Telik, Inc. 2005 Executive Officer Bonus Plan Terms
Telik, Inc. established a 2005 bonus plan for its executive officers, as approved by the Compensation Committee. The plan aims to attract, motivate, and retain executives by awarding bonuses based on both company and individual performance. Bonus amounts can range from 0% to 150% of an executive's base salary, depending on the achievement of specific corporate objectives and personal goals. The Committee will determine final payouts, considering company milestones, financial status, and operational changes. The Board or Committee may adjust performance criteria as needed during the year.
Exhibit 10.1
Terms of Employee Bonus Plan for 2005
On August 3, 2005, the Compensation Committee (the “Committee”) of the Telik, Inc. (the “Company”) Board of Directors established the terms of an employee bonus plan for 2005 related to the payment of bonuses to the Company’s executive officers for services to be performed in 2005. These bonuses are designed to attract, motivate, and retain the Company’s executive officers and are based on the Company’s performance and the performance of individual executive officer as determined by the Company’s Board of Directors or the Committee.
The plan provides for the payment to each executive officer of a bonus ranging from 0% to 150% of such executive officer’s base salary. The amount of the bonus, if any, will be determined by the Committee based on the Committee’s assessment of the achievement of specified corporate objectives in 2005, including the completion of milestones relating to the progress of the Company’s clinical trials, planning and commercialization initiatives, corporate financial objectives, and clinical research and development programs, as well as the achievement of individual performance goals.
The actual bonuses payable for 2005, if any, will vary depending upon the extent to which actual performance meets, exceeds, or falls short of the corporate objectives and any individual goals, and upon the level of the Company’s then current or anticipated cash reserves.
The Company’s Board of Directors or the Committee reserve the right to modify the corporate or individual performance criteria based on business, financial and operational changes that may occur during the year.
