2002 Bonus Program Summary for Executive Vice Presidents of United States Cellular Corporation

Summary

This document outlines the 2002 Bonus Program for Executive Vice Presidents at United States Cellular Corporation. The program aims to incentivize and reward executives based on their success in meeting key performance targets, such as customer additions, cash flow, revenue, return on capital, and customer retention. The bonus pool is calculated as a percentage of executive base salaries and varies depending on company performance, with no bonuses paid if minimum targets are not met. The plan is designed to attract and retain top executive talent.

EX-10.9 4 a2103341zex-10_9.txt EXHIBIT 10.9 EXHIBIT 10.9 SUMMARY OF 2002 BONUS PROGRAM FOR EXECUTIVE VICE PRESIDENTS OF UNITED STATES CELLULAR CORPORATION The objectives of the 2002 Bonus Program for Executive Vice Presidents (the "2002 Bonus Plan") of United States Cellular Corporation ("USM") are: (i) to provide incentives for the Executive Vice Presidents of USM to extend their best efforts to achieve superior results in relation to key performance targets, (ii) to reward USM's Executive Vice Presidents in relation to their success in meeting and exceeding these performance targets, and (iii) to help USM attract and retain talented leadership in positions of critical importance to the success of USM. The 2002 Bonus Plan was designed to generate a targeted 2002 bonus pool equal to the total of 40% of the aggregate of the base salaries of the Company's senior executive officers other than the President. Under the 2002 Bonus Plan, the size of the target bonus pool is increased or decreased depending on USM's 2002 achievements with respect to the performance categories. No bonus pool is paid under such plan if minimum performance levels are not achieved in these categories. The maximum bonus pool that could be generated, which would require exceptional performance in all areas, would equal the total of 80% of the aggregate base salaries of the Company's senior executive officers other than the president. At target performance, the bonus pool would be equal to 40% of the aggregate salaries of the Company's senior executive officers other than the President. The performance categories include (i) gross post-pay customer additions; (ii) consolidated cash flow; (iii) consolidated revenue; (iv) return on capital; and (v) customer defections.