,
any person then currently employed by the Company or any
Subsidiary.
|
|
(e)
|
Confidentiality.
The
Grantee acknowledges that it is the policy of the Company and its
subsidiaries to maintain as secret and confidential all valuable and
unique information and techniques acquired, developed or used by the
Company and its Subsidiaries relating to their businesses, operations,
employees and customers ("Confidential Information"). The
Grantee recognizes that the Confidential Information is the sole and
exclusive property of the Company and its subsidiaries, and that
disclosure of Confidential Information would cause damage to the Company
and its Subsidiaries. The Grantee shall not at any time
disclose or authorize anyone else to disclose any Confidential Information
or proprietary information that (A) is disclosed to or known by the
Grantee as a result or as a consequence of or through the Grantee's
performance of services for the Company or any Subsidiary, (B) is not
publicly or generally known outside the Company and (C) relates in any
manner to the Company's business. This obligation will continue
even though the Grantee's employment with the Company or a Subsidiary may
have terminated. This paragraph 6(e) shall apply in addition
to, and not in derogation of any other confidentiality agreements that may
exist, now or in the future, between the Grantee and the Company or any
Subsidiary.
|
|
(f)
|
No
Detrimental Communications.
The Grantee agrees not to
disclose or cause to be disclosed at any time any untrue, negative,
adverse or derogatory comments or information about the Company or any
Subsidiary, about any product or service provided by the Company or any
Subsidiary, or about prospects for the future of the Company or any
Subsidiary.
|
|
(g)
|
Remedy.
The
Grantee acknowledges the consideration provided herein (absent the
Grantee's agreement to this Section 6) is more than the Company is
obligated to pay, and the Grantee further acknowledges that irreparable
harm would result from any breach of this Section and monetary damages
would not provide adequate relief or remedy. Accordingly, the Grantee
specifically agrees that, if the Grantee breaches any of the Grantee's
obligations under this Section 6, the Company and any Subsidiary shall be
entitled to injunctive relief therefor, and in particular, without
limiting the generality of the foregoing, neither the Company nor any
Subsidiary shall be precluded from pursuing any and all remedies they may
have at law or in equity for breach of such obligations. In
addition, this Award Agreement and all of Grantee's right hereunder shall
terminate immediately the first date on which the Grantee engages in such
activity and the Board shall be entitled on or after the first date on
which the Grantee engages in such activity to require the Grantee to
return any Shares obtained by the Grantee's upon vesting of any RSUs to
the Company and to require the Grantee to repay any proceeds received at
any time from the sale of Shares obtained by the Grantee pursuant to the
vesting of any RSUs (plus interest on such amount from the date received
at a rate equal to the prime lending rate as announced from time to time
in
The Wall Street
Journal
) and to recover all reasonable attorneys' fees and expenses
incurred in terminating this Award Agreement and recovering such Shares
and proceeds.
|
Section 7.
|
Status of the
Grantee
|
Section 8.
|
No Effect on Capital
Structure
|
Section 9.
|
Adjustments
|
Section
10.
|
Amendments
|
Section
11.
|
Board
Authority
|
Section
12.
|
Withholding
|
Section
13.
|
Notice
|
Section
14.
|
Severability
|
Section
15.
|
Binding
Effect
|
Section
16.
|
Governing Law and
Jurisdiction
|
Number
of RSUs Granted
|
Dates
Payable
|
Date
Grantee Must Be
Employed
To Receive Award
|
||
__________
Shares
|
__________,
2010
|
______________,
2010
|
||
__________
Shares
|
__________,
2011
|
______________,
2011
|
||
__________
Shares
|
__________,
2012
|
______________,
2012
|
||
__________
Shares
|
__________,
2013
|
______________,
2013
|
||
__________
Shares
|
__________,
2014
|
______________,
2014
|
Section 1.
|
Incorporation of
Plan
|
Section 2.
|
Grant of
RSUs
|
Section 3.
|
Effect of Termination
of Affiliation or Cessation as Full-Time
Employee
|
|
(a)
|
If
you have a Termination of Affiliation on account of death or Disability,
your RSUs that were forfeitable immediately before such Termination of
Affiliation, if any, shall thereupon become nonforfeitable and the Company
shall, promptly settle all RSUs by delivery to you (or, after your death,
to your personal representative or designated beneficiary) a number of
unrestricted Shares equal to the aggregate number of your remaining
RSUs;
|
|
(b)
|
If
you have a Termination of Affiliation during the period ("Change of
Control Period") commencing on a Change of Control and ending on the first
anniversary of the Change of Control, which Termination of Affiliation is
initiated by the Company or a Subsidiary other than for Cause, or
initiated by the Grantee for Good Reason, then your RSUs that were
forfeitable shall thereupon become nonforfeitable and the Company shall
immediately settle all RSUs by delivery to you a number of unrestricted
Shares equal to the aggregate number of your remaining
RSUs;
|
|
(c)
|
If
you have a Termination of Affiliation for Cause or for any reason other
than for, death or Disability, or under the circumstances described in
immediately above in Section 3(b), your RSUs, to the extent forfeitable
immediately before such Termination of Affiliation, shall thereupon
automatically be forfeited and you shall have no further rights under this
Award Agreement;
|
|
(d)
|
If
you cease to be employed on a Full-Time Basis for any reason other than
for death or Disability, your RSUs, to the extent forfeitable immediately
before such cessation of employment on a Full-Time Basis, shall thereupon
automatically be forfeited and you shall have no further rights under this
Award Agreement.
|
Section 4.
|
Investment
Intent
|
Section 5.
|
Nontransferability of
RSUs
|
Section 6.
|
Restrictive
Covenants
|
|
(a)
|
Nondisclosure
of Award Agreement Terms
.
