Applicable Annual Bonus definition
Applicable Annual Bonus means the greater of Executive's actual annual incentive bonus from the Company earned in the fiscal year immediately preceding the fiscal year in which Executive's termination date falls or Executive's target annual incentive bonus (e.g., 80% of Base Salary) for the year in which Executive's termination date falls; and
Applicable Annual Bonus means the greatest of (i) the amount determined by adding together the dollar amounts of all annual incentive compensation awards payable to Executive with respect to the last three complete 12-month fiscal year of DIRECT III completed before the Termination Date and dividing the sum so obtained by three, (ii) the target amount payable to Executive under the Annual Incentive Plan for the year in which the termination Date occurs, and (iii) the target amount payable to Executive under the Annual Incentive Plan for the first year in which a Change of Control occurs.
Examples of Applicable Annual Bonus in a sentence
For purposes of calculating his Final Average Compensation under the SERP, Employee’s Base Salary as in effect on the date of termination shall be used as his Base Salary for such additional years of credited service, and Employee’s Applicable Annual Bonus (as defined in Paragraph 10(a)(ii) below) shall be used as his annual incentive bonus for such additional years of credited service.