Premium Standard Farms, Inc. Incremental Performance Bonus Plan Description

Contract Categories: Human Resources › Bonus & Incentive Agreements
Summary

Premium Standard Farms, Inc. has adopted an Incremental Performance Bonus Plan to reward five key officers, including three executive officers, for their efforts in ensuring the successful closing of a merger with a Smithfield Foods, Inc. subsidiary. The plan allows for up to $425,000 in total discretionary bonuses, with individual awards, such as up to $100,000 for Executive Vice President Stephen A. Lightstone, subject to approval by the company's CEO and Chairman. All bonuses are not guaranteed and depend on management's discretion.

Read More Arrow
EX-10.23 2 y26507exv10w23.htm EX-10.23: DESCRIPTION OF INCREMENTAL PERFORMANCE BONUS PLAN EX-10.23  

Exhibit 10.23
Premium Standard Farms, Inc.
Description of
Incremental Performance Bonus Plan
     
Adoption:
  Adopted by the Compensation Committee of the Board of Directors of Premium Standard Farms, Inc. (the “Company”) on September 29, 2006
 
    
Purpose:
  To compensate certain employees of the Company whose efforts will be critical to the closing of the pending merger between the Company and a subsidiary of Smithfield Foods, Inc.
 
    
Participants:
  Five officers, including three executive officers, of the Company, including Stephen A. Lightstone, the Company’s Executive Vice President, Chief Financial Officer and Treasurer and a named executive officer of the Company
 
    
Amount of Bonuses:
  The Compensation Committee recommended that performance bonuses be paid in an aggregate amount of up to $425,000, with Mr. Lightstone eligible to receive a performance bonus of up to $100,000
 
    
Bonuses are Discretionary:
  All performance bonuses paid under the Plan will be discretionary and subject to the approval of the Company’s Chief Executive Officer and its Chairman of the Board of Directors

31