FORM A
Published on March 1, 2007
EXHIBIT
10.t
Standard
Form A of Executive Bonus Plan for 2007
FOR:
[Name of Executive]
The
elements of the plan are as follows:
1. PROFIT
TO PLAN
The
Profit to Plan element will be paid according to the following scale up to
a
maximum of 30%
of your
annual salary:
|
Rollins
Inc. Pre-Tax Profit to Plan Achievement
|
Annual
% of Salary
|
|
105.0%
|
30.00%
|
|
102.5%
|
25.00%
|
|
100%
|
20.00%
|
|
97.5%
|
15.00%
|
|
95%
|
10.00%
|
The
Company must have a profit and a profit improvement for this element to be
paid.
|
Your
CY[Year]
Pre-Tax Profit Plan is:
|
$[TARGET
AMOUNT]
|
|
Annual
[Year]
|
2. PROFIT
INCREASE OVER LAST YEAR
You
will
be paid [1.44%
for chairman of the board, 1.6% for CEO of Rollins, 0.96% for President of
Orkin, 0.308% for Senior Vice President and Secretary, 0.32% for Chief Financial
Officer and Treasurer]
of the
profit increase up to the maximum of 20%
of your
annual salary.
The
Company must have a profit and a profit improvement for this element to be
paid.
|
Your
CY[Last
Year]
Pre-Tax Adjusted Profit base was:
|
$______________
|
|
Actual
[Year]
|
3. COMBINED
REVENUE GROWTH
The
Combined Revenue Growth element will be paid according to the following scale
up
to a maximum of 30%
of your
annual salary:
|
Percentage
Increase over Prior Year
|
Revenue
$ Increase
|
Annual
% of Salary
|
|
8.00%
|
$
___________
|
30%
|
|
7.50%
|
$
___________
|
25%
|
|
7.00%
|
$
___________
|
20%
|
|
6.50%
|
$
___________
|
15%
|
|
6.00%
|
$
___________
|
10%
|
|
5.50%
|
$
___________
|
5%
|
|
5.00%
|
$
___________
|
2.5%
|
The
Company must have a profit and a profit improvement for this element to be
paid.
Your
CY[Year]
Combined
Revenue Plan is:
|
$[Plan
Year target amount]
|
$________________
|
[Target
percentage]
|
|
|
Annual
’07
|
Actual
’06
|
%
increase
|
Glossary
of Terms and Conditions
[Year]
Rollins, Inc. Executive
Bonus
Plan
I. General
Plan Qualifiers and Provisions
|
A.
|
The
plan year for this bonus is January 1, 20__ to December 31,
20__.
|
|
|
B.
|
Your
bonus plan is subject to change each
year.
|
|
C.
|
Your
bonus will be calculated using your actual current base salary
as of
December 31, 20__.
|
|
D.
|
Your
eligibility for a bonus and the amount due will be determined
solely by
the Company.
|
|
E.
|
Bonus
payments will be made in one lump sum no later than March 15,
20__, minus
applicable state and federal taxes. Other deductions may apply,
e.g.,
401(K) deductions, etc.
|
|
F.
|
You
must be employed in the same position on December 31, 20__ to
be eligible
for a bonus, except as described below in
(H.)
|
|
G.
|
You
will not receive a bonus if for any reason you are in a position
on
December 31, 20__ that is not eligible for a bonus or if you
are not
actively employed on the date that the bonus is
paid.
|
|
H.
|
If
you are promoted during the plan year from one bonus-eligible
position to
another bonus-eligible position, the bonus components common
to both plans
carry over to the new position. Plan components unique to the
original
bonus-eligible position will be paid based on time spent in the
position
(must be at least 50 percent of the plan year). Bonus amounts
on these
unique components will be calculated at the time of the transfer
based on
year-to-date results.
|
|
I.
|
If
you are hired into a bonus-eligible position during the year,
or if you
are promoted during the plan year from a position that is ineligible
for a
bonus into a bonus-eligible position, you will be eligible for
a pro-rated
bonus if you are in the bonus-eligible position for at least
50 percent of
the plan year.
|
|
J.
|
You
will not receive any bonus if you falsify documents, violate
company
policy or know of such actions by employees under your direction
without
taking corrective actions.
|
|
K.
|
Any
disputes over your bonus will be resolved by the Compensation
Committee.
|
|
L.
|
The
Compensation Committee reserves the right to reward outstanding
performance in unique situations by awarding an employee a bonus
outside
the terms of the 20__ Home Office Bonus
Plan.
|
|
M.
|
The
actual profit from which the bonus may be determined may be subject
to
adjustments as recommended by the President and approved by the
Compensation Committee for the year
20__.
|
|
N.
|
Acquisitions
over $5,000,000 in revenue will be added to the Company strategic
plan
(revenue and profit) based on a pro forma of the acquisition
model for
bonus calculations.
|
II. Plan
Components
|
A.
|
General
Provisions
|
The
20__
Home Office Executive Bonus Plans divide bonus opportunity into three
components: profit to plan performance, profit increase over last year,
and
combined revenue to planned increase. No bonus will be paid under any component
if Rollins Inc.’s pre-tax profit does not result in a profit improvement in
20__, as compared to 20__.
|
B.
|
Profit
Increase Performance
Component
|
If
Rollins Inc.’s pre-tax profit in 20__ increases compared to 20__, you will
receive a percentage of your salary up to the maximum allowable percentage
of
salary under your bonus plan for this component based on a scale. A pro-rata
calculation will be made for actual results that are between the levels
on the
scale to the tenths decimal place value.
|
C.
|
Profit
To Plan Performance
Component
|
If
Rollins Inc.’s pre-tax profit meets or exceeds 95% of the Company’s plan in
20__, you will receive a bonus based on a scale up to the maximum allowable
percentage of salary under your bonus plan for this component. Payouts
will
begin at 95% of Profit Plan and rise to 100% payout at 105% of Profit Plan.
A
pro-rata calculation will be made for actual results that are between the
levels
on the scale to the tenths decimal place value.
|
D.
|
Combined
Revenue Growth
|
If
Rollins Inc.’s combined revenue increase meets or exceeds 5.0% of the Company’s
combined revenues for 20__, you will receive a bonus based on a scale up
to the
maximum allowable percentage of salary under your bonus plan for this component.
ACKNOWLEDGMENT
I
have
received and read a copy of my Incentive Plan with the accompanying Glossary
of
Terms and Conditions. I understand that participation in this Plan should
in no
way be construed as a contract or promise of employment and/or compensation.
Employment is at-will, and therefore employment and compensation can terminate,
with or without cause and with or without notice, at any time at the option
of
the Company or employee. I also understand that this Incentive Plan will
be
subject to review, and likely to change next year.
|
________________________________________
|
___________
|
|
Plan
Participant
|
Date
|