Veeco Instruments Inc. 2009 Supplemental Management Profit Sharing Plan
Veeco Instruments Inc. has established a 2009 Supplemental Management Profit Sharing Plan for certain employees, based on the company's EBITA performance in the second half of 2009. Awards are only paid if EBITA exceeds 5% of revenue, with the bonus pool increasing as EBITA rises. Payments are distributed according to each participant's target bonus and are paid with the regular 2009 bonus in March 2010. However, recipients must remain employed through December 31, 2010, or risk having to return the award if they resign or are terminated for cause.
EXHIBIT 10.2
Veeco Instruments Inc.
2009 Supplemental Management Profit Sharing Plan
August 20, 2009
· Based on H2 2009 Business Unit results as measured by EBITA
· Payable when BU EBITA > 5% of Revenue
· Group (PE & M&I) and Corporate awards will be based on the weighted average results for relevant Business Units
· Supplemental Profit Sharing pool funded by EBITA based on EBITA as a % of revenue (after taking into account the cost of the additional bonus):
| EBITA as a % of Revenue |
| Supplemental Profit Sharing Pool |
|
| Less than 5% |
| 0 | % |
| 5% but less than 10% |
| 2 | % |
| 10% but less than 15% |
| 4 | % |
| 15% but less than 20% |
| 6 | % |
| EBITA % 20%+ |
| 8 | % |
· As with other profit sharing plans, supplemental profit sharing awards will be distributed in proportion to each individual’s target bonus.
· Supplemental Profit Sharing awards, if earned, will be paid with normal 2009 bonus (in mid-March 2010) but subject to recovery (“claw back”) in the event the recipient voluntarily terminates his or her employment or is terminated for cause on or before December 31, 2010.
