Exhibit 10(k)
FORM OF
AMENDMENT TO SEVERANCE AGREEMENTS
BETWEEN BALTIMORE GAS AND ELECTRIC COMPANY
AND EIGHT KEY EMPLOYEES
AMENDMENT authorized by the Board of Directors of Baltimore Gas and
Electric Company (the "Board"), to the Severance Agreement made the [ ] day of [
], by and between Baltimore Gas and Electric Company (the "Company") and
[EMPLOYEE NAME]("Agreement").
W I T N E S S E T H:
WHEREAS, Section 8 of the Agreement gives the Board the authority to
make certain amendments to the Agreement.
WHEREAS, the Agreement is being amended to modify the benefits provided
thereunder.
NOW, THEREFORE, the Agreement is amended effective January 15, 1999 by
the Board as authorized at its January 15, 1999 meeting as follows:
1. Section 2(a) is deleted and replaced with the following:
"(a) Severance Payment. The Company shall pay to the Executive
an amount equal to two times the Executive's annual base salary (as in
effect on the date of the Qualifying Termination, not reduced by any
reduction described in Section 1.6(b) above) and Annual Award Amount.
The payment shall be made in twenty-four equal monthly installments
beginning on the first day of the month following the Qualifying
Termination."
2. Section 2(b) is deleted and replaced with the following:
"(b) Supplemental Retirement Benefits. For purposes of
determining the Executive's supplemental retirement benefits which the
Executive is entitled to under the Company's Executive Benefits Plan
(or the supplemental retirement plan maintained by a successor
company), (i) the Executive's age shall be deemed equal to the greater
of (A) age 55 or (B) the Executive's actual age, (ii) the Executive's
service shall be deemed equal to the greater of (A) 10 or (B) the
Executive's actual service plus 3, and (iii) any minimum service
eligibility requirements for such benefits shall be waived."
3. Section 2(c) is renamed Section 2(d).
4. New Section 2(c) is added as follows:
"(d) Severance Health Benefits. The Company shall provide to
the Executive and the Executive's family medical and dental benefits on
the same basis and on the same terms as any retiree who has attained
the deemed age and service used to compute supplemental retirement
benefits in Section 2(b) above."
5. Section 3(b) is deleted and replaced with the following:
"(b) Supplemental Retirement Benefits. For purposes of
determining the Executive's supplemental retirement benefits which the
Executive is entitled to under the Company's Executive Benefits Plan
(or the supplemental retirement plan maintained by a successor
company), (i) the Executive's service shall be deemed equal to the
greater of (A) 10 or (B) the Executive's actual service, and (ii) the
Early Retirement Adjustment Factor (as such term is defined in the
Company's Pension Plan or within the meaning of the tax qualified
retirement plan maintained by a successor company) will be one (1)."
Amendment Acknowledged:
Baltimore Gas and Electric Company
By: _____________________________
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[EMPLOYEE NAME]
