Common use of Performance Based Incentive Compensation Clause in Contracts

Performance Based Incentive Compensation. 5.1 In addition to the Base Salary, the Executive shall be entitled to receive, for each year January 1, 2012 through December 31, 2014 (the “Measurement Period”), performance-based profit incentive compensation (the “Profit Bonus”) consisting of the following: 5.1.1 $2,000 for each $0.01 that the Corporation’s adjusted earnings per diluted share (as defined herein, “Adjusted EPS”) for each year during the Measurement Period exceeds the Corporation’s Adjusted EPS for the prior year; plus 5.1.2 $2,000 for each $0.01 that the Corporation’s Adjusted EPS for each year during the Measurement Period exceeds $1.53; plus 5.1.3 $5,000, plus or minus, for each 1% that the increase or decrease in Corporation’s Adjusted EPS for each year during the Measurement Period is above or below 1.75 times the Index of Number of Industry Units Sold (as defined herein); provided, however, that the amount added or subtracted will not exceed 0.3% of Corporation’s pre-tax income for the subject year; plus 5.1.4 One (1%) percent of the entitlement, special refund, reduction to, or credit against, any income or property tax otherwise due to Federal, state or local taxing authorities (each or, collectively, “Savings”) obtained as a result of initiative taken by or under the direction of the Executive and granted by the taxing authority during any year of the Measurement Period, which Savings are reasonably likely to be realized by the Affiliated Companies within five (5) years of the date granted; plus 5.1.5 Five (5%) percent of any Savings granted since January 1, 2009 which is utilized by the Affiliated Companies during any year of the Measurement Period. 5.2 Upon expiration of the Measurement Period, the Executive shall be entitled to receive 300 Deferred Stock Units, representing shares of Common Stock of the Corporation (“DSUs”), for each 0.1% that the Corporation’s average annual return on invested capital (as defined herein, “ROIC”) for the Measurement Period is above 18%; provided, however, that the total number of such DSUs will not exceed 15,000 units (the “ROIC Bonus”). 5.3 For purposes of this Agreement: 5.3.1 The term “Adjusted EPS” means the earnings per diluted share as reported by the Corporation in its consolidated financial statements, adjusted to exclude the after-tax impact of any judgment award or settlement amount paid to terminate litigation pending as of the date hereof involving products manufactured by the Kinro Composites division of Kinro.

Performance Based Incentive Compensation. 5.1 In addition to the Base SalarySalary and Incentive DSUs, the Executive shall be entitled to receive, for each year January 1, 2012 2009 through December 31, 2014 2011 (the “Measurement Period”), performance-based profit incentive compensation (the “Profit Bonus”) consisting of the following: 5.1.1 $2,000 4,000 for each $0.01 that the Corporation’s adjusted earnings per diluted share (as defined herein, “Adjusted EPS”) for each year during the Measurement Period exceeds the Corporation’s Adjusted EPS for the prior year; provided, however, that for this purpose the calculation of Adjusted EPS for the prior year shall exclude the after-tax impact of any Impairment Charge (as defined herein) recorded by the Corporation for the prior year; plus 5.1.2 $2,000 4,000 for each $0.01 that the Corporation’s Adjusted EPS for each year during the Measurement Period exceeds $1.531.45; plus 5.1.3 $5,00010,000, plus or minus, for each 1% that the increase or decrease in Corporation’s Adjusted EPS for each year during the Measurement Period is above or below 1.75 2.5 times the Index of Number of Industry Units Sold (as defined herein); provided, however, that the amount added or subtracted will not exceed 0.30.6% of Corporation’s pre-tax income for the subject year; plus 5.1.4 One provided further, however, that for this purpose the calculation of Adjusted EPS for the prior year shall exclude the after-tax impact of any Impairment Charge (1%as defined herein) percent of the entitlement, special refund, reduction to, or credit against, any income or property tax otherwise due to Federal, state or local taxing authorities (each or, collectively, “Savings”) obtained as a result of initiative taken by or under the direction of the Executive and granted recorded by the taxing authority during any year of Corporation for the Measurement Period, which Savings are reasonably likely to be realized by the Affiliated Companies within five (5) years of the date granted; plus 5.1.5 Five (5%) percent of any Savings granted since January 1, 2009 which is utilized by the Affiliated Companies during any year of the Measurement Periodprior year. 5.2 Upon expiration of the Measurement Period, the Executive shall be entitled to receive 300 Deferred Stock Units, representing shares of Common Stock of the Corporation (“DSUs”), 1,000 DSUs for each 0.1% that the Corporation’s average annual return on invested capital (as defined herein, “ROIC”) for the Measurement Period is above 18%the average ROIC of the Corporation’s peer group (as defined herein); provided, provided however, that the total number of such DSUs will not exceed 15,000 100,000 units (the “ROIC Bonus”); provided further, however, that if the foregoing calculation of DSUs for the Measurement Period results in a negative number, Incentive DSUs issued during the Measurement Period will be forfeited at the rate of 1,000 DSUs for each 0.1% that the Corporation’s ROIC for the Measurement Period is below the ROIC of the Corporation’s peer group. 5.3 For purposes of this Agreement: 5.3.1 The term “”Adjusted EPS” means the earnings per diluted share as reported by the Corporation in its consolidated financial statements, adjusted to exclude (i) the after-tax impact of any judgment award or settlement amount paid to terminate litigation pending as of the date hereof involving products manufactured by the Kinro Composites division of Kinro, and (ii) the after-tax impact of the charge for impairment of goodwill recorded by the Corporation in 2008.