Exhibit 10(m)10 ALLETE 2007 Form 10-K ANNEX B TO ALLETE EXECUTIVE LONG TERM INCENTIVE COMPENSATION PLAN PERFORMANCE SHARE GRANT Effective 2008 [Eligible Executive Employees]

Contract Categories: Human Resources - Bonus & Incentive Agreements
EX-10.(M)10 5 exhibit_10m10.htm ALLETE EXECUTIVE LONG-TERM INCENTIVE COMPENSATION PLAN EFFECTIVE 2008 exhibit_10m10.htm
 
Exhibit 10(m)10
 
ALLETE 2007 Form 10-K
ANNEX B
TO
ALLETE
EXECUTIVE LONG TERM INCENTIVE COMPENSATION PLAN
PERFORMANCE SHARE GRANT
Effective 2008
[Eligible Executive Employees]


Financial Measure:

Total Shareholder Return (TSR) computed over the three-year period.

Performance Share Award:

If ALLETE’s TSR ranking is 3rd or higher among a peer group of 16 companies (superior performance), 200% of the Performance Share Grant will be earned.  If ALLETE’s TSR performance ranks 9th among the peer group (target performance), 100% of the Grant will be earned.  If ALLETE’s TSR performance ranks 12th (threshold performance), 50% of the Grant will be earned.  If TSR performance is below threshold, no Performance Shares will be earned.  Straight-line interpolation will be used to determine earned awards based on the TSR ranking between threshold, target and superior.


 
TSR Rank
Perf. Level
Payout %
       
 
1
  
200.0%
 
2
  
200.0%
 
3
Superior
200.0%
 
4
  
183.3%
 
5
  
166.7%
 
6
  
150.0%
 
7
  
133.3%
 
8
  
116.7%
 
9
Target
100.0%
 
10
  
83.3%
 
11
  
66.7%
 
12
Threshold
50.0%
 
13
  
0%
 
14
  
0%
 
15
  
0%
 
16
  
0%
 
17
  
0%