Tessera Technologies, Inc. 2005 Management Bonus Program
Tessera Technologies, Inc. established a 2005 Management Bonus Program, approved by its Compensation Committee and Board of Directors, to provide incentive cash bonuses to executive officers. The bonus amount is based on a percentage of each executive's base salary, with specific targets and maximums set by title. Bonuses are determined by the company's performance on revenue, profit, and strategic objectives, and for some executives, individual or group performance. Eligibility and bonus amounts are assessed after the fiscal year ends, with payouts ranging from 0% up to the maximum percentage based on results.
Exhibit 10.2
2005 Management Bonus Program
The 2005 Management Bonus Program, approved by the Compensation Committee and Board of Directors of Tessera Technologies, Inc. on March 24, 2005, provides for an incentive cash bonus target, and a maximum cash bonus amount, equal to a percentage of each executive officer’s base salary as follows:
| Title | Target Percentage | Maximum Percentage | ||||
| Chief Executive Officer | 50 | % | 100 | % | ||
| Senior Vice Presidents (other than Chief Technical Officer) | 35 | % | 50 | % | ||
| Chief Technical Officer | 25 | % | 35 | % | ||
| Vice President, Finance | 25 | % | 35 | % |
Bonuses under the 2005 Management Bonus Program are based on corporate performance objectives, including objectives relating to revenue and profit targets, as well as corporate strategic objectives, and in the case of executives other than the Chief Executive Officer, certain individual or group performance objectives in addition to the corporate objectives. Under the 2005 Management Bonus Program, after the completion of the 2005 fiscal year, each executive will be eligible for a bonus that will be equal to an amount ranging from 0% to the above-stated maximum percentage of base salary, based on the achievement of these criteria as assessed by the Compensation Committee.
