DESCRIPTION OFEXECUTIVE INCENTIVE PLAN AND SUMMARY FORMS OF NOTICE
Exhibit 10.5
DESCRIPTION OF EXECUTIVE INCENTIVE PLAN
AND SUMMARY FORMS OF NOTICE
Date:
To:
From:
Re: Executive Incentive Plan for FY
The Board of Directors has approved our Executive Incentive Plan for FY . Your annual target bonus under this plan is % of your annual base salary. The provisions of the plan are listed below:
Payout requires achievement of both plan revenue and operating profit for the Company.
We must also have a positive operating profit for payout.
This year we will divide the plan into both a quarterly and an annual plan (both based on the above criteria).
50% of your target incentive will be for the quarterly plan (i.e., 1/8 per quarter) and 50% of your target incentive will be for the annual plan.
Date:
To:
From:
Re: Your FY Compensation Plan
Attached is your compensation plan for FY . The Board of Directors recently approved this in the meeting. In addition, you are eligible to participate in the Corporate Executive Incentive plan with a target bonus of % of your annual base salary. The criteria for the corporate plan are as follows:
Measurement will be on an annual basis.
Payout requires achievement of both annual revenue and operating profit plan.
We must have a positive operating profit for payout.
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