2009 Annual Performance Incentive Plan (First Half) for Executive Officers
This agreement outlines the 2009 Annual Performance Incentive Plan (APIP) for the first half of the year, covering executive officers of the company. Under this plan, executives are eligible for cash payments if they meet specific performance goals set by the Compensation Committee. The main performance measures are core cash flow from operations and earnings per share, with additional goals for some officers. For the first half of 2009, the plan resulted in an overall payout factor of 125% based on the company's performance.
EXHIBIT 10(e)(25)
Annual Performance Incentive Plan (“APIP”) for First Half 2009
Under the 2009 APIP, executive officers of the Company are eligible to receive performance related cash payments. Payments are, in general, only made if performance objectives established by the Compensation Committee of the Board of Directors (the “Committee”) are met.
The Committee previously approved an incentive target opportunity for the first half of 2009, expressed as a percentage of base salary, for each participating officer. The Committee established overall threshold, base, target and maximum measures of performance for the first half of 2009 APIP at its February 2009 meeting. The performance measures and weightings for the first half of 2009 were core cash flow from operations (65%) and earnings per share (35%). Certain additional goals were established for some officers based on business unit goals.
The performance against the first half 2009 APIP goals was as follows: On an adjusted basis, earnings per share was below threshold and core cash flow from operations exceeded maximum, resulting in an overall factor of 125% for the first half of 2009.
