EXHIBIT 4.7
SERVICEMASTER [year date] SHARE OPTION
TERM SHEET
[date of grant]
TO: [name]
The ServiceMaster Company ("ServiceMaster") is pleased to grant you an option
under the ServiceMaster [year date] Equity Incentive Plan on the following
terms:
Option Type
Number of Shares Originally Subject
to the Option
Exercise Price (the price at which you are
entitled to purchase shares under the Option)
Exercise Vesting Schedule
Grant Date: [date]
Expiration Date: [date]
The following documents are attached (which together with this Term Sheet
comprise your "Option Package"):
1. Option Agreement
2. ServiceMaster [year date] Equity Incentive Plan
3. Description of Certain Federal Income Tax Considerations
4. Form for Exercising Your Option
You should have a copy of ServiceMaster's [year date] Annual Report to
Shareholders, but if you do not, we will send one to you. While you hold your
option, ServiceMaster will furnish you with copies of all communications to its
shareholders as such communications are issued.
Please read the attached materials carefully. If you decide to accept your
option, please sign your name in the place provided at the bottom of the reverse
side of this Term Sheet. This will acknowledge your receipt of your Option
Package and will signify your agreement to the terms of the Option Agreement.
1
<PAGE>
Send one signed copy of this Term Sheet to: [name], The ServiceMaster Company,
One ServiceMaster Way, Downers Grove, Illinois 60515 (telephone 630-271-2501).
The second copy of the Term Sheet and the other documents in your Option Package
are for your records.
If you do not return the signed Term Sheet by [date], ServiceMaster reserves the
right to revoke the grant of your option. If the grant is revoked, the option
will cease to exist and cannot be exercised.
ServiceMaster regularly files with the Securities and Exchange Commission a 10-Q
report within 45 days after the end of each of the first three months of the
calendar quarters, an Annual Report on Form 10-K within 90 days after the end of
each year and proxy statements as required in advance of meetings of
shareholders. ServiceMaster may make other filings with the Commission from time
to time. These filings contain financial statements and other information about
ServiceMaster. ServiceMaster will be glad to provide you with copies of any of
these materials which you request. Please direct requests to [name] at the
address or phone number given above. We will also be glad to answer any other
questions you may have about the ServiceMaster [year date] Equity Incentive Plan
and its administration.
This Term Sheet and each of the other components of your Option Package
constitute part of a prospectus covering securities that will be under the
Securities Act of 1933. The ServiceMaster [year date] Equity Incentive Plan is
not subject to any of the provisions of the Employee Retirement Income Act of
1974. The ServiceMaster shares obtainable by exercise of your option may be
shares repurchased by ServiceMaster in the public market or originally issued
shares. In either event, ServiceMaster will receive the Exercise Price payable
for the shares you purchase upon your exercise of your option.
THE SERVICEMASTER COMPANY
By: _________________________________
Vice President and Corporate Secretary
2
<PAGE>
I ACKNOWLEDGE THAT I HAVE RECEIVED AND READ THE MATERIALS COMPRISING THE OPTION
PACKAGE AND THE SERVICEMASTER ANNUAL REPORT IDENTIFIED IN THIS TERM SHEET. I
ACCEPT THE OPTION DESCRIBED IN THIS TERM SHEET AND IN THE ACCOMPANYING OPTION
PLAN AND OPTION AGREEMENT. I CONFIRM THAT I AM ACQUIRING THE OPTION FOR
INVESTMENT.
PLEASE SIGN HERE: _________________________ SS#: ______________
3
