Aqua America, Inc. 2006 Non-Employee Director Compensation Program
Aqua America, Inc. has set its 2006 compensation for non-employee directors. Directors receive an annual cash retainer, additional retainers for committee chairs, meeting fees for attending board and committee meetings, and an annual stock grant. Directors are also reimbursed for reasonable expenses related to meetings and may defer their fees, which will accrue interest. This arrangement outlines the pay structure and benefits for non-employee board members for the year 2006.
Exhibit 10.1
Non-Employee Director Compensation for 2006
At its regularly scheduled meeting on December 7, 2005, the Board of Directors of Aqua America, Inc., upon the recommendation of its Executive Compensation and Employee Benefits Committee, approved the following directors’ compensation for 2006 for the non-employee directors of Aqua America, Inc.: (1) an annual cash retainer of $15,000; (2) an annual cash retainer for the Chair of the Executive Compensation and Employee Benefits Committee and Corporate Governance Committee of $5,000; (3) an annual cash retainer for the Chair of the Audit Committee of $7,500; (4) a meeting fee of $1,500 for each meeting of the Board of Directors; (5) a meeting fee of $1,250 per meeting for meetings of the Audit Committee and a meeting fee of $1,000 per meeting for meetings of the other Committees; and (6) an annual stock grant to directors of 1,200 shares (on a post-split basis) payable on the first of the month following the Annual Meeting of Shareholders. All directors are reimbursed for reasonable expenses incurred in connection with attendance at Board or Committee meetings. Directors are eligible to defer part or all of their fees under the Company’s Director Deferral Plan. Amounts deferred accrue interest at the prime interest rate plus 1.0%.
