Performance Discount Clause Samples

A Performance Discount clause establishes a reduction in the price payable if certain performance targets or service levels are not met by the provider. Typically, this clause outlines specific metrics or benchmarks that must be achieved, and details the calculation or percentage of the discount applied if these standards are not fulfilled. Its core practical function is to incentivize high performance and provide a financial remedy to the client if agreed-upon service levels are not maintained.
Performance Discount. As used in this Section 2.2(b) only "previous calendar quarter" shall refer to the first two (2) months of the previous calendar quarter and the last month of the next preceding calendar quarter. For each performance standard set forth in Exhibit B ("Performance Standard") that was met or exceeded by Nova Factor in the previous calendar quarter, the relevant additional discount amount shall be added to the Base Discount for the current calendar quarter, up to a maximum of * percentage * (*%). For each incentive standard set forth in Exhibit B ("Incentive Standard") that was met or exceeded by Nova Factor in the previous calendar quarter, the relevant additional discount amount shall be added to the base * Omitted information is the subject of a request for confidential treatment pursuant to Rule 406 under the Securities Act of 1933 and has been filed separately with the Securities Exchange Commission. Discount for the current calendar quarter, up to a maximum of * percentage * (*%), for a maximum total addition under this Section 2.2 (b) of * percentage * (*%) in the aggregate. For each Performance Standard set forth in Exhibit B that Nova Factor failed to meet in the previous calendar quarter, the relevant discount amount for a failure to meet such standard shall be deducted from the Base Discount for the current calendar quarter, up to a maximum deduction of * percentage * (*%) ("Reduced Performance Standard"). For each Incentive Standard set forth in Exhibit B that Nova Factor failed to meet in the previous calendar quarter, the relevant discount amount for a failure to meet such standard shall be deducted from the Base Discount for the current calendar quarter, up to a maximum deduction of * percentage * (*%), for a maximum total deduction under this Section 2.2(b) of * percentage * (*%) in the aggregate. The maximum combined Base Discount, additional Performance Standard discount and additional Incentive Standard discount shall not exceed *% in any calendar quarter through December 31, 1998, and shall not exceed *% in any calendar quarter from January 1, 1999 through termination or expiration of this Agreement.
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Related to Performance Discount

  • Performance Pay In accordance with Section 8 of the General Appropriations Act for Fiscal Year 2020-2021, contingent upon the availability of funds and at the Agency Head’s discretion, each agency is authorized to grant merit pay increases based on the employee’s exemplary performance, as evidenced by a performance evaluation conducted pursuant to Rule 60L-35, Florida Administrative Code.

  • Annual Incentive Bonus The Company shall, in addition to Executive’s Base Salary, pay Executive an Annual Incentive Bonus, which shall be payable within 120 days of the end of each fiscal year in accordance with the formula set forth on Exhibit A, attached hereto and made a part hereof.

  • Incentive Bonus During the Term, Employee shall be eligible to receive an incentive bonus up to the amount, based upon the criteria, and payable in such amount, at such times as are specified in Exhibit A attached hereto. The manner of payment, and form of consideration, if any, shall be determined by the Compensation Committee of the Board, in its sole and absolute discretion, and such determination shall be binding and final. To the extent that such bonus is to be determined in light of financial performance during a specified fiscal period and this Agreement commences on a date after the start of such fiscal period, any bonus payable in respect of such fiscal period's results may be prorated. In addition, if the period of Employee's employment hereunder expires before the end of a fiscal period, and if Employee is eligible to receive a bonus at such time (such eligibility being subject to the restrictions set forth in Section 6 below), any bonus payable in respect of such fiscal period's results may be prorated.

  • Performance Adjustment One-twelfth of the annual Performance Adjustment Rate will be applied to the average of the net assets of the Portfolio (computed in the manner set forth in the Fund's Declaration of Trust or other organizational document) determined as of the close of business on each business day throughout the month and the performance period.

  • Performance Bonuses The Executive will be eligible to receive an annual cash bonus at an annualized rate of up to 40% of his base salary, based on the achievement of reasonable individual and Company performance targets to be established by the Company and Parent.