Cash Incentive Bonus Plan
global blood therapeutics, INC.
CASH INCENTIVE BONUS PLAN
This Cash Incentive Bonus Plan (the “Plan”) is intended to provide an annual incentive for superior work and to help motivate eligible employees of Global Blood Therapeutics, Inc. (the “Company”) and its subsidiaries toward even higher achievement and business results, to further tie their goals and interests to those of the Company and its stockholders and to help enable the Company to attract and retain highly qualified employees.
Except as provided in the remainder of this paragraph, each full-time and part-time employee of the Company who is employed for more than 30 hours a week and employed on the last day of the applicable Plan Year (except as specifically provided in Section 7) whose employment start date is before October 1st of the applicable Plan Year may participate in the Plan (each, a “Participant”). Temporary employees are not eligible to participate in the Plan, and sales employees who are eligible to participate in sales incentive compensation plans of the Company are not eligible to participate in the Plan.
The “Plan Year” is the calendar year.
|4.||Target Bonus Percentages|
“Target Bonus Percentage” levels are the percentages of base salary that are generally expected to apply for bonuses under the Plan for any Plan Year at the position levels below. Target Bonus Percentage levels may vary from Plan Year to Plan Year and between positions. However, as a general guideline, the Target Bonus Percentage levels, which will typically be assigned to various categories of employees (and vary depending on responsibility level within each category), are as follows:
|Position Level||Bonus Target|| |
|CEO||70%||100 / 0|
|EVP/C-Suite||50%||80 / 20|
|SVP (Section 16 or SMT) – NEW LEVEL||45%||80 / 20|
|SVP||40%||60 / 40|
|VP||35%||60 / 40|
|Executive Director – NEW LEVEL||32%||50 / 50|
|Senior Director / Sr. Principal Scientist||28%||50 / 50|
|Director / Principal Scientist||23%||40 / 60|
|Associate Director / Staff Scientist||20%||25 / 75|
|Sr. Manager / Sr. Scientist||18%||25 / 75|
|Manager / Scientist 2||15%||25 / 75|
|Associate Scientist / Scientist 1||12%||25 / 75|
|Analyst / Executive Assistant / Sr. Research Associate / Patient Navigator||12%||25 / 75|
|Sr. Administrative Assistant / Research Associate / Coordinator||10%||25 / 75|
|Support||10%||25 / 75|
If a Participant moves to a higher Target Bonus Percentage level during the Plan Year, that Participant’s Target Bonus Percentage will be reset at the higher level for the entire Plan Year. If a Participant moves to a lower Target Bonus Percentage level during the Plan Year, that Participant’s Target Bonus Percentage will be reset at the lower level for the entire Plan Year. Target Bonus Percentage levels may be determined by the Compensation Committee of the Board of Directors of the Company (the “Compensation Committee”), in its sole discretion.
The Plan will be administered by the Compensation Committee, in its sole discretion, or, to the extent delegated by the Compensation Committee, a committee consisting of the Company’s Chief Executive Officer and at least one other executive officer of the Company for Participants except (i) those at or above the level of Vice President who report directly to the Company’s Chief Executive Officer or (ii) any “officers” as defined in Section 16 of the Securities Exchange Act of 1934, as amended, and Rule 16a-1 promulgated thereunder.
(a) Corporate Performance Goals. A Participant may receive a bonus payment under the Plan based upon the attainment of one or more performance objectives that are established by the Compensation Committee and relate to financial and operational metrics with respect to the Company or any of its subsidiaries (the “Corporate Performance Goals”).
(b) Calculation of Corporate Performance Goals. Corporate Performance Goals will be calculated in accordance with the Company’s financial statements, generally accepted accounting principles, or under a methodology established by the Compensation Committee at the beginning of the Plan Year and that is consistently applied with respect to a Corporate Performance Goal in the relevant Plan Year.
(c) Target; Minimum; Maximum. Each Corporate Performance Goal shall have a “target” (100% attainment of the Corporate Performance Goal) and may also have a “minimum” hurdle and/or a “maximum” amount.
(d) Bonus Requirements. Except as otherwise set forth in this Section 6(d): (i) any bonuses paid to Participants under the Plan shall be based upon (A) objectively determinable bonus formulas that tie such bonuses to one or more performance targets relating to the Corporate Performance Goals and/or (B) the Participant’s contribution to the Company’s success and his/her success in achieving his/her individual objectives for the Plan Year, (ii) bonus formulas for Participants shall be adopted for each Plan Year by the Compensation Committee (or its delegate, as applicable) and communicated to each Participant at the beginning of each Plan Year and (iii) no bonuses shall be paid to Participants unless and until the Compensation Committee (or its delegate, as applicable) makes a determination with respect to the attainment of the performance targets relating to the Corporate Performance Goals and/or individual objectives. Notwithstanding the foregoing, the Compensation Committee may adjust bonuses payable under the Plan in its sole discretion.
(e) Individual Target Bonuses. The Compensation Committee (or its delegate, as applicable) shall establish a target bonus opportunity for each Participant for each Plan Year. For each Participant, the Compensation Committee (or its delegate, as applicable) shall have the authority to apportion the target award so that a portion of the target award shall be tied to attainment of Corporate Performance Goals and a portion of the target award shall be tied to attainment of individual performance objectives, in accordance with Section 4 above.
|7.||Termination of Employment; Death; Disability|
No bonus will be paid to any employee whose employment is terminated prior to the date the bonus is actually paid by the Company, except if such termination is due to death or disability (as determined by Compensation Committee (or its delegate, as applicable)), unless otherwise specifically agreed by the Compensation Committee (or its delegate, as applicable).
If the Participant’s employment with the Company terminates by reason of the Participant’s disability or death during the Plan Year, the Participant or the Participant’s legal representative, as applicable, will be paid a bonus in cash (if and to the extent earned) based upon actual base salary of the Participant from the beginning of the Plan Year through the date of disability, or death, as applicable. Any such bonus will be paid at the same time at which all other Participants receive their bonuses for the Plan Year, but in no event later than 2 ½ months following the end of the Plan Year in which the death or disability, as applicable, occurs.
|8.||Payment of Awards|
Awards for any Plan Year will be paid in cash to a Participant or the Participant’s legal representative, as applicable, no later than 2 ½ months following the end of applicable Plan Year. Benefits under the Plan are not transferable, and the Plan is unfunded.
|9.||Withholding of Taxes|
Bonuses will be subject to income and employment tax withholding as required by applicable law.
|10.||Plan Amendments and Termination.|
The Plan may be revised, modified, or terminated at any time in the sole discretion of the Compensation Committee or the Board.
Adopted: January 6, 2016
Amended and restated: January 7, 2020