The Grantee
agrees not to disclose or cause to be disclosed at any time, nor authorize
anyone to disclose any information concerning this Award Agreement except
(i) as required by law, or (ii) to the Grantee's legal and financial
advisors who agree to be bound by this Paragraph
6(a).
|
|
(b)
|
Noncompetition.
During
the Grantee's employment and until one year after the Grantee ceases being
employed by or acting as a consultant or independent contractor to the
Company or any Subsidiary, the Grantee will not perform services as an
employee, director, officer, consultant, independent contractor or
advisor, or invest in, whether in the form of equity or debt, or otherwise
have an ownership interest in any company, entity or person that directly
competes anywhere in the United States, the United Kingdom, Taiwan, or in
any other location outside the United States, the United Kingdom or Taiwan
where the Company or a Subsidiary conducts or (to the Grantee's knowledge)
plans to conduct business. Nothing in this Section 6(b) shall,
however, restrict the Grantee from making an investment in and owning up
to one-percent (1%) of the common stock of any company whose stock is
listed on a national securities exchange or actively traded in an
over-the-counter market; provided that such investment does not give the
Grantee the right or ability to control or influence the policy decisions
of any direct competitor of the Company or a
Subsidiary.
|
|
(c)
|
Noninterference.
During
the Grantee's employment and until one year after the Grantee ceases being
employed by or acting as a consultant or independent contractor to the
Company or any Subsidiary, the Grantee will not, either directly or
indirectly through another business or person, solicit, entice away, or
otherwise interfere with any employee, customer, prospective customer,
vendor, prospective vendor, supplier or other similar business relation or
(to the Grantee's knowledge) prospective business relation of the Company
or any Subsidiary.
|
|
(d)
|
Nonsolicitation.
During
the Grantee's employment and until one year after the Grantee ceases being
employed by or acting as a consultant or independent contractor to the
Company or any Subsidiary, the Grantee will not, either directly or
indirectly through another business or person, hire, recruit, employ, or
attempt to hire, recruit or employ, or facilitate any such acts by others,
any person then currently employed by the Company or any
Subsidiary.
|
|
(e)
|
Confidentiality.
The
Grantee acknowledges that it is the policy of the Company and its
subsidiaries to maintain as secret and confidential all valuable and
unique information and techniques acquired, developed or used by the
Company and its Subsidiaries relating to their businesses, operations,
employees and customers ("Confidential Information"). The
Grantee recognizes that the Confidential Information is the sole and
exclusive property of the Company and its subsidiaries, and that
disclosure of Confidential Information would cause damage to the Company
and its Subsidiaries. The Grantee shall not at any time
disclose or authorize anyone else to disclose any Confidential Information
or proprietary information that (A) is disclosed to or known by the
Grantee as a result or as a consequence of or through the Grantee's
performance of services for the Company or any Subsidiary, (B) is not
publicly or generally known outside the Company and (C) relates in any
manner to the Company's business. This obligation will continue
even though the Grantee's employment with the Company or a Subsidiary may
have terminated. This paragraph 6(e) shall apply in addition
to, and not in derogation of any other confidentiality agreements that may
exist, now or in the future, between the Grantee and the Company or any
Subsidiary.
|
|
(f)
|
No
Detrimental Communications.
The Grantee agrees not to
disclose or cause to be disclosed at any time any untrue, negative,
adverse or derogatory comments or information about the Company or any
Subsidiary, about any product or service provided by the Company or any
Subsidiary, or about prospects for the future of the Company or any
Subsidiary.
|
|
(g)
|
Remedy.
The
Grantee acknowledges the consideration provided herein (absent the
Grantee's agreement to this Section 6) is more than the Company is
obligated to pay, and the Grantee further acknowledges that irreparable
harm would result from any breach of this Section and monetary damages
would not provide adequate relief or remedy. Accordingly, the Grantee
specifically agrees that, if the Grantee breaches any of the Grantee's
obligations under this Section 6, the Company and any Subsidiary shall be
entitled to injunctive relief therefor, and in particular, without
limiting the generality of the foregoing, neither the Company nor any
Subsidiary shall be precluded from pursuing any and all remedies they may
have at law or in equity for breach of such obligations. In
addition, this Award Agreement and all of Grantee's right hereunder shall
terminate immediately the first date on which the Grantee engages in such
activity and the Board shall be entitled on or after the first date on
which the Grantee engages in such activity to require the Grantee to
return any Shares obtained by the Grantee's upon vesting of any RSUs to
the Company and to require the Grantee to repay any proceeds received at
any time from the sale of Shares obtained by the Grantee pursuant to the
vesting of any RSUs (plus interest on such amount from the date received
at a rate equal to the prime lending rate as announced from time to time
in
The Wall Street
Journal
) and to recover all reasonable attorneys' fees and expenses
incurred in terminating this Award Agreement and recovering such Shares
and proceeds.
|
Section 7.
|
Status of the
Grantee
|
Section 8.
|
No Effect on Capital
Structure
|
Section 9.
|
Adjustments
|
Section
10.
|
Amendments
|
Section
11.
|
Board
Authority
|
Section
12.
|
Withholding
|
Section
13.
|
Notice
|
Section
14.
|
Severability
|
Section
15.
|
Binding
Effect
|
Section
16.
|
Governing Law and
Jurisdiction
|
MEDIA
CONTACT:
Ted
Gartner
Phone
| +1 913/397-8200
E-Mail
| media.relations@garmin.com
|
INVESTOR
CONTACT:
Kerri
Thurston
Phone
| +1 913/397-8200
E-Mail
| investor.relations@garmin.com
|