EX-10.1 2 g94715exv10w1.txt EX-10.1 PSYCHIATRIC SOLUTIONS, INC. CASH BONUS POLICY Exhibit 10.1 JOEY JACOBS PSYCHIATRIC SOLUTIONS, INC. BONUS POLICY POSITION: CHIEF EXECUTIVE OFFICER EFFECTIVE DATE: JANUARY 1, 2005 Bonuses will be based on the following criteria: 1. 60% - actual EBITDA for the year of the Company versus budget. 2. 20% - achieve its adjusted EPS. 3. 20% - other criteria. 4. Collection of annual revenues must be at least 95% of revenues recorded to be eligible for a bonus payment. Maximum incentive bonus eligibility shall be 105% of salary (award will be prorated if not a full calendar year). Eligibility for bonus will begin upon achievement of 90% of EBITDA, 70% of salary will be earned at budgeted EBITDA, and 105% of salary (maximum) at 110% of EBITDA budget and above. Bonus amounts will be prorated between achieving 90% and 110% of budgeted EBITDA according to the following schedule. % Actual to Budgeted EBITDA 90% - 100% 0%-70% of salary for bonus 100.01% - 110% 70.01%-105% of salary for bonus Actual Adjusted EPS $1.37 or less 0% $1.38-$1.42 0%-69% $1.43-$1.50+ 70%-105%
BONUSES ARE DISCRETIONARY. The Company shall make final determination regarding eligibility and accounting decisions and in determining actual bonus amounts. All bonuses must be reviewed and approved by the Compensation Committee of the Board of Directors of Psychiatric Solutions before they are final. /s/ Joey A. Jacobs Date: April 21, 2005 --------------------------------- Psychiatric Solutions, Inc. President and CEO STEVE DAVIDSON PSYCHIATRIC SOLUTIONS, INC. BONUS POLICY POSITION: CHIEF DEVELOPMENT OFFICER EFFECTIVE DATE: JANUARY 1, 2005 Bonuses will be based on the following criteria: 1. 60% - actual EBITDA for the year of the Company versus budget. 2. 20% - achieve its adjusted EPS. 3. 20% - other criteria. 4. Collection of annual revenues must be at least 95% of revenues recorded to be eligible for a bonus payment. Maximum incentive bonus eligibility shall be 67.5% of salary (award will be prorated if not a full calendar year). Eligibility for bonus will begin upon achievement of 90% of EBITDA, 45% of salary will be earned at budgeted EBITDA and 67.5% of salary (maximum) at 110% of EBITDA budget and above. Bonus amounts will be prorated between achieving 90% and 110% of budgeted EBITDA according to the following schedule. % Actual to Budgeted EBITDA 90% - 100% 0%-45% of salary for bonus 100.01% - 110% 45.01%-67.5% of salary for bonus Actual Adjusted EPS $1.37 or less 0% $1.38-$1.42 0%-44% $1.43-$1.50+ 45%-67.5%
BONUSES ARE DISCRETIONARY. The Company shall make final determination regarding eligibility and accounting decisions and in determining actual bonus amounts. All bonuses must be reviewed and approved by the Chief Executive Officer of Psychiatric Solutions before they are final. AN EMPLOYEE MUST BE ACTIVELY EMPLOYED WITH PSYCHIATRIC SOLUTIONS AT THE TIME BONUSES ARE PAID. SHOULD AN EMPLOYEE NOT BE ACTIVELY EMPLOYED AT THE TIME BONUSES ARE PAID THEN HE/SHE FORFEITS HIS/HER ELIGIBILITY TO RECEIVE ANY BONUS. /s/ Joey A. Jacobs Date: April 21, 2005 --------------------------------- Psychiatric Solutions, Inc. President and CEO BRENT TURNER PSYCHIATRIC SOLUTIONS, INC. BONUS POLICY POSITION: VP - TREASURER AND INVESTOR RELATIONS EFFECTIVE DATE: JANUARY 1, 2005 Bonuses will be based on the following criteria: 1. 60% - actual EBITDA for the year of the Company versus budget. 2. 20% - achieve its adjusted EPS. 3. 20% - other criteria. 4. Collection of annual revenues must be at least 95% of revenues recorded to be eligible for a bonus payment. Maximum incentive bonus eligibility shall be 67.5% of salary (award will be prorated if not a full calendar year). Eligibility for bonus will begin upon achievement of 90% of EBITDA, 45% of salary will be earned at budgeted EBITDA and 67.5% of salary (maximum) at 110% of EBITDA budget and above. Bonus amounts will be prorated between achieving 90% and 110% of budgeted EBITDA according to the following schedule. % Actual to Budgeted EBITDA 90% - 100% 0%-45% of salary for bonus 100.01% - 110% 45.01%-67.5% of salary for bonus Actual Adjusted EPS $1.37 or less 0% $1.38-$1.42 0%-44% $1.43-$1.50+ 45%-67.5%
