Legal Proceedings

EX-10.78 6 f88588exv10w78.txt EXHIBIT 10.78 Exhibit 10.78 2003 VERITAS BONUS PLAN ELIGIBILITY: - - Designated VERITAS employees in salary grades E09-E12 and U01 not already eligible for commission, revenue, or other formal bonus plans. - - Employees who are hired by VERITAS or are promoted/reclassified into the eligible category defined above during any six month period, will be eligible for a pro-rated bonus provided their hire date or promotion date is no less than two months from the end of that period. - - To receive a bonus, eligible participants must be active employees of VERITAS on date of payment. - - Employees on LOA at time of payment will be eligible for payment after they return to work, prorated accordingly. PLAN OVERVIEW: - - Achieving proforma operating profit performance, as specified in the operating plan approved by the Board of Directors, shall fund the pool as follows:
Performance % of VBP pool - ----------- ------------- <90% 50% 90% 90% 100% 100% 110% 125% 120% 150% >120% 150%
Any intermediate achievement between levels will fund a proportional amount. PAYMENTS - - This is a semi-annual plan, with bonus calculation and payment following mid year (June 30th) and year-end (December 31st). - - Individual bonus recommendations are based upon management determination of participant performance, and as such will vary by employee. There are no guaranteed payments associated with this plan. - - Although every effort is made to process payments on a timely basis, there is no guaranteed payment date associated with this plan. Bonus payments can be processed only after the following is determined and/or communicated: - Proforma operating profit has been calculated. - Earnings, and all relevant performance measurements have been communicated externally. - Recommendations have been collected and submitted to the CEO for final approval. DISCRETION OF CEO AND BOARD OF DIRECTORS - - Notwithstanding the above, the Company's CEO and/or Compensation Committee of the Board of Directors, at his/its sole discretion, may, for reasonable cause, modify or change this Plan or its implementation at any time.