EXHIBIT 10.25

 

2012 Annual Bonus Plan

 

On March 30, 2012, the Compensation Committee of the Board of Directors of Walker & Dunlop, Inc. (the “Company”) adopted specific performance criteria that the Compensation Committee will consider when making cash bonus awards for 2012 to the Company’s named executive officers, William Walker, Howard Smith, Deborah Wilson, Richard Warner, and Richard Lucas.  These performance criteria are listed below for each of the named executive officers.  For each named executive officer, achievement of applicable performance criteria at the threshold, target or maximum levels will result in bonuses of up to 75%, 100% and 150%, respectively, of such officer’s base salary, subject to the exercise of negative discretion by the Compensation Committee.  The percentage weight amounts attributable to each performance goal will be interpolated, if possible, on a straight line basis if achievement of the performance goals falls between the specified goals for the threshold and target levels or between the target and maximum levels.

 

	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
Goal Attainment Level
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
Threshold
    	
 
    	
Target
    	
 
    	
Maximum
    	
 
    
	
 
    	
 
    	
Bonus Award Value
    	
 
    	
Up   to 75% of Target Bonus & Weighting of Goal
    	
 
    	
Up   to 100% of Target Bonus * Weighting of Goal
    	
 
    	
Up   to 150% of Target Bonus * Weighting of Goal
    	
 
    


 

William Walker

Chairman, President & CEO

 

	
 
    	
 
    	
 
    	
 
    	
Goal Attainment Level
    	
 
    
	
Goal
    	
 
    	
Weighting
    	
 
    	
Threshold
    	
 
    	
Target
    	
 
    	
Maximum
    	
 
    
	
Revenue
    	
 
    	
30
    	
%
    	
$
    	
152,350,000
    	
 
    	
$
    	
168,590,000
    	
 
    	
$
    	
178,798,000
    	
 
    
	
Earnings Per Share
    	
 
    	
30
    	
%
    	
$
    	
1.53
    	
 
    	
$
    	
1.61
    	
 
    	
$
    	
1.67
    	
 
    
	
Operating Margin
    	
 
    	
20
    	
%
    	
29
    	
%
    	
34
    	
%
    	
35
    	
%
    
	
Diversify Revenues (GSE revenues defined (for this   metric) as aggregate Fannie Mae and Freddie Mac origination fees, MSR   revenues and servicing fees; as a percentage of total revenues)
    	
 
    	
20
    	
%
    	
69.0% of total revenues derived from GSEs
    	
 
    	
67.3% of total revenues derived from GSEs
    	
 
    	
65.6% of total revenues derived from GSEs
    	
 
    


 

Howard Smith

Executive Vice President & COO

 

	
 
    	
 
    	
 
    	
 
    	
Goal Attainment Level
    	
 
    
	
Goal
    	
 
    	
Weighting
    	
 
    	
Threshold
    	
 
    	
Target
    	
 
    	
Maximum
    	
 
    
	
Revenue
    	
 
    	
20
    	
%
    	
$
    	
152,350,000
    	
 
    	
$
    	
168,590,000
    	
 
    	
$
    	
178,798,000
    	
 
    
	
Earnings Per Share
    	
 
    	
30
    	
%
    	
$
    	
1.53
    	
 
    	
$
    	
1.61
    	
 
    	
$
    	
1.67
    	
 
    
	
Operating Margin
    	
 
    	
10
    	
%
    	
29
    	
%
    	
34
    	
%
    	
35
    	
%
    
	
Completion of an acquisition of a capital markets   business or grow capital markets group originations
    	
 
    	
20
    	
%
    	
N/A or $137,500,000
    	
 
    	
1 Acquisition or $275,000,000
    	
 
    	
2 or more Acquisitions or $343,750,000
    	
 
    
	
Growth in Originations
    	
 
    	
20
    	
%
    	
$
    	
4,025,917,000
    	
 
    	
$
    	
4,677,975,000
    	
 
    	
$
    	
5,177,975,000
    	
 
    


 











 

Deborah Wilson

Executive Vice President & CFO

 

	
 
    	
 