BONUSES ARE DISCRETIONARY. The Company shall make final determination regarding eligibility and accounting decisions and in determining actual bonus amounts. All bonuses must be reviewed and approved by the Chief Executive Officer of Psychiatric Solutions before they are final. AN EMPLOYEE MUST BE ACTIVELY EMPLOYED WITH PSYCHIATRIC SOLUTIONS AT THE TIME BONUSES ARE PAID. SHOULD AN EMPLOYEE NOT BE ACTIVELY EMPLOYED AT THE TIME BONUSES ARE PAID THEN HE/SHE FORFEITS HIS/HER ELIGIBILITY TO RECEIVE ANY BONUS. /s/ Joey A. Jacobs Date: April 21, 2005 --------------------------------- Psychiatric Solutions, Inc. President and CEO JACK POLSON PSYCHIATRIC SOLUTIONS, INC. BONUS POLICY POSITION: CHIEF ACCOUNTING OFFICER EFFECTIVE DATE: JANUARY 1, 2005 Bonuses will be based on the following criteria: 1. 60% - actual EBITDA for the year of the Company versus budget. 2. 20% - achieve its adjusted EPS. 3. 20% - other criteria. 4. Collection of annual revenues must be at least 95% of revenues recorded to be eligible for a bonus payment. Maximum incentive bonus eligibility shall be 67.5% of salary (award will be prorated if not a full calendar year). Eligibility for bonus will begin upon achievement of 90% of EBITDA, 45% of salary will be earned at budgeted EBITDA and 67.5% of salary (maximum) at 110% of EBITDA budget and above. Bonus amounts will be prorated between achieving 90% and 110% of budgeted EBITDA according to the following schedule. % Actual to Budgeted EBITDA 90% - 100% 0%-45% of salary for bonus 100.01% - 110% 45.01%-67.5% of salary for bonus Actual Adjusted EPS $1.37 or less 0% $1.38-$1.42 0%-44% $1.43-$1.50+ 45%-67.5%
BONUSES ARE DISCRETIONARY. The Company shall make final determination regarding eligibility and accounting decisions and in determining actual bonus amounts. All bonuses must be reviewed and approved by the Chief Executive Officer of Psychiatric Solutions, before they are final. AN EMPLOYEE MUST BE ACTIVELY EMPLOYED WITH PSYCHIATRIC SOLUTIONS AT THE TIME BONUSES ARE PAID. SHOULD AN EMPLOYEE NOT BE ACTIVELY EMPLOYED AT THE TIME BONUSES ARE PAID THEN HE/SHE FORFEITS HIS/HER ELIGIBILITY TO RECEIVE ANY BONUS. /s/ Joey A. Jacobs Date: April 21, 2005 ----------------------------- Psychiatric Solutions, Inc. President and CEO JACK SALBERG PSYCHIATRIC SOLUTIONS, INC. BONUS POLICY POSITION: CHIEF OPERATING OFFICER EFFECTIVE DATE: JANUARY 1, 2005 Bonuses will be based on the following criteria: 1. 70% - actual EBITDA for the year of the Company versus budget. 2. 20% - achieve its adjusted EPS. 3. 10% - other criteria. 4. Collection of annual revenues must be at least 95% of revenues recorded to be eligible for a bonus payment. Maximum incentive bonus eligibility shall be 75% of salary (award will be prorated if not a full calendar year). Eligibility for bonus will begin upon achievement of 90% of EBITDA, 50% of salary will be earned at budgeted EBITDA, and 75% of salary (maximum) at 110% of EBITDA budget and above. Bonus amounts will be prorated between achieving 90% and 110% of budgeted EBITDA according to the following schedule. % Actual to Budgeted EBITDA 90% - 100% 0%-50% of salary for bonus 100.01% - 110% 50.01%-75% of salary for bonus Actual Adjusted EPS $1.37 or less 0% $1.38-$1.42 0%-49% $1.43-$1.50+ 50%-75%
BONUSES ARE DISCRETIONARY. The Company shall make final determination regarding eligibility and accounting decisions and in determining actual bonus amounts. All bonuses must be reviewed and approved by the Chief Executive Officer of Psychiatric Solutions before they are final. AN EMPLOYEE MUST BE ACTIVELY EMPLOYED WITH PSYCHIATRIC SOLUTIONS AT THE TIME BONUSES ARE PAID. SHOULD AN EMPLOYEE NOT BE ACTIVELY EMPLOYED AT THE TIME BONUSES ARE PAID THEN HE/SHE FORFEITS HIS/HER ELIGIBILITY TO RECEIVE ANY BONUS. /s/ Joey A. Jacobs Date: April 21, 2005 ------------------------------------ Psychiatric Solutions, Inc. President and CEO