(e) Compensation of Named Executive Officers

On December 13, 2012, the Compensation Committee of our Board of Directors
(1) set the annual base salaries of our named executive officers for 2013 and
(2) established a senior management bonus plan for 2013.

2013 Base Salaries

2013 annual base salaries for our named executive officers will remain at 2012 levels.

2013 Senior Management Bonus Plan

Certain members of our senior management team who are ineligible to participate in our profit-sharing bonus program for associates and who are not commissioned salespeople may be eligible to receive incentive awards under our 2013 senior management bonus plan if certain performance targets set by the compensation committee are achieved under such plan for 2013. Bonuses under such plan will be based 50 percent upon our company's gross revenue dollars and 50 percent upon our company's adjusted EBITDA, which will be calculated based upon our company's accounting practices, consistently applied and upon GAAP standards applicable to our company. "Adjusted EBITDA" as used by our Compensation Committee equals our company's earnings before all interest, tax, depreciation, amortization and stock-based expenses but after payment of non-equity based employee bonuses.

The following chart sets forth the target bonus under the 2013 senior management bonus plan for each of our named executive officers.

     Name and Position of Executive Officer                2013 Target Bonus
     Scott W. Koller
     President and Chief Executive Officer               $           250,000
     Darin P. McAreavey
     Senior Vice President and Chief Financial Officer   $            75,000

If earned, the foregoing amounts will be payable in the form of a stock bonus granted on the date of the audit report on our 2013 financial statements (and calculated using the closing price on that date); provided, however, that our Compensation Committee retains the discretion to pay such amounts entirely in a combination of cash and stock bonuses (calculated in the same manner). Any portion of such bonuses that is paid in equity will be issued pursuant to our Amended and Restated 2006 Equity Incentive Plan.

The foregoing discussion of our 2013 senior management bonus plan is qualified in its entirety by reference to the plan itself, which is attached as Exhibit 10 to this Current Report on Form 8-K and is incorporated by reference in response to this Item 5.02(e).

(d) See "Exhibit Index"