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CEVA INC FILES (8-K) Disclosing Change in Directors or Principal Officers, Financial Statements and Exhibits

February 4, 2014

ITEM 5.02. DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN OFFICERS On January 29, 2014 , the Compensation Committee of the Board of Directors of CEVA, Inc. approved a 2014 Incentive Plan (the "Ohana 2014 Plan") for Issachar Ohana , the Company's Executive Vice President, Worldwide Sales, effective as of January 1, 2014 . In accordance with the Ohana 2014 Plan, which is substantially similar to Mr. Ohana's 2013 Incentive Plan, his bonus is based on a formula using a specified 2014 annual revenue target multiplied by a specified commission rate. A commission multiplier of 1.0 is applied to the commission rate based on 0% to 100% achievement of the 2014 annual revenue target. A commission multiplier of 1.5 is applied to the commission rate based on the achievement of the 2014 annual revenue target beyond 100%. The 2014 annual revenue target is based on the Company's internal 2014 budget approved by its Board of Directors. Mr. Ohana's bonus based on the achievement of the 2014 annual revenue target is capped at $125,000 . In addition, Mr. Ohana is eligible to receive an additional quarterly bonus of $5,000 each if specified quarterly revenue targets based on the 2014 annual revenue target are achieved. Furthermore, Mr. Ohana is eligible to receive an additional bonus of $5,000 each time he successfully executes a license agreement with a specified strategic customer that exceeds one million dollars (not including prepaid royalties). The 2014 strategic account bonus is capped at $20,000 if the Company fails to achieve the 2014 annual revenue target but Mr. Ohana would not be subject to any cap if the 2014 annual revenue target is achieved. The commission-based bonus is payable quarterly based on the criteria discussed above and is subject to payroll taxes and tax withholdings. Due to their strategic significance, the Company believes that the disclosure of the 2014 annual revenue target, quarterly revenue targets, commission rate and information relating to the strategic customer accounts under the Ohana 2014 Plan would cause competitive harm to the Company and therefore are not disclosed. The foregoing description of the Ohana 2014 Plan is qualified in its entirety by reference to the complete text of the plan which is attached as Exhibit 10.1 to this Current Report on Form 8-K and is incorporated herein by reference. ITEM 9.01. Financial Statements and Exhibits. (d) Exhibits. 10.1 2014 Incentive Plan for Issachar Ohana , EVP Worldwide Sales (portions of this exhibit is redacted). 2 --------------------------------------------------------------------------------


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Source: Edgar Glimpses


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