2008 Incentive Compensation Program Goals and Awards for Executive Officers
This document outlines the 2008 incentive compensation plan for several executive officers, including the President/CEO, CFO, COO, SVP of Sales and Marketing, and CTO. It details each officer’s base salary, potential bonus amounts, and the specific performance goals and weightings used to determine bonus eligibility. Goals include financial targets, product development milestones, customer and employee satisfaction, and other operational objectives. Bonuses are awarded based on achievement of these goals during the first and second halves of the year.
Exhibit 10.25
2008 Incentive Compensation Program
Amir Bassan-Eskenazi, President and Chief Executive Officer
| Base Salary (annual): | $ | 325,000 | |
| Bonus Potential | |||
| First Half: | 97,500 | ||
| Second Half: | 97,500 | ||
| Annual: | 130,000 | ||
| Total: | $ | 325,000 |
| 2008 Officer Bonus Goal | First Half % Goal Weighting | Second Half % Goal Weighting | Annual % Goal Weighting | ||||||
| 1) Achieve revenues goal | 40 | % | 40 | % | 40 | % | |||
| 2) Achieve earnings goal | 25 | % | 25 | % | 25 | % | |||
| 3) Achieve product release schedule goal | 5 | % | 5 | % | 5 | % | |||
| 4) Achieve specified product plan goal | 5 | % | 5 | % | 5 | % | |||
| 5) Achieve specified new product sales goal | 5 | % | 5 | % | 5 | % | |||
| 6) Achieve specified customer satisfaction goal | 10 | % | 10 | % | 10 | % | |||
| 7) Achieve employee satisfaction and retention goal | 10 | % | 10 | % | 10 | % | |||
| Total | 100 | % | 100 | % | 100 | % |
2008 Incentive Compensation Program
Maurice Castonguay, Senior Vice President and Chief Financial Officer
| Base Salary (annual): | $ | 280,000 | |
| Bonus Potential | |||
| First Half: | 21,000 | ||
| Second Half: | 42,000 | ||
| Annual: | 56,000 | ||
| Total: | $ | 119,000 |
| 2008 Officer Bonus Goal | First Half % Goal Weighting | Second Half % Goal Weighting | Annual % Goal Weighting | ||||||
| 1) Achieve earnings goal | 20 | % | 20 | % | 20 | % | |||
| 2) Achieve cash and investments goal | 7 | % | 7 | % | 7 | % | |||
| 3) Achieve expense hedging goal | 7 | % | 7 | % | 7 | % | |||
| 4) Achieve investor relations, financial analyst relations, and operating results goals | 21 | % | 21 | % | 21 | % | |||
| 5) Achieve financial controls goal | 25 | % | 25 | % | 25 | % | |||
| 6) Achieve corporate governance goal | 5 | % | 5 | % | 5 | % | |||
| 7) Achieve internal communication goal | 5 | % | 5 | % | 5 | % | |||
| 8) Achieve employee satisfaction and retention goal | 10 | % | 10 | % | 10 | % | |||
| Total | 100 | % | 100 | % | 100 | % |
2008 Incentive Compensation Program
David Heard, Chief Operating Officer
| Base Salary (annual): | $ | 325,000 | |||
| Bonus Potential: | |||||
| First Half: | 68,250 | ||||
| Second Half: | 68,250 | ||||
| Annual: | 91,000 | ||||
| Total: | $ | 227,500 |
| 2008 Officer Bonus Goal | First Half % Goal Weighting | Second Half % Goal Weighting | Annual % Goal Weighting | ||||||
| 1) Achieve specified bookings goal | 7 | % | 7 | % | 7 | % | |||
| 2) Achieve specified margins goal | 7 | % | 7 | % | 7 | % | |||
| 3) Achieve cost reduction and operating cost of goods goal | 7 | % | 7 | % | 7 | % | |||
| 4) Achieve product footprint goal | 7 | % | 7 | % | 7 | % | |||
| 5) Achieve SDV market share goal | 7 | % | 7 | % | 7 | % | |||
| 6) Achieve product delivery goal | 5 | % | 5 | % | 5 | % | |||
| 7) Achieve product support goal | 5 | % | 5 | % | 5 | % | |||
| 8) Achieve development process goal | 5 | % | 5 | % | 5 | % | |||
| 9) Maintain low product returns | 5 | % | 5 | % | 5 | % | |||
| 10) Maintain TL9000 certification | 5 | % | 5 | % | 5 | % | |||
| 11) Achieve product release schedule goal | 5 | % | 5 | % | 5 | % | |||
| 12) Achieve specified product plan goal | 5 | % | 5 | % | 5 | % | |||
| 13) Achieve new product sales goal | 5 | % | 5 | % | 5 | % | |||
| 14) Achieve customer satisfaction goal | 10 | % | 10 | % | 10 | % | |||
| 15) Achieve customer response time goal | 5 | % | 5 | % | 5 | % | |||
| 16) Achieve employee satisfaction and retention goal | 10 | % | 10 | % | 10 | % | |||
| Total | 100 | % | 100 | % | 100 | % |
2008 Incentive Compensation Program
Jeffrey Lindholm, Senior Vice President of Sales and Marketing
| Base Salary (annual): | $ | 250,000 | |
| Bonus Potential: | |||
| First Half: | 63,000 | ||
| Second Half: | 63,000 | ||
| Annual: | 84,000 | ||
| Total: | $ | 210,000 |
| 2008 Officer Bonus Goal | First Half % Goal Weighting | Second Half % Goal Weighting | Annual % Goal Weighting | ||||||
| 1) Achieve sales contracting goal | 25 | % | 25 | % | 25 | % | |||
| 2) Achieve specified product goal | 20 | % | 20 | % | 20 | % | |||
| 3) Achieve partnership and distribution goal with respect to new product | 10 | % | 10 | % | 10 | % | |||
| 4) Achieve specified marketing goal with respect to new product | 10 | % | 10 | % | 10 | % | |||
| 5) Achieve direct marketing roll-out goal | 25 | % | 25 | % | 25 | % | |||
| 6) Achieve employee satisfaction and retention goal | 10 | % | 10 | % | 10 | % | |||
| Total | 100 | % | 100 | % | 100 | % |
2008 Incentive Compensation Program
Ran Oz, Executive Vice President and Chief Technology Officer
| Base Salary (annual): | $ | 225,000 | |
| Bonus Potential: | |||
| First Half: | 33,750 | ||
| Second Half: | 33,750 | ||
| Annual: | 45,000 | ||
| Total: | $ | 112,500 |
| 2008 Officer Bonus Goal | First Half % Goal Weighting | Second Half % Goal Weighting | Annual % Goal Weighting | ||||||
| 1) Achieve specified product demonstration and trials goal | 25 | % | 25 | % | 25 | % | |||
| 2) Achieve specified SDV development goal | 25 | % | 25 | % | 25 | % | |||
| 3) Achieve specified product demonstration and development goal | 15 | % | 15 | % | 15 | % | |||
| 4) Achieve QAM development strategy goal | 15 | % | 15 | % | 15 | % | |||
| 5) Achieve specified on-demand product strategy goal | 13 | % | 13 | % | 13 | % | |||
| 6) Achieve customer relations and positioning goal | 7 | % | 7 | % | 7 | % | |||
| Total | 100 | % | 100 | % | 100 | % |
