Summary Description of 2012 Bonus Plan



 Exhibit 10.3 
 Summary of the 2012 Alphatec Holdings, Inc. Bonus Plan 
 2012 Bonus Plan for
Management Employees Located in the United States, other than Dirk Kuyper and Steve Lubischer 
 With respect management employees located in
the United States, other than Dirk Kuyper and Steve Lubischer, the target cash bonuses for fiscal year 2012 were determined according to a formula expressed as percentages of the respective employee’s base salary, and is subject to adjustments
based on the percentage to which the targeted applicable performance criteria is achieved, which other than with respect to Les Cross, our Chairman and Chief Executive Officer, is predicated on the achievement of (i) certain free cash flow targets
generated in accordance with the Company’s 2012 operating plan that was approved by the Company’s Board of Directors (80% of the total amount of the target bonus); and (ii) each employee’s achievement of certain individual goals
related to such employee’s individual objectives for 2012 (80% of the total amount of the target bonus). With respect to Mr. Cross, 100% of his target bonus is predicated on the achievement of the free cash flow targets described above. The
Compensation Committee approved all financial criteria for the awarding of such cash bonuses and the financial criteria was presented to each of the employees for his or her confirmation of the achievability of such criteria. In the event the
employees exceed such target levels, they are entitled to receive cash bonuses based on higher percentages of their respective base salaries. The table below sets forth for each of the “Named Executive Officers” (as such term is defined in
Item 402 of Regulation S-K) for the year ended December 31, 2011 (other than Dirk Kuyper, Steve Lubischer and Mitsuo Asai) that is currently employed by us, and our current Chief Financial Officer, the percentage of the base salary that
such executive is eligible to receive as a cash bonus under the 2012 Bonus Plan upon the achievement of the target financial levels. 
  

									
	 Name
	  	2012
Base Salary	 	  	2012 Target
Bonus
Percentage	 
	 Les Cross
	  	$	500,000	  	  	 	75	% 
	 Michael O’Neill
	  	$	325,000	  	  	 	50	% 
	 Pat Ryan
	  	$	350,000	  	  	 	50	% 

 2012 Bonus Plan for Management Employees Located Outside of the United States, including Mitsuo Asai 

With respect to management employees located outside of the United States, including Mitsuo Asai, the target cash bonuses for fiscal year 2012 were
determined according to a formula expressed as percentages of the respective employee’s base salary, and is subject to adjustments based on the percentage to which the targeted applicable performance criteria is achieved, which in 2012 is
predicated on the achievement of (i) revenue and operating income targets generated in accordance with the Company’s 2012 operating plan that was approved by the Company’s Board of Directors (40% of the total amount of the target bonus);
(ii) certain free cash flow targets generated in accordance with the Company’s 2012 operating plan that was approved by the Company’s Board of Directors (40% of the total amount of the target bonus); and (iii) certain regional accounts
receivable targets (20% of the total amount of the target bonus). The Compensation Committee approved all financial criteria for the awarding of such cash bonuses and the financial criteria was presented to each of the employees for his or her
confirmation of the achievability of such criteria. In the event the employees exceed such target levels, they are entitled to receive cash bonuses based on higher percentages of their respective base salaries. 

2012 Bonus Plan for Dirk Kuyper, President Global Commercial Operations 
 With respect to Mr. Kuyper, the amount, if any, of his cash bonus for fiscal year 2012 shall be determined based upon the Company’s achievement of certain global sales targets. Mr. Kuyper’s does
not have a target bonus amount based on a percentage of his base salary. The Compensation Committee approved all financial criteria for the awarding of such cash bonus and the financial criteria was presented to Mr. Kuyper for his confirmation
of the achievability of such criteria. 







 2012 Bonus Plan for Stephen Lubischer, Vice President, Sales 

With respect to Mr. Lubischer, the target cash bonus for fiscal year 2012 was determined based upon the Company’s achievement of certain sales
targets in the U.S. Upon 100% achievement of all of such sales targets, Mr. Lubischer’s bonus will equal approximately 85% of his base salary of $249,900. The Compensation Committee approved all financial criteria for the awarding of such
cash bonus and the financial criteria was presented to Mr. Lubischer for his confirmation of the achievability of such criteria. In the event that U.S. sales exceed certain target levels, Mr. Lubischer is entitled to receive a cash bonus
that is higher than the percentage of his base salary set forth above.