Exhibit 10.2


 





American
Science & Engineering


 


1      FY 20_ Short Term
Incentive Bonus Plan Document


 


2      OBJECTIVE


 


The
objective of the American Science & Engineering (“AS&E” and/or the
“Company”) FY 20_ Short Term Incentive (“STI”) Bonus Plan (the “Plan”) is
to reward designated employees for achieving the AS&E’s FY ‘_ management
objectives and business goals, and to clearly set forth the policies governing
the payment of  bonuses based on these
factors.


 


3      PLAN


 


1.     The Plan is effective from April 1, 20_ through
March 31, 20_ and governs the payment of STI bonus based on
individual and corporate criteria.


 


2.     AS&E Reserves the right
to modify or suspend the Plan, in whole or in part, for any reason at any
time.  Notice of any modification or
suspension will be made to the eligible employee in writing.


 


3.     The Plan will be governed
by, construed and enforced in accordance with the laws of the Commonwealth of
Massachusetts, USA.


 


4.     The Plan will be
administered by the Senior Vice President Human Resources (“SVP HR”) in
consultation with other members of the senior staff and any issues regarding
its administration will be resolved jointly by the SVP HR and the Chief
Financial Officer (“CFO”).  The Company
CEO will approve final recommendations.


 


5.     In the event that any
portion of the Plan is held to be invalid, the invalidity will not affect the
remaining provisions, which will continue in full force and effect.


 


4      PARTICIPATION


 


Designated persons actively
employed by AS&E in the United States or in a foreign location (“Participants”)
shall be eligible to participate in the Plan upon execution of the Plan
Document and an FY 20_ Goal Schedule (“Schedule”).


 


Participation in the Plan
does not alter the Participant’s status as employees at will of AS&E, and
does not alter individual employment contracts, if applicable, and does not
obligate AS&E to continue to employ the Participants during the term of the
Plan.


 


In the event of a transfer,
leave of absence, or promotion, during the Plan year, and unless otherwise governed
by a relevant in force employment contract, the SVP HR and CFO will determine
any compensation earned under the terms of the Plan.


 


In the event a Participant’s
employment with AS&E is terminated for any reason before the end of the
fiscal year, and unless otherwise governed by a relevant in force employment
contract, all rights to bonus payment under the Plan will cease with the
following exceptions:


 


a.     Termination by reason of
death.  In the event that the employee
dies during the plan year, the participant will receive a “Target” bonus
payment prorated for the number of months worked under the plan.  In the event the employee dies after the plan
year but before final payment they will receive the payout they would have
received under the terms of the plan as if death had not occurred.


 


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b.     Termination by reason of
change in control.  In the event of a
change in control during the plan year, the participant will received a “Target”
bonus payment prorated for the number of months worked under the plan.  In the event of a change in control after the
plan year but before final payment they will receive the payout they would have
received under the terms of the plan as if a change in control had not occurred.


 


D.    CALCULATION


 


1.     Bonus:


 


a.     Target Bonus (“TB”) is calculated as a percentage of base wages earned for
the period of time during the fiscal year in which the employee is a
participant in the plan.


b.     Half (50%) of the target
bonus is based on the achievement of Individual Performance Goals (“IPG”) as defined on the Participants’ individual goal
schedule.  In most cases this will be 3
or 4 goals.


c.     Half (50%) of the target
bonus is based on corporate performance factor (CPF)
as defined by appropriate financial measures for the plan year.


d.     At least Threshold results
on an IPG must be achieved to receive bonus credit for that IPG.


e.     “Threshold” is defined as
80% of CPF for corporate measures and as
specified on the participants’ goal schedule for IPG.


f.      “Target” is defined as 100%
of CPF for corporate measures and as
specified on the participants’ goal schedule for IPG.


g.     No bonus will be paid if the
company does not achieve at least the Threshold results on the Operating Income
corporate goal.


h.     Bonus achievement is
calculated using the following formula:


 


CPF * ((50% of TB * IPG) +50% of TB)


 


2.     Calculating percentages:  Percentage of target bonus
payment is calculated by prorating the following measurement categories:


 


	
  a.
  Threshold:

  	
   

  	
  50%

  
	
  b.
  Target:

  	
   

  	
  100%

  
	
  c.
  Over target:

  	
   

  	
  see
  below

  



 


Percent of Individual Performance Goal Achievement is capped at 100%
(target).


Percent of Corporate Performance Factor is capped at 200%.


 


Any awards above this amount are at the sole discretion of the Board of
Directors


 


E.  PAYMENT OF BONUS


 


1.     Bonus is paid as soon as
possible after the closure of the company’s fiscal year and upon certification
of financial results by the Company’s independent auditors and Board of
Directors but not later than March 15 of the following year.


 


2.     Payment will typically be
made in cash.  However, the company
reserves the right to make payments in stock or other equivalent forms of
compensation at the Company’s discretion.


 


3.     Participants must be
employees in good standing at the end of the fiscal year to receive any bonus
payment.


 


 


	
  Participant:

  	
   

  	
   

  	
  Date:

  	
   

  	
   

  



 


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