THE BLACK & DECKER EXECUTIVE ANNUAL INCENTIVE PLAN
The purpose of The Black & Decker Corporation Executive Annual Incentive Plan is to make a part of the
annual compensation of the Corporation's officers dependent on the Corporation's performance and to provide
rewards for performance as a competitive incentive to their efforts on the Corporation's behalf, and thus to
enhance and reinforce the Corporation's ability to achieve its business goals. It is the intention of the Board of
Directors of the Corporation in adopting the Plan that amounts paid to Participants under the Plan be "qualified
performance-based compensation" within the meaning of Section 162(m) of the Code and the Section 162(m)
Whenever used for purposes of the Plan, the following terms have the meanings defined below, and when the
defined meaning is intended, the term is capitalized:
(a) "Award" means a grant to a Participant of incentive compensation under the Plan.
(b) "CEO" means the Chief Executive Officer of the Corporation.
(c) "Code" means the Internal Revenue Code of 1986, as amended from time to time.
(d) "Committee" means the Organization Committee of the Board of Directors of the Corporation, or any other
committee consisting solely of two or more "outside directors" (within the meaning of the Section 162(m)
Regulations) designated as such by the Board of Directors of the Corporation.
(e) "Corporation" means The Black & Decker Corporation.
(f) "Maximum Participant Award" means, with respect to a particular Participant, the maximum Award payable to
such Participant as determined in accordance with Section 6(c) under the Plan.
(g) "Participant" means an employee who is an officer of the Corporation who has been designated to participate
in the Plan.
(h) "Performance Period" means the fiscal year in respect of which an Award is to be paid under the Plan.
(i) "Plan" means The Black & Decker Executive Annual Incentive Plan, as amended from time to ti