Common use of Cash Bonus/Incentive Compensation Clause in Contracts

Cash Bonus/Incentive Compensation. In addition to the Base Salary provided for in Section 3(a) above, Xx. Xxxxxx shall be entitled to receive an annual bonus (“Bonus”) in accordance with the SunHealthcare Group, Inc. Executive Bonus Plan (the “Plan”), as it may be amended from time to time by the Compensation Committee of the Board of Directors; provided, however, that no amendment shall be effective if it reduces the percentage of Base Salary that would constitute the minimum or maximum potential amount of the Bonus as compared to the prior year, unless such amendment has been agreed to in writing by Xx. Xxxxxx. The Bonus shall be payable at the same time as other annual bonuses are paid to senior management personnel with respect to that fiscal year. Subject to the provisions of Section 6, in order to have earned and to be paid any such Bonus, Xx. Xxxxxx must be employed by Sun on the date of such payment. It is intended that the Bonus described in this Section 3(b) qualify as "performance based compensation" under Section 162(m) of the Code to the extent necessary to preserve Sun’s ability to deduct such Bonus. In the event the minimum financial performance threshold is met as set forth in the Plan, Xx. Xxxxxx’ minimum Bonus shall be no less than 10% of his Base Salary for the applicable fiscal year.

Cash Bonus/Incentive Compensation. In addition to the Base Salary provided for in Section 3(a) above, Xx. Xxxxxx Xxxxxxx shall be entitled to receive an annual bonus (“Bonus”) in accordance with the SunHealthcare Sun Healthcare Group, Inc. Executive Bonus Plan (the “Plan”), as it may be amended from time to time by the Compensation Committee of the Board of DirectorsDirectors of SHG; provided, however, that no amendment shall be effective if it reduces the percentage of Base Salary that would constitute the minimum or maximum potential amount of the Bonus as compared to the prior year, unless such amendment has been agreed to in writing by Xx. XxxxxxXxxxxxx. The Bonus shall be payable at the same time as other annual bonuses are paid to senior management personnel with respect to that fiscal yearpersonnel. Subject to the provisions of Section 6, in order to have earned and to be paid any such Bonus, Xx. Xxxxxx Xxxxxxx must be employed by Sun SHSS on the date of such payment. It is intended that the Bonus described in this Section 3(b) qualify as "performance based compensation" under Section 162(m) of the Code to the extent necessary to preserve Sun’s the ability to deduct such Bonus. In the event the minimum financial performance threshold is met as set forth in the Plan, Xx. XxxxxxXxxxxxx’ minimum Bonus shall be no less than 10% of his Base Salary for the applicable fiscal year.

Cash Bonus/Incentive Compensation. In addition to the Base Salary provided for in Section 3(a) above, Xx. Xxxxxx shall be entitled to receive an annual bonus (“Bonus”) in accordance with the SunHealthcare Group, Inc. Executive Bonus Plan (the “Plan”), as it may be amended from time to time by the Compensation Committee of the Board of Directors; provided, however, that no amendment shall be effective if it reduces the percentage of Base Salary that would constitute the minimum or maximum potential amount of the Bonus as compared to the prior year, unless such amendment has been agreed to in writing by Xx. Xxxxxx. The Bonus shall be payable at the same time as other annual bonuses are paid to senior management personnel with respect to that fiscal yearpersonnel. Subject to the provisions of Section 6, in order to have earned and to be paid any such Bonus, Xx. Xxxxxx must be employed by Sun on the date of such payment. It is intended that the Bonus described in this Section 3(b) qualify as "performance based compensation" under Section 162(m) of the Code to the extent necessary to preserve Sun’s ability to deduct such Bonus. In the event the minimum financial performance threshold is met as set forth in the Plan, Xx. Xxxxxx’ minimum Bonus shall be no less than 10% of his Base Salary for the applicable fiscal year.

Cash Bonus/Incentive Compensation. In addition to the Base Salary provided for in Section 3(a) above, Xx. Xxxxxx Xxxxxxx shall be entitled to receive an annual bonus (“Bonus”) in accordance with the SunHealthcare Sun Healthcare Group, Inc. Executive Bonus Plan (the “Plan”), as it may be amended from time to time by the Compensation Committee of the Board of DirectorsDirectors of SHG; provided, however, that no amendment shall be effective if it reduces the percentage of Base Salary that would constitute the minimum or maximum potential amount of the Bonus as compared to the prior year, unless such amendment has been agreed to in writing by Xx. XxxxxxXxxxxxx. The Bonus shall be payable at the same time as other annual bonuses are paid to senior management personnel with respect to that fiscal year. Subject to the provisions of Section 6, in order to have earned and to be paid any such Bonus, Xx. Xxxxxx Xxxxxxx must be employed by Sun SHSS on the date of such payment. It is intended that the Bonus described in this Section 3(b) qualify as "“performance based compensation" ” under Section 162(m) of the Code to the extent necessary to preserve Sun’s the ability to deduct such Bonus. In the event the minimum financial performance threshold is met as set forth in the Plan, Xx. XxxxxxXxxxxxx’ minimum Bonus shall be no less than 10% of his Base Salary for the applicable fiscal year.