Exhibit 10.1
Summary of Short Term Incentive Compensation Arrangements
The following table summarizes the criteria to be used in determining the bonus amounts:
Criteria | Lower Threshold Amount | Target Bonus | Maximum Bonus | Percent of Total Maximum Bonus |
Production increase based on Mcf equivalents | 8% | 10% | 12% | 40% |
Diluted earnings per share | $2.10 | $2.31 | $2.42 | 30% |
Discretionary evaluation | Compensation Committee Determination | 30% | ||
Payments of bonus amounts based on the criteria above will begin at the lower threshold and increase proportionally as the metric increases. The following table summarizes the lower threshold, target and maximum bonus amounts for each covered executive based on each of the bonus criteria set forth in the table above:
Executive | Position | Lower Threshold Amount | Target Bonus | Maximum Bonus |
Steven R. Williams | CEO | $111,300 | $238,500 | $413,400 |
Thomas E. Riley | President | $50,400 | $126,000 | $201,600 |
Eric R. Stearns | Executive VP | $46,200 | $115,500 | $184,800 |
Darwin L. Stump | CFO | $42,000 | $105,000 | $168,000 |
