![]() 2014 Executive Cash Incentive Bonus Plan Exhibit 10.71 |
![]() Bonus Plan Structure – Table of Contents Metrics Annual Weighting of metrics Target Payouts by quarter Target setting Target leverage and ranges Miscellaneous CONFIDENTIAL Copyright © 2013 Constant Contact Inc. 2 |
![]() Metrics QRG Defined as quarterly revenue growth. Adjusted EBITDA Margin Adjusted EBITDA is calculated by taking GAAP net income, adding depreciation and amortization, stock-based compensation, adjusting for taxes and contingent consideration adjustment (if any), then subtracting interest and other income, net. Adjusted EBITDA margin is equal to adjusted EBITDA divided by revenue. Individual Performance Objectives (MBOs) MBOs will be focused on identifiable and measurable objectives related to specific areas of responsibility (measured semi-annually). CONFIDENTIAL Copyright © 2013 Constant Contact Inc. 3 |
![]() CEO Executive Officers (except CEO) QRG 75% 50% Adjusted EBITDA Margin 25% 15% MBOs -- 35% 100% 100% Annual Weighting of Metrics CONFIDENTIAL Copyright © 2013 Constant Contact Inc. 4 |
![]() Target Payouts by Quarter (CEO) Q1 Q2 Q3 Q4 Total QRG 18.75% 18.75% 18.75% 18.75% 75% Adjusted EBITDA Margin 6.25% 6.25% 6.25% 6.25% 25% 25% 25% 25% 25% 100% CONFIDENTIAL Copyright © 2013 Constant Contact Inc. 5 |
![]() Target Payouts by Quarter (Executive Officers, except CEO) Q1 Q2 Q3 Q4 Total QRG 12.5% 12.5% 12.5% 12.5% 50% Adjusted EBITDA Margin 3.75% 3.75% 3.75% 3.75% 15% MBOs -- 17.5% -- 17.5% 35% 16.25% 33.75% 16.25% 33.75% 100% CONFIDENTIAL Copyright © 2013 Constant Contact Inc. 6 |
![]() Target Setting QRG Set by Compensation Committee at beginning of year and mid-year based on budget approved by the Board of Directors. Adjusted EBITDA Margin Set by Compensation Committee at beginning of year and mid-year based on budget approved by the Board of Directors. Individual MBOs Set by CEO at beginning of year for each executive officer and reviewed by Compensation Committee. CONFIDENTIAL Copyright © 2013 Constant Contact Inc. 7 |
![]() Target Leverage and Ranges QRG Minimum target QRG achievement threshold – payout at 50% of target. Baseline QRG achievement – payout at 100% of target. Budget QRG achievement – payout at 125% of target. Maximum target QRG achievement threshold – payout at 250% of target. See chart on next page. Adjusted EBITDA Margin Minimum target Adjusted EBITDA Margin threshold – (target less one percentage point); payout at 95% of target. Maximum target Adjusted EBITDA Margin threshold – (target plus one percentage point); payout at 115% of target. See chart on next page. MBOs Minimum threshold established for each executive officer. Maximum payment established for each executive officer (capped at 200%). Payout equal to weighted % attainment of objective. CONFIDENTIAL Copyright © 2013 Constant Contact Inc. 8 |
![]() Achievement < Target EBITDA – 1% Point Target EBITDA - 1% Point Target EBITDA % Target EBITDA + 1% Point > Target EBITDA + 1% Point (and above) Payout Percentage¹ 0% 95% 100% 115% 115% QRG Leverage Model Adjusted EBITDA Margin Model 1 Linear interpolation between primary data points 1 Linear interpolation between primary data points Target Leverage and Ranges CONFIDENTIAL Copyright © 2013 Constant Contact Inc. 9 Min Baseline Budget Max Achievement 65% 69% 73% 76% 80% 85% 90% 95% 100% 118% 135% 153% 170% Payout 50% 63% 75% 88% 100% 106% 113% 119% 125% 156% 188% 219% 250% |
![]() Miscellaneous All payments under the 2014 Executive Cash Incentive Bonus Plan are subject to the Clawback Policy adopted by the Compensation Committee in December 2013. CONFIDENTIAL Copyright © 2013 Constant Contact Inc. 10 |