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The purpose of the Utility Energy, Inc, Compensation Program (the Program ) is to reward Participants for identifying and growing business with new customers
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The following terms shall have the following meanings for the purposes of the Program:
Award The payment of dollars to a Participant as determined by this Program Company Utility Energy, Inc Disability Total disability as defined in the Company s long-term disability plan in effect at the time of disability Participant Any employee of the Company who is selected to participate in the Program Threshold In order to receive an incentive payout, it is a requirement for all Participants of this Program to exceed a minimum accomplishment of plan
TLFeBOOK
Illustrative Sales Compensation Plan
Incentive Payout For all Participants, incentive will accumulate from dollar one, but will not be paid until the thresholds for all measures have been exceeded Large Orders Rule If an order is received that exceeds 12,000 MWH, you will only be credited for 12,000 Exceptions to this rule must have approval by the Sales Director and Managing Director prior to the booking of the order Program Utility Energy, Inc, Compensation Program as originally adopted or, if amended or supplemented, as amended or supplemented
Award Value Determination
Participants will begin earning incentive once their minimum thresholds have been exceeded Incentive Payout will be paid quarterly once thresholds are achieved Conventional rounding rules apply: down 5 round up, 5 round
Large Orders Rule will be used to limit credit for orders in excess of order size boundary of 12,000 MWH
Payments
Eligibility to Participate Participants must hold a job in one of the participating categories for a minimum of 30 consecutive days in the calendar year in order to be eligible for an incentive payout If you should leave Utility Energy, Inc, you will receive an incentive payment equivalent to that which you would have received for the last full quarter you worked Normal Case Payments will be made quarterly, as soon as practical after the close of the quarter, but no later than ninety (90) days after the end of the quarter or year Cumulative incentive earned to date will be calculated each quarter The amount paid out each quarter will be the cumulative incentive earned to date less any payouts made in previous quarters Death, Disability, Retirement, or Termination (Voluntary/ Involuntary) If a Participant dies, becomes disabled, retires, or
TLFeBOOK
Appendix A
terminates within the meaning of the Program, he/she shall receive an Award for all bookings through the last full quarter of employment, and shall forfeit the Award for any uncompleted quarter Promotions/Transfers to Non-Incentive Eligible Positions If a Participant is promoted or transferred to a job in the Company that is not eligible for any incentive payment, he/she shall be entitled to a pro-rated payment of Awards for any period completed Promotions/Transfers to Incentive Eligible Positions If a Participant is promoted or transferred to a job in the Company that is eligible for incentive, his/her total incentive payment will be prorated based on the amount of time spent in each position Partial Year Participation The structure of the incentive plan is based upon a Participant s full year participation We also recognize that people can enter the program at any time during the year In those situations the following will apply:
Individual Contributors: If an individual is eligible to become a Participant of the Program for a period of less than 12 months, a plan will be assigned based upon the months of eligibility remaining in the calendar year
Deviations from these guidelines require written approval from the Sales Director and the Managing Director
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