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Quotes & Info
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| INAP > SEC Filings for INAP > Form 8-K on 21-Aug-2009 | All Recent SEC Filings |
21-Aug-2009
Change in Directors or Principal Officers, Financial Statements an
On August 19, 2009, the Compensation Committee of the Board of Directors of Internap Network Services Corporation (the "Company") formalized the 2009 Short Term Incentive Plan (the "2009 STIP"), which previously had been described in the Company's 2009 proxy statement.
Under the 2009 STIP, all full time exempt and eligible non-exempt employees (including executive officers) may be eligible for the award of a cash bonus after the Company's 2009 fiscal year end.
The cash bonus of each participant is determined based on achievement of corporate and individual/business unit objectives, with a target award level expressed as a percentage of salary. The corporate objectives are based on revenue, EBITDA (earnings before interest, taxes, depreciation and amortization) and cash flow. The personal/business unit objectives are individualized for each participant.
The table below identifies the target incentives as a percentage of base salary and the split between corporate and personal/business unit objectives.
STI Participation Level Target Incentive Corporate Objectives Personal/BU
% Objectives
Section 16 Officer Up to 100% 70 30
Vice Presidents Up to 50%, 70 30
Directors and below Up to 25% 50 50
Non-exempt Up to 10% Discretionary Discretionary
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The Compensation Committee of the Company's Board of Directors has the discretion to determine payment relative to corporate objectives for all participants and the personal/business unit objectives for participants at the Vice President level and above, after consideration of any recommendation by the Chief Executive Officer. Payment of the personal/business unit component for exempt employees below the Vice President level is based on management's assessment of the level of achievement relative to specific, measurable, pre-defined objectives.
If a participant is not an employee on the date awards from the 2009 STIP are paid (other than by reason of death or disability), the participant forfeits all rights to any payments under the 2009 STIP.
If the Compensation Committee determines that any participant has engaged in fraud or intentional misconduct that has caused a restatement of the Company's financial statements, the Compensation Committee will review the payment received by that participant under the 2009 STIP on the basis of the Company's performance during the periods affected by the restatement. If the payment under the 2009 STIP would have been lower if it had been based on the restated results, the Compensation Committee has the power to seek recoupment of such payment.
(d) Exhibits
The following exhibit is furnished with this Current Report on Form 8-K:
Exhibit No. Description
10.1 2009 Short Term Incentive Plan.
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