2005 Store Support & DC
TEAMSHARE
Serve your Customers, Simplify Processes, Control Expenses, Work Smart. . .
TEAMSHARE is an annual incentive program designed to encourage high performance, while rewarding employees for their commitment to Dollar General’s success. It’s called TEAMSHARE because itrequires teamwork. . .our TEAMSHARE goals can only be met through the effort of every DG employee. Reaching our goals requires dedication to establishing cost efficiencies, simplifying processes, and focusing on customers.Strive for excellence in 2005!
Your 2005 TEAMSHARE Plan
Fiscal Year-end Total Net Income | Bonus Level | Your Bonus |
| | | |
$____________ | 3 | _____% |
$____________ | 2 | _____% |
$____________ | 1 | _____% |
* Plan information is non-public and confidential. | |
How Does it Work?
Your TEAMSHARE bonus is based on the Company’s total net income at fiscal year-end. That means if Dollar General’s year-end net income is $______________, you will receive a “1st Level” TEAMSHARE bonus. If the year-end net income is $_______________, you will receive a “2nd Level” TEAMSHARE bonus. Payout opportunities between “levels” are possible.
You can calculate your bonus using the following formula:
Base Pay x Bonus Payout Opportunity x mos. of service
12 months
Please refer to program guidelines (on back of page) for more details.
What is Net Income?
Net Income = Gross Margin – Operating Expenses, Interest Expense and Taxes
Note: May exclude unusual items as approved from time to time by the Compensation Committee of the Board of Directors.
·
Operating Expenses = Payroll, Supplies, Operating Costs, Utilities, etc.
Strive for excellence in 2005!
GUIDELINES
Who’s Eligible?
An employee must meeteach of the following criteria:
1.
Regular, full-time or part-time Store Support or DC employee during the fiscal year.
2.
Actively employed with Dollar General on March 15, 2006. An employee terminated for gross misconduct after March 15, 2006 will forfeit his/her bonus.
3.
Receive a year-end performance rating of “meets standard” (1.75) or greater.
Months of Service
Bonuses are pro-rated based on the number of months employed during the fiscal year.An employee must be hired/rehired on or before the 15th of the month to receive credit for the month.
Example
Jane Doe hired on June 20, 2005.
Jane will not receive credit for June as the majority of the month is over.
Jane will receive credit for July, 2005 – January, 2006.
Jane will receive a pro-rated bonus for seven months = 7/12
Rehired Employees
Employees who leave the company and arerehired during the same fiscal year will be bonus eligible from the date of rehireunless rehired within 30 days from the date of termination. Service will be bridged for persons who are away from the Company less than 30 days. Persons who are rehired after 30 days forfeit any bonus amount earned during the fiscal year prior to termination.
Transfers/Promotions
Employees who also worked in a retail position during the fiscal year are eligible for a pro-rated bonus from each bonus plan.Note: Eligibility requirements must be met in each respective plan to receive a bonus from that plan.
Example
District Manager from Jan 29, 2005 – June 12, 2006 = 4/12 District bonus plan
Corporate employee from June 13, 2005 – Feb 3, 2006 = 8/12 Store Support bonus plan
Employees on Leave of Absence
Employees onleave are eligible for a pro-rated bonus based on the number of months worked during the fiscal year (provided employment has not terminated before March 15, 2006).
Bonus Payout
If theCompany meets its performance goals andyou meet the eligibility guidelines, you will be eligible for a TEAMSHARE bonus! Please note that the IRS considers a bonus to be supplemental income. Therefore, the minimum federal tax, as well as FICA and other applicable state taxes, are deducted as required.
Your bonus will be paid as soon as possible after the Company year-end performance results are available. Generally, checks are issued in April.
* Dollar General reserves the right to adjust, amend or suspend the TEAMSHARE program at any time.
