FY06 Compensation Plan Agreement for David Laverty, Senior Vice President, Global Marketing, Cognos
This agreement outlines the compensation plan for David Laverty, Senior Vice President of Global Marketing at Cognos, for the fiscal year from March 1, 2005, to February 28, 2006. It specifies an annual base salary of $270,000 and a target bonus of $165,000, with total target income of $435,000. The actual bonus depends on company performance metrics and requires Mr. Laverty to be employed on February 28, 2006. Bonus payouts are determined by an executive incentive grid based on operating margin and revenue results.
Exhibit 10.37
David Laverty
Senior Vice President, Global Marketing
FY06 Compensation Plan
Effective Date: March 1, 2005 to February 28, 2006
Compensation Elements (All In US $)
| Annual Base Salary | $270,000 | ||||
| Base Target Bonus @ 100% | $165,000 | ||||
| Annual Total Target Income @ 100% | $435,000 |
General Terms
This package contains the details of your compensation plan for FY06. All compensation amounts are in US dollars.
| 1) | Your actual FY06 bonus will be determined by multiplying your Base Target Bonus amount noted above by the final FY06 approved corporate factor as determined by the Share in Success (SIS) company performance results. A copy of the FY06 approved SIS executive grid is attached. |
| 2) | To be eligible to receive an FY06 bonus you must remain employed by the company on February 28, 2006. |
FY06 Executive Incentive Grid (Share in Success Plan)
The grid is designed to reward achievement of plan on both metrics (Operating Margin and Revenue), and to discourage the achievement of one metric at the expense of the other. If threshold performance is not achieved on either metric, the payout is nil. There is a cap of 400% on the overall level of payout.
PAYOUT AS PERCENTAGE OF BASE TARGET BONUSEXECUTIVE INCENTIVE GRID (DESCRIBED ABOVE) INTENTIONALLY DELETED
81
