Quicksilver Resources Inc. Non-Employee Director Compensation Description
Quicksilver Resources Inc. outlines the annual compensation for its non-employee directors, set at $120,000 per year. The compensation is paid in a mix of cash, stock options, and restricted stock, with the exact breakdown depending on stockholder approval of amendments to the company's 2004 Non-Employee Director Stock Option Plan. Directors may also elect to receive portions of their compensation in different forms. The agreement specifies how compensation will be allocated if the plan amendments are not approved.
Exhibit 10.6
QUICKSILVER RESOURCES INC.
Description of Non-Employee Director Compensation
Each non-employee director of Quicksilver Resources Inc. (“Quicksilver”) receives an annual fee of $120,000 per year.
Subject to approval of amendments to the Quicksilver Resources Inc. 2004 Non-Employee Director Stock Option Plan (the “2004 Plan”) by Quicksilver’s stockholders at Quicksilver’s 2005 Annual Meeting, in 2005, the non-employee directors will be paid $35,000 of the fee in options under the 2004 Plan, $25,000 of the fee in restricted stock under the 2004 Plan and $60,000 of the fee in cash (subject to elections by non-employee directors made in 2004 to receive a portion thereof in options under the 2004 Plan). Beginning 2006, the non-employee directors will be paid $60,000 of the fee in restricted stock under the 2004 Plan and $60,000 of the fee in cash (or, at the election of the non-employee directors, in restricted stock or options under the 2004 Plan).
If the stockholders do not approve the amendments to the 2004 Plan, each non-employee director will be paid $35,000 of the fee in options under the 2004 Plan, $35,000 of the fee in cash (subject to the elections by non-employee directors in 2004 to receive a portion thereof in options under the 2004 Plan) and the balance of each non-employee director’s annual fee of $120,000 in cash or other consideration outside of the 2004 Plan.
