Title
Exhibit 10.1
Fiscal 2012 Executive Incentive Plan. On July 26, 2012, the Compensation Committee of the Board of Directors of the Company (the “Committee”) and the Board of Directors of the Company approved an executive incentive plan for the Company’s fiscal year ending March 31, 2013 (“fiscal 2012”). Participants in the plan include the Company’s chief executive officer and all other executive officers. Pursuant to the plan, the Committee designated for each executive officer a target cash incentive amount, expressed as a percentage of the officer’s base salary. The Committee is responsible for determining the payout under the plan to each executive officer except the chief executive officer. The Board of Directors of the Company determines the payout under the plan for the chief executive officer, taking into account the recommendation of the Committee.
The amount of the incentive award actually paid to each executive officer may be less than or greater than the executive’s target cash incentive, with the amount capped at 156% of the target incentive. For each executive officer, individual incentive awards will be determined following the end of fiscal 2012 based on the following factors and their corresponding weightings:
| • | the Company’s net loss before amortization of acquisition-related intangibles, restructuring and impairments, stock-based compensation expense, change in fair value of derivative liability and warrants, non-cash interest expense, other unusual charges and any tax effects related to these items for fiscal 2012 as compared to the established target – 40% |
| • | the executive’s achievement of individual, measurable objectives during fiscal 2012 as determined by the Committee for all executives with the exception of the chief executive officer, who is evaluated by the Board of Directors – 40% |
| • | the executive’s overall contribution during fiscal 2012 towards the achievement of the Company’s financial and non-financial objectives (subjective performance measure) – 20% |
The following table sets forth each executive officer’s target cash incentive for fiscal 2012:
| Executive Officer | Title | Target Incentive as % of Base Salary | Target Incentive | |||||||
| Daniel P. McGahn | President and Chief Executive Officer | 100 | % | $ | 500,000 | |||||
| David A. Henry | Senior Vice President, Chief Financial Officer and Treasurer | 50 | % | $ | 156,000 | |||||
| Timothy D. Poor | Executive Vice President, Windtec Solutions | 75 | % | $ | 228,750 | |||||
| James F. Maguire | Executive Vice President, Gridtec Solutions | 75 | % | $ | 221,250 | |||||
| Susan J. DiCecco | Senior Vice President, Corporate Administration | 50 | % | $ | 125,000 | |||||
