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COMS > SEC Filings for COMS > Form 8-K on 27-Jan-2009All Recent SEC Filings

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Form 8-K for 3COM CORP


27-Jan-2009

Change in Directors or Principal Officers


Item 5.02 Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers. Executive Officer Bonus Criteria for the Second Half of Fiscal Year 2009. On January 23, 2009, the Compensation Committee of the Board of Directors of 3Com Corporation approved the following methodology to determine executive officer cash bonuses for the second half of fiscal 2009:
• The Committee set the following financial goals, each of which can be met individually and independent of attainment of other metrics (the weighting of each metric based on a 100% target bonus opportunity is in parens):

• For Messrs. Robert Y. L. Mao, Ronald Sege, Jay Zager, Neal D. Goldman and Dr. Shusheng Zheng: specified financial goals for:

• consolidated revenue (50%)

• consolidated non-GAAP operating profit (25%) and

• consolidated cash from operations (25%).

• For each financial metric, the bonus potential ranges from 50%-200% of the target amounts previously disclosed for each executive, based on the degree of attainment of the specified financial metrics. For each metric described above, the Committee set goals for bonus at three levels:

• "threshold" (the achievement of which will result in a bonus opportunity amount of 50% of target bonus amounts);

• "target" (the achievement of which will result in a bonus opportunity amount of 100% of target bonus amounts); and

• "maximum" (the achievement of which will result in a bonus opportunity amount of 200% of target bonus amounts).

• In addition, the actual bonus opportunity amount will be based on a sliding scale for achievement attained in between specified levels, although for any single metric no amount will count towards the bonus opportunity unless, at a minimum, the "threshold" achievement level is attained for that metric.


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