Compensation Agreement between Appliances & Electronics and John S. Hickey (September 7, 2004)
This agreement outlines the compensation terms for John S. Hickey as Vice President of Commercial Business Development at Appliances & Electronics. It specifies his annual salary over three years, eligibility for annual bonuses, commission structure, long-term incentive payments, stock options, and participation in company benefit plans. The agreement also details conditions for incentive payouts based on employment duration and termination, and includes additional benefits such as a car allowance and company phone. Both parties signed the agreement on September 7, 2004.
Exhibit 10.3
APPLIANCES & ELECTRONICS
Compensation Agreement
Employee Name: John Hickey
Position: Vice President - Commercial Business Development
Promotion: —
Effective Date:
Wages
Salary:
| — | 2004-2005 Year 1: $125,000 annual — $4,807.69 per two-week pay period |
| — | 2006 Year 2: $135,000 annual — $5,192.30 per two-week pay period |
| — | 2007 Year 3: $145,000 annual — $5,576.92 per two-week pay period |
Bonus:
| — | 2004 Year-End: $100,000 |
| — | thereafter - $100,000 potential based on targets payable end of Fiscal year ($50,000 guaranteed for 2005) |
Commission:
| — | 50% of profit on HH Gregg Distribution & Sales not to HH Gregg—split 3 ways; (J. Hickey to receive 1/3) |
Long-Term Compensation:
| — | Stay on incentive of $375,000 payable at end of 5 years employment |
| — | Stock options same as other management level plans |
[Involuntary termination of employment prior to 5 years will result in early payout of Stay On Incentive; Voluntary termination will result in forfeiture]
Incentive Benefits:
| — | Participation in Non-Qualified Pension |
| — | 401(k) |
| — | 3 weeks vacation beginning 2005 |
Other
Company provided cellular phone/plan
Car Allowance of $500 per month
As agreed this 10th day of September, 2004:
| /s/ John S. Hickey | /s/ Jerry W. Throgmartin | |||
| Signature | Signature | |||
| John S. Hickey | Jerry W. Throgmartin | |||
| Printed Name | Printed Name | |||
| September 7, 2004 | September 7, 2004 | |||
| Date | Date | |||
