On March 18, 2009, the Compensation Committee of our Board of Directors approved the award of discretionary bonuses of $59,740 to S. Scott Crump, our Chief Executive Officer, $53,948 to Thomas W. Stenoien, our Chief Operating Officer, and $25,809 to Robert F. Gallagher, our Chief Financial Officer. These bonuses represent 56% of the targeted bonuses for 2008 for each of the foregoing Named Executive Officers ("NEOs") and no increase over the bonuses awarded for 2007. In awarding the bonuses for 2008, the Committee took into consideration the increase of 10.9% in our annual revenue from $112.2 million in 2007 to $124.5 million in 2008 and the increase of 11.5% in annual operating income from $18.5 million in 2007 to $20.6 million in 2008. The Committee also took into account the fact that the foregoing increases were achieved during a period of international economic downturn and that the base salary for each of the NEOs for 2009 was maintained at the 2008 level.

On March 18, 2009, the Committee also established the incentive compensation plan ("ICP") that sets forth performance goals and targets for bonuses for the NEOs for calendar year 2009. Partial payments of bonuses under the ICP may be awarded quarterly based upon achieving interim targets.

The performance goals and weight factors applicable to the NEOs under the ICP are as follows:

º Achievement of Revenue Goal, 50% weighting
º Achievement of Operating Profit Goal, 50% weighting

Each NEO is assigned an individual target opportunity for ICP payments, ranging from 0% to 130% of his 2009 target. The target amount under the IPC for each NEO is as follows:

                            Target as a %
                            of Actual 2009
Named Executive Officer       Base Salary
    S. Scott Crump               53%
  Thomas W. Stenoien             56%
  Robert F. Gallagher            23%

We will not make any payment under the ICP with respect to either performance target unless we achieve at least 70% of that target in 2009.