Pre-bonus definition
Pre-bonus is defined as before deduction of any bonus or any other year end performance bonuses, but not including sales representative and buyer bonuses which are part of their normal compensation package.
Pre-bonus is defined as before deduction of any bonus or any other year end performance bonuses, but not including sales representative and buyer bonuses which are part of their normal compensation package. ▇▇▇▇▇▇ ▇▇▇▇▇▇▇▇▇ EXECUTIVE INDIVIDUAL SALARY AND INCENTIVE PLAN SCHEDULE Annual Base Salary $115,000 To increase at the beginning of each fiscal year in relation to the Consumer Price Index, All Urban Wage Earners and Clerical Workers Report published by the Bureau of National Labor Statistics Incentive Plan, effective % with the fiscal year beginning 3/1/97. Annual bonus to be computed as l.75% of the excess of pre-tax, pre-bonus net income over 15% of the return on equity. Return on equity is defined as follows: Total Net Worth (combined balance sheet) Add: Treasury Stock ESOP Note Balance Sub-Debt --------------- Adjusted Net Worth The bonus will be the amount of pretax, pre-bonus profits which exceed a 15% return on the adjusted Net Worth. The bonus will be paid quarterly in cash up to 125% of base salary. The amount of bonus that exceeds the cash limit will be granted in stock options. This Incentive Plan may be changed by the Company in the event the Company has an IPO (Initial Public Offering).