Amendment to Letter Agreement Regarding Acquisition Look Back for Employment Agreement (APL – Spectrum Acquisition)
This amendment to a letter agreement outlines the calculation method for determining incentive compensation related to the APL – Spectrum Acquisition. It specifies how the annualized distribution yield, distributed cash flow, and closing price of APL common units are used to calculate the imputed value and resulting incentive amount. The agreement details the formula for issuing incentive units based on these financial metrics, ensuring clarity on how compensation is determined for the relevant employment agreement.
Exhibit 10.16(b)
Exhibit A
APL – Spectrum Acquisition
Acquisition Look Back Example For Employment Agreement
| Most recent quarterly distribution | 0.63 | |||
| Multiplied by four | 4 | |||
| Annualized distribution | $ | 2.52 | ||
| Closing price of APL common unit on 12/31/2008 | $ | 38.00 | ||
| Yield (distribution/Closing price) | 7.20 | % | ||
| Distributed Cash Flow generated by acquisition during the 12 months ended 12/31/2008 | $ | 10,000,000 | ||
| Imputed Value (Dist Cash Flow / Yield) | $ | 138,888,889 | ||
| Incentive % | 1.50 | % | ||
| Incentive amount (Imputed value * Incentive %) | $ | 2,083,333 | ||
| # of units issued (Incentive amount / unit price) | 59,524 | |||
