October 18, 1995
RV OFFICER INCENTIVE COMPENSATION PLAN
GROUP I
FISCAL PERIOD 1995-1996
WINNEBAGO INDUSTRIES, INC.
FOREST CITY, IOWA
PURPOSE
The purpose of this plan is to provide greater incentive to employees in officer
positions, who contribute to the success of the Company, by enabling them to
participate in that success, and to aid in attracting and retaining employees
who will contribute to the progress and profitability of the Company.
It is the purpose of this plan to attract, obtain, develop, motivate, and retain
capable officer personnel, stimulate constructive and imaginative thinking, and
otherwise contribute to the growth and profits of the corporation.
ADMINISTRATION
The plan prior to each new fiscal year must meet the approval of the Human
Resource Committee of the Board of Directors. The Human Resource Committee may
establish such rules and regulations as it deems necessary for proper
administration of this plan and may amend or revoke any rule or regulation so
established.
PARTICIPANTS
Recommendation of a participant must be made by the President of Winnebago
Industries, Inc.
MINIMUM QUALIFICATIONS REQUIRED OF PARTICIPANTS:
1. Participant must be an officer with specific responsibilities which can
impact the corporation.
2. Participants must be employed for the entire fiscal year to be eligible for
the bonus and in addition, participant must be employed at the time the
bonus is paid except as waived by the Human Resource Committee.
NATURE OF THE PLAN
The incentive award is based on the performance of the CORPORATION.
This is a bonus based upon the Company's attainment of a predetermined profit
goal for the fiscal quarter. The profit goal is to be recommended by the Human
Resource Committee and approved by the Board of Directors each quarter at the
beginning of the fiscal quarter.
The profit goal, for purposes of this plan, will be the "Incentive Compensation
Profit" which shall mean the combined gross income from the operation of the
Company less the combined expenses, deductions and credits of the Company
attributable to such operations. In computing the incentive compensation profit,
no deduction shall be taken or allowance made for federal or state income taxes,
or any expenses associated with retirement plans or incentive compensation
plans. Incentive awards are determined in proportion to the actual operating
profit generated for the quarter in relation to the profit goal that was set. If
the operating profit achieved is less than 80 percent of goal set, no bonus is
paid and the maximum bonus paid at 120 percent of the profit goal.
METHOD OF PAYMENT
The quarterly amount of a participant's incentive compensation for the quarter
shall be the percentage of the total amount of base salary received by the
individual the fiscal quarter when he was a participant in the plan. 60% of the
quarterly amount of the earned bonus will be paid within 45 days after the close
of the fiscal quarter and the remainder of the bonus due will be paid after the
books have been audited at the end of the fiscal year providing the Company has
made its objective in each quarter. Bonuses will be paid as follows:
NUMBER OF QUARTERS AMOUNT OF THE BONUS
OBJECTIVE WAS MADE HOLDBACK TO BE PAID
1 25%
2 50%
3 75%
4 100%
The attached quarterly bonus formula developed for the Officers Group I of
Winnebago Industries provides a 40 percent bonus calculation for a 100 percent
achievement of operating profit.
A participant who leaves the Company for any reason will forfeit all rights to
incentive payments that particular fiscal quarter and fiscal year.
Approved By:
Fred Dohrmann Dated
President & C.E.O.
Frederick M. Zimmerman Dated
Chairperson, Human Resource Committee
of the Winnebago Board of Directors
INCENTIVE COMPENSATION PLAN
QUARTERLY BONUS FORMULA
1995-1996 FISCAL
PERCENT OF BONUS % PERCENT OF BONUS %
OPERATING PROFIT OFFICER EXECUTIVE MANAGEMENT OPERATING PROFIT OFFICER EXECUTIVE MANAGEMENT
80.0 10 7.50 5.0 100.0 40 30.00 20.0
80.7 11 8.25 5.5 100.7 41 30.75 20.5
81.3 12 9.00 6.0 101.3 42 31.50 21.0
82.0 13 9.75 6.5 102.0 43 32.25 21.5
82.7 14 10.50 7.0 102.7 44 33.00 22.0
83.3 15 11.25 7.5 103.3 45 33.75 22.5
84.0 16 12.00 8.0 104.0 46 34.50 23.0
84.7 17 12.75 8.5 104.7 47 35.25 23.5
85.3 18 13.50 9.0 105.3 48 36.00 24.0
86.0 19 14.25 9.5 106.0 49 36.75 24.5
86.7 20 15.00 10.0 106.7 50 37.50 25.0
87.3 21 15.75 10.5 107.3 51 38.25 25.5
88.0 22 16.50 11.0 108.0 52 39.00 26.0
88.7 23 17.25 11.5 108.7 53 39.75 26.0
89.3 24 18.00 12.0 109.3 54 40.50 27.0
90.0 25 18.75 12.5 110.0 55 41.25 27.5
90.7 26 19.50 13.0 110.7 56 42.00 28.0
91.3 27 20.25 13.5 111.3 57 42.75 28.5
92.0 28 21.00 14.0 112.0 58 43.50 29.0
92.7 29 21.75 14.5 112.7 59 44.25 29.5
93.3 30 22.50 15.0 113.3 60 45.00 30.0
94.0 31 23.25 15.5 114.0 61 45.75 30.5
94.7 32 24.00 16.0 114.7 62 46.50 31.0
95.3 33 24.75 16.5 115.3 63 47.25 31.5
96.0 34 25.50 17.0 116.0 64 48.00 32.0
96.7 35 26.25 17.5 116.7 65 48.75 32.5
97.3 36 27.00 18.0 117.3 66 49.50 33.0
98.0 37 27.75 18.5 118.0 67 50.25 33.5
98.7 38 28.50 19.0 118.7 68 51.00 34.0
99.3 39 29.25 19.5 119.3 69 51.75 34.5
120.0 70 52.50 35.0