Voluntary DeferredCompensation Plan
Exhibit 10.22
Voluntary Deferred Compensation Plan
At its August 7, 2002 meeting, the Compensation Committee of the Board reviewed and agreed to, in principle, a recommendation regarding a voluntary deferred compensation plan. The recommendation was as follows:
Create a non-qualified deferred compensation program that allows for the deferral of base salary, short-term incentives, and/or long-term incentive values.
The recommended plan provisions are summarized below:
PROVISION |
| DETAILS |
| COMMENTS |
Effective Date |
| November 9, 2002 |
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|
Plan Objective |
| To provide eligible participants the opportunity to accumulate wealth for retirement through increased ability to defer compensation on a tax-favorable basis over and above qualified plan limits |
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Eligibility |
| All approved Executives (Approximately 120) |
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Plan Year |
| Calendar Year |
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Deferrals |
| Amounts elected annually by participants
|
| Cash payouts under the performance unit plans will not be eligible for deferrals |
Deferral Elections |
| Deferral elections must be made prior to the beginning of a calendar year regarding deferrals of salary and incentive payments payable during the coming year |
| Elections to defer January 2003 emergence incentives and/or March 2003 and September 2003 retention incentives should be made ASAP |
Years of Service/Vesting |
| Participants will be 100% vested in all deferrals |
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Account Crediting |
| Deferrals are credited with an interest rate equal to Moodys August long-term corporate bond yield average (Aaa, Aa, A, Baa) based on bonds with maturities 20 years and above, adjusted annually on a predetermined date |
| Moodys long-term corporate bond yield average for the month of August was 7.06% |
Forms of Payment |
| Lump sum or
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| Valued at termination |
Funding |
| Benefits will not be funded and no trust will be established Individual, notional accounts established and maintained by the company (or third party administrator) |
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