Attached files
| file | filename |
|---|---|
| 10-K - IEC ELECTRONICS CORP | v202994_10k.htm |
| EX-32.1 - IEC ELECTRONICS CORP | v202994_ex32-1.htm |
| EX-23.1 - IEC ELECTRONICS CORP | v202994_ex23-1.htm |
| EX-31.1 - IEC ELECTRONICS CORP | v202994_ex31-1.htm |
| EX-31.2 - IEC ELECTRONICS CORP | v202994_ex31-2.htm |
| EX-21.1 - IEC ELECTRONICS CORP | v202994_ex21-1.htm |
| EX-10.22 - IEC ELECTRONICS CORP | v202994_ex10-22.htm |
| EX-10.25 - IEC ELECTRONICS CORP | v202994_ex10-25.htm |
| EX-10.23 - IEC ELECTRONICS CORP | v202994_ex10-23.htm |
Exhibit
10.24
IEC
Electronics Corp.
Summary of 2010 Management Incentive
Plan ("2010 MIP")
The 2010
MIP is a cash incentive plan which links awards to performance results and is
designed to provide cash incentive awards ("Awards") to five senior management
employees (the "Participants"): the Chief Executive Officer, the Chief Financial
Officer, the Executive Vice President and President of IEC Contract
Manufacturing, the Senior Vice President of Operations, and the Director of
Human Resources.
Each
Participant will be eligible to receive an Award, if any, determined on the
basis of the degree of achievement of certain specified corporate level fiscal
year performance objectives, ("Performance Goals"). For fiscal 2010,
Performance Goals based upon the following measurements have been established:
Net Income Before Taxes and Incentives, Sales, Cash Flow, (Repayment of Funded
Debt) and On-Time Delivery. The Compensation Committee has assigned a
weighting factor to each Performance Goal.
If the
target goal (the “Target Goal”) for a Performance Goal is achieved, an Award
equal to a predetermined percentage (varying from 25% to 45%) of the
Participant's base salary earned during the fiscal year will be paid to the
Participant, (the "Target Award"). The incentive percentage of a
Participant is based upon his or her position within the Company. Below the
achievement of a threshold or minimum corporate level of performance ("Plan
Entry"), no Awards will be made. If the Plan Entry performance level
is achieved or exceeded, but the Target Goal for a Performance Goal is not
achieved, a pro rata
payment, but less than the Target Award, will be paid to each
Participant. If the Target Goal for a Performance Goal is surpassed,
Awards will increase depending on the percentage of the Target Goal for each of
the Performance Goals that is achieved. However, no Award to a
Participant may exceed 200% of the Target Award.
The
Compensation Committee has prepared a formula or matrix prescribing the extent
to which a Participant's Award will be earned based upon the level of
achievement and the weighting of each Performance Goal.
After the
end of the fiscal year, the Compensation Committee will determine the extent to
which the Performance Goals have been achieved and will calculate the amount of
the Award to be paid to each Participant (the “Calculated
Award”). However, based on his evaluation of an individual
Participant's performance, the CEO may recommend to the Compensation Committee,
that the Calculated Award for any individual Participant be modified by plus or
minus up to 25%. The Compensation Committee may also recommend to the
full Board that the Calculated Award for the CEO be modified by plus or minus up
to 25%. All modifications to a Calculated Award must be approved by
the Compensation Committee. In addition, any modification to the
Calculated Award for the CEO must be approved by the Board of
Directors. Use of the modification factor is not expected to be an
annual event, but is to be used sparingly, when the actual results achieved,
either positive or negative to the planned results, are not appropriately
reflected in the Calculated Award.
Payment
of any Award to a Participant will be made within fifteen (15) days after
receipt by the Company of the audited financial statements for Fiscal
2010. In order to receive an Award, a Participant must be an employee
of the Company on the date such Award is to be distributed.
The 2010
MIP is based upon the organic growth of the Company. If any
acquisition is made by the Company in Fiscal 2010, the Compensation Committee
will review the impact of such acquisition and determine what, if any, changes
should be made to the 2010 MIP.
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