Executive Incentive Plan Description and Summary for Senior Executives
This agreement outlines the Executive Incentive Plan (EIP) effective September 24, 2005, for senior executives such as VPs, SVPs, CEOs, and COOs. The plan details how bonuses are calculated as a percentage of base salary, based on achieving specific corporate and individual goals. Corporate results are measured by revenue and operating profit, with no bonus paid on revenue unless profit targets are met. Individual goals are set and assessed by senior management. Bonuses are paid at 100% of the target if all goals are met or exceeded.
Executive Incentive Plan Description and Summary Forms of Notice
Executive Incentive Plan (EIP)
Effective September 24, 2005
[ INSERT NAME ]
| | ||
| Total Bonus Opportunity | VP/SVP (Non-Variable) | |
| | ||
| Base Salary: | USD | |
| EIP Bonus | USD __% - __% of Base Salary | |
| On Target Earnings (OTE): | USD | |
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| Plan Components | ||
| | ||
| I. | Corporate Goals Measurement | |
| __% - __% of Base Salary | ||
| > __% - __% based on annual corporate results | ||
| > __% based on quarterly corporate results | ||
| Corporate Results measured 30/70 on Revenue / Operating Profit | ||
| No payment on revenue component if operating profit not met | ||
| If both targets are met or exceeded bonus is paid at 100% of target | ||
| II. | Individual Goals Measurement | |
| __% of Base Salary | ||
| Individual goals are approved by the senior executive management team at the outset of the measurement period. | ||
| Degree of achievement against individual goals will be assessed and approved by the senior executive management team prior to payment. | ||
Executive Incentive Plan (EIP)
Effective September 24, 2005
[ INSERT NAME ]
| | ||
| Total Bonus Opportunity | VP/SVP (Variable) | |
| | ||
| Base Salary: | USD | |
| EIP Bonus | USD __% of Base Salary | |
| On Target Earnings (OTE): | USD | |
| | ||
| Plan Components | ||
| | ||
| Corporate Goals Measurement | |
| __% of Base Salary | |
| > Total bonus based on annual corporate results | |
| Corporate Results measured 30/70 on Revenue / Operating Profit | |
| No payment on revenue component if operating profit not met | |
| If both targets are met or exceeded, bonus is paid at 100% of target | |
Executive Incentive Plan (EIP)
Effective September 24, 2005
[ INSERT NAME ]
| | ||
| Total Bonus Opportunity | CEO/COO (Non-Variable) | |
| | ||
| Base Salary: | USD | |
| EIP Bonus | USD __% of Base Salary | |
| On Target Earnings (OTE): | USD | |
| | ||
| Plan Components | ||
| | ||
| Corporate Goals Measurement | |
| __% of Base Salary | |
| > __% bonus based on annual corporate results | |
| > __% bonus based on quarterly corporate results | |
| Corporate Results measured 30/70 on Revenue / Operating Profit | |
| No payment on revenue component if operating profit not met | |
| If both targets are met or exceeded, bonus is paid at 100% of target | |
