010-9134-2706/1
1
Core Molding Technologies,
Inc.
Salaried Employee Bonus Plan
Purpose
This
Core Molding Technologies,
Inc. Salaried Employee Bonus
Plan (“
Plan
”) is designed to
motivate and
compensate eligible
salaried employees,
in 2020
,
through cash
bonuses based
on the
achievement of
business
performance objectives.
The Plan
is intended
to be
the primary
vehicle for
the granting
of
cash bonuses
by Core
Molding Technologies,
Inc. (the “
Company
”) and recognizes
the 2020 requirements
to continue the
turnaround of
the Company, the ongoing effects on the business of COVID 19 and the Company’s new debt covenant requirements.
However, the Company may,
in certain limited circumstances, grant cash bonuses outside of this program, in the sole
discretion of the Company’s Board
of Directors (“
Board
”).
The annual bonuses contemplated under the
Plan are subject, in part, to
the achievement of specific performance goals
set previously by the Company
during 2020,
as described in this
Plan. The Board may also
consider plant performance
and individual Salaried Employee performance in its determination of
annual bonuses under the Plan.
Eligibility
All full-time and part
-time salaried employees
who are employed by
the Company prior
to October 1,
2020, or who
were offered a
bonus in an employment
offer letter with
a date after
October 1, 2020,
(“
Salaried
Employees
”) will
be eligible to receive an annual bonus
under the Plan, unless a Salaried Employee
is not actively employed on the date
of the payment of the bonus.
Salaried Employees who meet the eligibility requirements
set out above but were not Salaried Employees for
the full
year will be paid any annual bonus on a pro rata basis based upon the
Salaried Employee’s eligible base salary earned
during the year.
Salaried Employees who do not work
a full Plan Year because they were out of work
on an approved
leave of absence for part of
the Plan Year
will be eligible to receive an annual
bonus on a pro rata basis based
on the
actual amount of eligible base salary earned during the year as
determined by the Board.
Bonus Performance Goals
Each Salaried
Employee will be
assigned an annual
bonus target
percentage for
the year (“
Annual
Bonus Target
%”)
based upon
the Salaried
Employee’s position
with the
Company. The
Annual Bonus
Target
% will
be a
percentage of the Salaried Employee’s
annual base salary.
If the Company achieves the business performance results
established by
the Board
(“
Annual Goal
”), Salaried
Employees will
be eligible
to receive
an annual
bonus as
Any annual bonuses
paid pursuant to
the Plan will
vary depending upon
the Salaried Employee’s
level of position
with the Company and other factors determined by the Board
.
2020 Plan Year
For the Company’s 2020
calendar fiscal year annual bonuses, the Company’s
minimum Annual Goal is pre-bonus
Earnings Before Interest, Taxes,
Depreciation and Amortization (“
EBITDA
”) of $16,700,000, target Annual Goal is
EBITDA of $20,350,000, and maximum Annual Goal is EBITDA of
$24,000,000.
The Annual Bonus Target
% for
