2008 Annual Performance Incentive Plan for Executive Officers
This agreement outlines the 2008 Annual Performance Incentive Plan (APIP) for executive officers of the company. Under this plan, executives are eligible for cash bonuses if specific annual performance goals, set by the Compensation Committee, are met. The plan defines performance measures such as revenue growth, earnings per share, and cash flow, each with assigned weightings. Bonus amounts are based on a percentage of base salary and are only paid after the Committee reviews and approves results at the end of the fiscal year.
Exhibit 10(e)(16)
Annual Performance Incentive Plan for 2008 (“2008 APIP”)
Under the 2008 APIP, executive officers of the Company are eligible to receive performance related cash payments. Payments are, in general, only made if annual performance objectives established by the Compensation Committee of the Board of Directors (the “Committee”) are met.
The Committee approved annual incentive opportunities for 2008, expressed as a percentage of base salary for each participating officer. Certain additional goals were established for some officers based on business unit goals. The Committee also established overall threshold, target and maximum measures of performance for the 2008 APIP. The performance measures and weightings for 2008 are constant currency revenue growth (30%), earnings per share (40%) and core cash flow from operations (30%).
Individual payments will be subject to the review and approval of the Committee following the completion of the 2008 fiscal year.
