RESTRUCTURING BONUS. Together with Pet▇▇ ▇▇▇▇▇, Executive has assumed primary responsibility for obtaining the payment in its entirety of the Company's current bank debt of $29,198,715 (the "Debt"). If the Debt is so repaid, or if it is assumed, or if only ministerial steps remain to complete such repayment or assumption, during the twelve (12) month period beginning on the date this amended Agreement is approved by the bankruptcy court (the "Performance Measurement Period"), Executive shall be entitled to receive a payment ("Unenhanced Restructuring Bonus") equal to $125,000, provided Executive is employed under the Agreement at that time. Executive shall receive the following additional payments (individually and collectively referred to as "the Unsecured Creditor Bonus" and, together with the Unenhanced Restructuring Bonus, the "Restructuring Bonus") if amounts specified in the tiers below are made available for unsecured creditors at any time after this amended Agreement is approved by the Bankruptcy Court, provided the amounts are made available as a result of Executive's efforts, such as, by way of example and not limitation, as a result of a reorganization plan that was confirmed by the Bankruptcy Court at a time the Executive was employed by the Company: (i) $150,000 if a total of $5 million above the Debt is available for unsecured creditors; (ii) another $65,000 (in addition to the first $150,000) if a total of $7 million above the Debt is available for unsecured creditors; (iii) another $70,000 (in addition to the $150,000 and the $65,000) if a total of $9 million above the Debt is available for unsecured creditors; and (iv) in addition to the $150,000, $65,000 and $70,000 bonus amounts, up to another $320,000 more by calculating four percent (4%) of every dollar recovered in excess of $9 million up to $17 million total available to unsecured creditors. The Restructuring Bonus shall be increased by an additional $146,000 if the Debt is eliminated or assumed within the first three (3) months of the Performance Measurement Period, or by $73,000 if the Debt is eliminated or assumed thereafter, but within the first six (6) months of the Performance Measurement Period, both additions (individually a "Time Enhancement") to be conditioned upon availability of funds to unsecured creditors as follows: Executive will receive (i) 20 percent of the relevant Time Enhancement if $5 million total recovery is available to unsecured creditors; (ii) 30 percent of the relevant Time Enhancement if $7 million total recovery is available to unsecured creditors; (iii) 40 percent of the relevant Time Enhancement if $9 million total recovery is available to unsecured creditors; and (iv) 100 percent of relevant Time Enhancement if more than $9 million total recovery is available to unsecured creditors. The Unenhanced Restructuring Bonus shall be deposited into escrow upon entry of the order approving the Employee Retention Plan, and shall be paid to Executive within ten (10) days of the date the Debt is eliminated or assumed, subject to the conditions set forth in the final two sentences of this Subsection. The Unsecured Creditor Bonus, if applicable, shall be paid to Executive within ten (10) days after achievement of the targets for sums available to unsecured creditors, subject to the conditions set forth in the following two sentences of this Subsection, provided, however, that no Unsecured Creditor Bonus shall be paid until an Order is entered by the Bankruptcy Court, on notice to all parties, which includes a finding that a sufficient amount of money with respect to a specific target is available for payment to unsecured creditors or, if earlier, actual payment to the unsecured creditors. Any Restructuring Bonus (including Time Enhancements) shall be paid only if and to the extent sufficient funds remain after the Debt is eliminated or assumed. If the remaining funds are insufficient to pay a full Restructuring Bonus to both Executive and to Pet▇▇ ▇▇▇▇▇, ▇he two shall share the available funds on a pro rata basis.
Appears in 1 contract
RESTRUCTURING BONUS. Together with PetAnt▇▇▇▇ ▇▇▇▇▇▇▇▇▇, Executive has assumed primary responsibility for obtaining the payment in its entirety of the Company's current bank debt of $29,198,715 (the "Debt"). If the Debt is so repaid, or if it is assumed, or if only ministerial steps remain to complete such repayment or assumption, assumption during the twelve (12) month period beginning on the date this amended Agreement is approved by the bankruptcy court (the "Performance Measurement Period"), Executive shall be entitled to receive a payment ("Unenhanced Restructuring Bonus") equal to $125,00050,000, provided Executive is employed under the Agreement at that time. Executive shall receive the following additional payments (individually and collectively referred to as the "the Unsecured Creditor Bonus" and, together with the Unenhanced Restructuring Bonus, the "Restructuring Bonus") if amounts specified in the tiers below are made available for unsecured creditors at any time after this amended Agreement is approved by the Bankruptcy Court, provided the amounts are made available as a result of Executive's efforts, such as, by way of example and not limitation, as a result of a reorganization plan that was confirmed by the Bankruptcy Court at a time the Executive was employed by the Company: (i) $150,000 60,000 if a total of $5 million above the Debt is available for unsecured creditors; (ii) another $65,000 26,000 (in addition to the first $150,00060,000) if a total of $7 million above the Debt is available for unsecured creditors; (iii) another $70,000 28,000 (in addition to the $150,000 60,000 and the $65,00026,000) if a total of $9 million above the Debt is available for unsecured creditors; and (iv) in addition to the $150,00060,000, $65,000 26,000 and $70,000 28,000 bonus amounts, up to another $320,000 128,000 more by calculating four one and six-tenths percent (41.6%) of every dollar recovered in excess of $9 million up to $17 million total available to unsecured creditors. The Unenhanced Restructuring Bonus shall be increased by an additional $146,000 73,000 if the Debt is eliminated or assumed within the first three (3) months of the Performance Measurement Period, Period or by $73,000 36,500 if the Debt is eliminated or assumed thereafter, but within the first six (6) months of the Performance Measurement Period, both additions (individually a "Time Enhancement") to be conditioned upon availability of funds to unsecured creditors as follows: Executive will receive (i) 20 percent of the relevant Time Enhancement if $5 million total recovery is available to unsecured creditors; (ii) 30 percent of the relevant Time Enhancement if $7 million total recovery is available to unsecured creditors; (iii) 40 percent of the relevant Time Enhancement if $9 million total recovery is available to unsecured creditors; , and (iv) 100 percent of the relevant Time Enhancement if more than $9 million total recovery is available to unsecured creditors. The Unenhanced Restructuring Bonus shall be deposited into escrow upon entry of the order approving the Employee Retention Plan, and shall be paid to Executive within ten (10) days of the date the Debt is eliminated or assumed, subject to the conditions set forth in the final two sentences of this Subsection. The Unsecured Creditor Bonus, if applicable, shall be paid to Executive within ten (10) days after achievement of the targets for sums available to unsecured creditors, subject to the conditions set forth in the following two sentences of this Subsection, provided, however, that no Unsecured Creditor Bonus shall be paid until an Order is entered by the Bankruptcy Court, on notice to all parties, which includes a finding that a sufficient amount of money with respect to a specific target is available for payment to unsecured creditors or, if earlier, actual payment to the unsecured creditors. Any Restructuring Bonus (including Time Enhancements) shall be paid only if and to the extent sufficient funds remain after the Debt is eliminated or assumed. If the remaining funds are insufficient to pay a full Restructuring Bonus to both Executive and to Pet▇▇ ▇▇▇▇▇, ▇he two shall share the available funds on a pro rata basis.
Appears in 1 contract