FREEPORT-MCMORAN COPPER & GOLD INC.
PERFORMANCE INCENTIVE AWARDS PROGRAM
1. Purpose. The purpose of the Performance Incentive Awards Program (the "Plan") of Freeport-McMoRan
Copper & Gold Inc. (the "Company") is to provide greater incentives for certain key management, professional
and technical employees whose performance in fulfilling the responsibilities of their positions can significantly
affect the performance of the Company or its operating units. The Plan provides an opportunity to earn additional
compensation in the form of cash incentive payments based on the employee's individual performance and on the
results achieved by the Company and by the operating or staff unit for which the employee performs services.
2. Administration. The Plan shall be administered by the Chairman of the Board of the Company who shall have
full authority to interpret the Plan and from time to time adopt rules and regulations for carrying out the Plan,
subject to such directions as the Corporate Personnel Committee (the "Committee") of the Company's Board of
Directors may give, either as guidelines or in particular cases. In connection with his administration of the Plan, the
Chairman of the Board may seek the views and recommendations of the Company's Operating Committee.
3. Eligibility for Participation. Each year the Chairman of the Board shall select the key managerial, professional
or technical employees of the Company or of any of its subsidiaries who shall be eligible for participation in the
Plan during that year. The Chairman of the Board may in his discretion make such selection, in whole or in part,
on the basis of minimum salary levels, or position-point levels.
The selection of an employee for eligibility in a particular year shall not constitute entitlement either to an incentive
payment under the Plan for that year or to selection for eligibility in any subsequent year. Selection of employees
for eligibility in a particular year will ordinarily be made in January of that ye