EXECUTIVE STAFF FISCAL 2001 BONUS MEASUREMENTS
- ----------------------------------------------
The fiscal 2001 bonus plan for executive staff will consist of the following:
a) 100% - Actuant year-over-year improvement in Consolidated Combined
Management Measure (CMM)
b) Additional upside/downside tied to Debt Reduction Multiplier
Supporting Definitions:
Consolidated CMM = Operating Profit (before amortization) less Asset Carrying
Charge of 20% of total debt, shareholders' equity and accumulated amortization
of intangible assets
Debt Reduction Multiplier = actual debt reduction/$35.0 million
Bonus Targets:
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0% 100% 250%
(Target)
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Consolidated CMM $38.9 million $42.8 million $48.6 million
Name Functional Area Proposed Bonus Payout @ 100%
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Robert Arzbaecher Chief Executive Officer $220,000
Andrew Lampereur Chief Financial Officer $ 64,750
Ralph Keller Vice President of Operations $ 63,000
Joe O'Connor Vice President of Human Resources $ 39,000
Terry Braatz Treasurer $ 28,250
Dawn Doering Corporate Controller $ 23,750
BUSINESS UNIT LEADER FISCAL 2001 BONUS MEASUREMENTS
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The fiscal 2001 bonus plan for business unit leaders will consist of the
following:
a) 80% - Business unit year-over-year improvement in Field CMM
b) 20% - Consolidated CMM improvement
Supporting Definitions:
Field CMM = Operating Profit (before amortization) less Asset Carrying Charge of
20% of Net Assets Employed
Net Assets Employed = Net accounts receivable + net inventory + prepaid assets +
net fixed assets + other long-term assets (excluding intangible assets) -
accounts payable - accrued current liabilities
Bonus Targets:
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Todd Hicks; Vice President, Enerpac-
0% 100% 250%
(Target)
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Enerpac CMM less than or equal to 80% of prior year 115% of prior year 160% of prior year
Consolidated CMM $38.9 million $42.8 million $48.6 million
Payout $0 $56,000 $140,000
Arthur Kerk; Vice President, Engineered Solutions-Europe and Asia-
0% 100% 250%
(Target)
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Engineered Solutions-Europe and Asia CMM less than or equal to 80% of prior year 115% of prior year 160% of prior year
Consolidated CMM $38.9 million $42.8 million $48.6 million
Payout 0 Dfl 105,000 Dfl 262,500 Dfl
Jerry Peiffer; Vice President, Engineered Solutions-Americas-
0% 100% 250%
(Target)
------------------------------------------------------------------------------
Engineered Solutions-Americas CMM less than or equal to 80% of prior year 115% of prior year 160% of prior year
Consolidated CMM $38.9 million $42.8 million $48.6 million
Payout $0 $56,000 $140,000
MULTI-UNIT BUSINESS LEADER FISCAL 2001 BONUS MEASUREMENTS
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The fiscal 2001 bonus plan for multi-unit business leader will consist of the
following:
a) 60% - Business unit year-over-year improvement in Operating Profit
(excluding amortization) (DP)
b) 20% - GB CMM improvement
c) 20% - Consolidated CMM improvement
Bonus Targets:
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Brian Kobylinski; Vice President, Distribution and OEM-
0% 100% 250%
(Target)
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Distribution and OEM DP less than or equal to 80% of prior year 115% of prior year 160% of prior year
GB CMM less than or equal to 80% of prior year 115% of prior year 160% of prior year
Consolidated CMM $38.9 million $42.8 million $48.6 million
Payout $0 $49,000 $122,500