QuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10(o)  


 
 

STANDARD FORM A OF
  EXECUTIVE BONUS PLAN    
    


[Rollins logo] Executive Offices  


PERSONAL & CONFIDENTIAL  



	TO:	 	[NAME OF RECIPIENT]	 	FROM:	 	Gary W. Rollins*
	

 	
 	
* [cover memo is not delivered with Gary Rollins's bonus plan]
	

DATE:	
 	

[DATE]	
 	

OFFICE:	
 	

[TITLE OF RECIPIENT]
	

SUBJECT:	
 	
[CURRENT YEAR] EXECUTIVE BONUS PLAN
	

COPIES:	
 	

file	
 	

 	
 	

 





        I
am pleased to enclose your [PREVIOUS YEAR] Executive Bonus check and worksheet. 


        Additionally,
the Rollins, Inc. Board of Directors Compensation Committee has approved your participation in a [CURRENT
YEAR] Executive Bonus Plan program and the details of your bonus opportunity are enclosed. 


        This
plan is designed to support shareholder interests by rewarding you for Rollins Inc.'s achievements in the areas of Profit Improvements, Profit to Plan, and Combined Revenues
to Plan. 


        Attached
are two copies of your [CURRENT YEAR] Executive Bonus Plan. Please keep one copy for your records and
return one signed copy to Human Resources for company record keeping purposes. Also attached is a copy of the Agreement to Arbitrate, which, according to our Company Dispute Resolution Policy, is a
required document of every bonus-eligible employee. Please return a signed copy of the Agreement to Arbitrate with your signed bonus plan. You are required to sign it only once. 


        With
your assistance we expect [CURRENT YEAR] to be a continuation of our profit and revenue successes that we've
established over recent years. Your individual efforts will be key to the success of the Company for our employees and shareholders. 







[TITLE OF RECIPIENT]
  Incentive Compensation Plan—[PLAN YEAR]  


FOR:  [NAME OF RECIPIENT] 


        The
elements of the plan are as follows: 


1.     PROFIT TO PLAN  


        The Profit to Plan element will be paid according to the following scale up to a maximum of 20% of your annual salary: 



	Rollins Inc. Pre-Tax Profit

to Plan Achievement
	 	Annual % of Salary
	 
	100+%	 	20	%
	97.5%	 	15	%
	95%	 	10	%
	90%	 	5	%






        The
Company must have a profit and a profit improvement for this element to be paid. 



	Your CY [YEAR] Pre-Tax Profit Plan is:	 	$[TARGET AMOUNT]
Annual [YEAR]





2.     PROFIT INCREASE OVER LAST YEAR  


        You will be paid [1.85% for chairman of the board, 2.17% for CEO of Rollins, 1.09% for President of
Orkin] of the profit increase up to the maximum of 20% of your annual salary. 


        The
Company must have a profit and a profit improvement for this element to be paid. 



	Your CY[LAST YEAR] Pre-Tax Adjusted Profit base was:	 	$

	 	 	Annual '0    





3.     COMBINED REVENUE TO PLANNED INCREASE  


        The Revenue to Planned Increase element will be paid according to the following scale up to a maximum of 20% of your annual salary: 



	Rollins Inc. Combined

Net Revenue to

Planned Increase Achievement
	 	Planned Percentage Increase

over Prior Year
	 	Annual % of Salary

	100%	 	            %	 	20%
	95 – 99.9%	 	            %	 	15%
	90 – 94.9%	 	            %	 	10%
	85 – 89.9%	 	            %	 	5%





        The
Company must have a profit and a profit improvement for this element to be paid. 