    	
 
    	
 
    	
Goal Attainment Level
    	
 
    
	
Goal
    	
 
    	
Weighting
    	
 
    	
Threshold
    	
 
    	
Target
    	
 
    	
Maximum
    	
 
    
	
Revenue
    	
 
    	
20
    	
%
    	
$
    	
152,350,000
    	
 
    	
$
    	
168,590,000
    	
 
    	
$
    	
178,798,000
    	
 
    
	
Earnings Per Share
    	
 
    	
30
    	
%
    	
$
    	
1.53
    	
 
    	
$
    	
1.61
    	
 
    	
$
    	
1.67
    	
 
    
	
Operating Margin
    	
 
    	
10
    	
%
    	
29
    	
%
    	
34
    	
%
    	
35
    	
%
    
	
Completion of the servicing and closing components   of the SalesForce/General Ledger integration project by 12/31/2012
    	
 
    	
20
    	
%
    	
Committee Discretion
    	
 
    	
Committee Discretion
    	
 
    	
Committee Discretion
    	
 
    
	
Net Warehouse Interest Income
    	
 
    	
20
    	
%
    	
$
    	
4,247,000
    	
 
    	
$
    	
5,378,000
    	
 
    	
$
    	
6,722,500
    	
 
    


 

Richard Warner

Executive Vice President & CCO

 

	
 
    	
 
    	
 
    	
 
    	
Goal Attainment Level
    	
 
    
	
Goal
    	
 
    	
Weighting
    	
 
    	
Threshold
    	
 
    	
Target
    	
 
    	
Maximum
    	
 
    
	
Revenue
    	
 
    	
20
    	
%
    	
$
    	
152,350,000
    	
 
    	
$
    	
168,590,000
    	
 
    	
$
    	
178,798,000
    	
 
    
	
Earnings Per Share
    	
 
    	
30
    	
%
    	
$
    	
1.53
    	
 
    	
$
    	
1.61
    	
 
    	
$
    	
1.67
    	
 
    
	
Operating Margin
    	
 
    	
10
    	
%
    	
29
    	
%
    	
34
    	
%
    	
35
    	
%
    
	
Credit Loss Provisions (net of any provisions from   an acquisition)
    	
 
    	
30
    	
%
    	
$
    	
6,600,000
    	
 
    	
$
    	
6,000,000
    	
 
    	
$
    	
4,724,000
    	
 
    
	
Underwriting Cost per Loan
    	
 
    	
10
    	
%
    	
$
    	
18,315
    	
 
    	
$
    	
17,443
    	
 
    	
$
    	
16,571
    	
 
    


 

Richard Lucas

Executive Vice President & GC

 

	
 
    	
 
    	
 
    	
 
    	
Goal Attainment Level
    	
 
    
	
Goal
    	
 
    	
Weighting
    	
 
    	
Threshold
    	
 
    	
Target
    	
 
    	
Maximum
    	
 
    
	
Revenue
    	
 
    	
20
    	
%
    	
$
    	
152,350,000
    	
 
    	
$
    	
168,590,000
    	
 
    	
$
    	
178,798,000
    	
 
    
	
Earnings Per Share
    	
 
    	
30
    	
%
    	
$
    	
1.53
    	
 
    	
$
    	
1.61
    	
 
    	
$
    	
1.67
    	
 
    
	
Operating Margin
    	
 
    	
10
    	
%
    	
29
    	
%
    	
34
    	
%
    	
35
    	
%
    
	
Diversify Revenues (GSE revenues defined (for this   metric) as aggregate Fannie Mae and Freddie Mac origination fees, MSR   revenues and servicing fees; as a percentage of total revenues)
    	
 
    	
20
    	
%
    	
69.0% of total revenues derived from GSEs
    	
 
    	
67.3% of total revenues derived from GSEs
    	
 
    	
65.6% of total revenues derived from GSEs
    	
 
    
	
Proactively manage Legal and Human Resources   Issues
    	
 
    	
20
    	
%
    	
Committee Discretion
    	
 
    	
Committee Discretion
    	
 
    	
Committee Discretion