Fiscal Year 2013 Executive Bonus Plan Description for Wang, Laplante, Kohn, Legall, and Day
This agreement outlines the Fiscal Year 2013 Annual Bonus Plan for executives Wang, Laplante, Kohn, Legall, and Day. The plan sets target bonuses at 50% of base salary for Dr. Wang and 30% for the other named executives. Bonus payouts depend on company performance in revenue and profitability, as well as individual management objectives, with specific weightings for each metric. The Compensation Committee determines final payouts, which can be up to twice the target amount, and all payments will be made within two and a half months after the fiscal year ends.
Exhibit 10.7
Description of Executive Bonus Plan
Fiscal Year 2013 Annual Bonus Plan
The Board of Directors approved a Fiscal Year 2013 Annual Bonus Plan covering Messrs. Wang, Laplante, Kohn, Legall and Day. The target bonus for Dr. Wang is 50% of his annual base salary. The target bonus for Messrs. Laplante, Kohn, Legall and Day is 30% of their respective annual base salaries. Payouts, if any, are to be determined by the Compensation Committee of the Board of Directors under the terms of the plan. In making its determination, the Compensation Committee will consider the Company’s performance against revenue and profitability metrics established by the Board of Directors. The Compensation Committee will also consider each executive’s performance against management objectives. The performance weighting is 60% for the revenue metric, 30% for the profitability metric and 10% for the management objective metrics. On target performance is intended to result in a payout at target levels. Above target performance is intended to result in payment above target levels, with a maximum payout equal to twice the annual targeted payout. Any annual bonus plan payouts will be made no later than 2 and one-half months following the end of the Company’s 2013 fiscal year.
