Summary of Fiscal Year 2006 Award Opportunities Under the Alberto-Culver Company Management Incentive Plan for Executive Officers

Contract Categories: Human Resources › Bonus & Incentive Agreements
Summary

This document outlines the performance criteria for annual bonuses awarded to certain executive officers of Alberto-Culver Company for fiscal year 2006 under the Management Incentive Plan. The Compensation and Leadership Development Committee set specific financial targets, primarily based on sales and operating earnings, with different weightings for each executive. The plan defines operating earnings as pre-tax earnings before non-recurring and unusual items. The agreement details how each executive's bonus is calculated based on these criteria.

Read More Arrow
EX-10.(B) 2 dex10b.htm SUMMARY OF FISCAL YEAR 2006 AWARD OPPORTUNITIES Summary of fiscal year 2006 award opportunities

Exhibit 10(b)

 

Summary of Fiscal Year 2006 Award Opportunities Under The

Alberto-Culver Company Management Incentive Plan, As Amended,

For Certain Executive Officers

 

Pursuant to Alberto-Culver Company’s (the “Company”) Management Incentive Plan (the “MIP”), on September 20, 2005, the Compensation and Leadership Development Committee of the Board of Directors of the Company (the “CLD Committee”) established financial performance criteria for fiscal year 2006 for Carol L. Bernick, Chairman and a Director; Howard B. Bernick, President and Chief Executive Officer and a Director; William J. Cernugel, Senior Vice President and Chief Financial Officer; Michael H. Renzulli, Chairman of Sally Beauty Company; and V. James Marino, President of Alberto-Culver Consumer Products Worldwide. Under the MIP, the CLD Committee may base a participant’s annual bonus upon one or more financial criteria set forth in the MIP, allocating the percentage weight that each such criterion has on the annual bonus. For the officers listed above, the financial criteria and percentage allocation were established by the CLD Committee as follows:

 

  •   Mrs. Bernick’s award opportunity is weighted 50% on sales and 50% on operating earnings of the Company;

 

  •   Mr. Bernick’s award opportunity is weighted 50% on sales and 50% on operating earnings of the Company;

 

  •   Mr. Cernugel’s award opportunity is weighted 50% on sales and 50% on operating earnings of the Company;

 

  •   Mr. Renzulli’s award opportunity is weighted 5% on sales and 5% on operating earnings of the Company and 45% on sales and 45% on operating earnings of Sally Beauty Company;

 

  •   Mr. Marino’s award opportunity is weighted 5% on sales and 5% on operating earnings of the Company and 45% on sales and 45% on operating earnings of Alberto-Culver Consumer Products Worldwide; and

 

Under the MIP, “operating earnings” means pre-tax earnings before non-recurring and other unusual items reported separately in the Company’s income statement.