        Your
CY0        Combined Revenue Plan is: 



	$[plan year target amt.]	 	$            	 	[target percentage]
	Annual '0    	 	Actual '0    	 	% increase









Glossary of Terms and Conditions

[year] Rollins, Inc. Executive Bonus Plan  


I.     General Plan Qualifiers and Provisions  



	A.
	The
plan year for this bonus is January 1, 200            to December 31, 200            .



	B.
	Your
bonus plan is subject to change each year.



	C.
	Your
bonus will be calculated using your actual current base salary as of December 31, 200            .



	D.
	Your
eligibility for a bonus and the amount due will be determined solely by the Company.



	E.
	Bonus
payments will be made in one lump sum no later than March 15, 200            , minus applicable state and federal taxes. Other deductions may apply, e.g., 401(K)
deductions, etc.



	F.
	You
must be employed in the same position on December 31, 200            to be eligible for a bonus, except as described below in (H.)



	G.
	You
will not receive a bonus if for any reason you are in a position on December 31, 200            that is not eligible for a bonus or if you are not actively employed on
the date that the bonus is paid.



	H.
	If
you are promoted during the plan year from one bonus-eligible position to another bonus-eligible position, the bonus components common to both plans carry over to the new position.
Plan components unique to the original bonus-eligible position will be paid based on time spent in the position (must be at least 50 percent of the plan year). Bonus amounts on these unique
components will be calculated at the time of the transfer based on year-to-date results.



	I.
	If
you are hired into a bonus-eligible position during the year, or if you are promoted during the plan year from a position that is ineligible for a bonus into a bonus-eligible
position, you will be eligible for a pro-rated bonus if you are in the bonus-eligible position for at least 50 percent of the plan year.



	J.
	You
will not receive any bonus if you falsify documents, violate company policy or know of such actions by employees under your direction without taking corrective actions.



	K.
	Any
disputes over your bonus will be resolved by the Compensation Committee.



	L.
	The
Compensation Committee reserves the right to reward outstanding performance in unique situations by awarding an employee a bonus outside the terms of the 200            Home
Office Bonus Plan.



	M.
	The
actual profit from which the bonus may be determined may be subject to adjustments as recommended by the President and approved by the Compensation Committee for the year
200            .



	N.
	Acquisitions
over $5,000,000 in revenue will be added to the Company strategic plan (revenue and profit) based on a pro forma of the acquisition model for bonus calculations. 






II.    Plan Components



	A.
	General Provisions





The
200            Home Office Executive Bonus Plans divide bonus opportunity into three components: profit to plan performance, profit increase over last year, and combined revenue to planned
increase. No bonus will be paid under any component if Rollins Inc.'s pre-tax profit does not result in a profit improvement in 200            , as compared to
200            . 












	B.
	Profit Increase Performance Component





If
Rollins Inc.'s pre-tax profit in 200            increases compared to 200            , you will receive a percentage of the
profit increase up to the maximum allowable
percentage of salary under your bonus plan for this component. 



	C.
	Profit To Plan Performance Component





If
Rollins Inc.'s pre-tax profit meets or exceeds 90% of the Company's plan in 200            , you will receive a bonus based on a scale up to the maximum allowable percentage
of salary under your bonus plan for this component. Payouts will begin at 90% of Profit Plan and rise to 100% payout at 100% of Profit Plan. 



	D.
	Combined Revenue to Planned Increase





If
Rollins Inc.'s combined revenues meet or exceed 85% of the Company's revenue planned increase for 200            , you will receive a bonus based on a scale up to the maximum allowable
percentage of salary under your bonus plan for this component. 





ACKNOWLEDGMENT 



I
have received and read a copy of my Incentive Plan with the accompanying Glossary of Terms and Conditions. I understand that participation in this Plan should in no way be construed as a contract or
promise of employment and/or compensation. Employment is at-will, and therefore employment and compensation can terminate, with or without cause and with or without notice, at any time at
the option of the Company or employee. I also understand that this Incentive Plan will be subject to review, and likely to change next year. 



	
 Plan Participant	 	
 Date













QuickLinks


STANDARD FORM A OF EXECUTIVE BONUS PLAN