2005 Executive Cash Incentive Compensation Criteria Summary
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Summary
This document outlines the cash incentive compensation plan for certain executive officers for the 2005 fiscal year, as approved by the Compensation Committee of the Board of Directors. The plan sets target bonus amounts as a percentage of base salary, based on achieving specific revenue and net income goals. Actual payouts may range from 75% to 115% of the target, depending on performance, but no payment will be made if net income falls below a set threshold. The Board retains discretion to award additional bonuses based on other objectives.
EX-10.1 2 g96932exv10w1.htm EX-10.1 SUMMARY OF CASH INCENTIVE COMPENSATION CRITERIA EX-10.1 SUMMARY OF CASH INCENTIVE COMPENSATION
Exhibit 10.1
SUMMARY OF CASH INCENTIVE COMPENSATION CRITERIA
On March 29, 2005, the Compensation Committee of the Board of Directors approved total revenue and net income targets and calculation parameters for purposes of determining cash incentive compensation payments to be made to certain of its executive officers for the 2005 fiscal year. The previously determined target cash incentive amount payable to the registrants Chief Executive Officer is 52% of the officers base salary, and the target cash incentive amounts payable to the registrants other eligible senior executive officers range from 33% to 42.5% of the officers base salary. These amounts will be payable in full in the event the registrant achieves the revenue and net income targets set by the Compensation Committee. Performance above or below these targets (but above specified minimum performance levels) will result in greater or lesser incentive compensation ranging from 75% to 115% of the officers target cash incentive amount. The criteria approved by the Committee give equal weight to the registrants net income and revenue goals, provided that no cash incentive payment will be made under these criteria in the event the registrants net income for fiscal 2005 falls below a specified threshold amount. Notwithstanding the establishment of these criteria, the registrants Board of Directors retains the discretion to award other or additional incentive compensation to its senior officers based on the achievement of such financial or other objectives as it determines to be appropriate.