Document:

Exhibit 10.13

 

SALARIES
AND OTHER COMPENSATION OF EXECUTIVE OFFICERS

 

The table
below shows a summary of the amounts of compensation paid to the Company’s
executive officers for the last three fiscal years.

 

	
  Name and Principal

   Position

  	
   

  	
  Year

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  All Other Compensation

   (3)

  	
   

  
	
   

  	
   

  
	
   

  	
  Long Term Compensation

  
	
   

  
	
   

  	
  Restricted

  Stock

  Awards

  (2)

  	
   

  	
  Securities

  Underlying

  Options

  (Shares)

  
	
  Annual Compensation

  (1)

  
	
  Salary

  	
   

  	
  Bonus

  
	
  John W. Elias 

     Chairman of the Board,
  President and Chief Executive Officer 

  	
   

  	
  2004

  	
   

  	
  $

  	
   350,000

  	
   

  	
  (4

  	
  )

  	
  $

  	
   93,852

  	
   

  	
  50,000

  	
   

  	
  $

  	
  4,040

  	
   

  
	
   

  	
  2003

  	
   

  	
  $

  	
  350,000

  	
   

  	
  $

  	
  200,000

  	
   

  	
  —

  	
   

  	
  50,000

  	
   

  	
  $

  	
  2,630

  	
   

  
	
   

  	
  2002

  	
   

  	
  $

  	
  350,000

  	
   

  	
  $

  	
  149,000

  	
   

  	
  —

  	
   

  	
  74,000

  	
   

  	
  $

  	
  2,630

  	
   

  
	
  Michael G. Long Senior Vice President and Chief
  Financial Officer 

  	
   

  	
  2004

  	
   

  	
  $

  	
  178,500

  	
   

  	
  (4

  	
  )

  	
  $

  	
  47,203

  	
   

  	
  —

  	
   

  	
  $

  	
  6,500

  	
   

  
	
   

  	
  2003

  	
   

  	
  $

  	
  166,700

  	
   

  	
  $

  	
  59,000

  	
   

  	
  $

  	
  29,808

  	
   

  	
  —

  	
   

  	
  $

  	
  6,000

  	
   

  
	
   

  	
  2002

  	
   

  	
  $

  	
  159,500

  	
   

  	
  $

  	
  56,800

  	
   

  	
  —

  	
   

  	
  12,000

  	
   

  	
  $

  	
  5,500

  	
   

  
	
  John O. Tugwell Senior Vice President and
  Chief OperatingOfficer 

  	
   

  	
  2004

  	
   

  	
  $

  	
  183,000

  	
   

  	
  (4

  	
  )

  	
  $

  	
  47,203

  	
   

  	
  —

  	
   

  	
  $

  	
  5,935

  	
   

  
	
   

  	
  2003

  	
   

  	
  $

  	
  172,000

  	
   

  	
  $

  	
  59,000

  	
   

  	
  $

  	
  29,808

  	
   

  	
  —

  	
   

  	
  $

  	
  6,000

  	
   

  
	
   

  	
  2002

  	
   

  	
  $

  	
  164,500

  	
   

  	
  $

  	
  57,900

  	
   

  	
  —

  	
   

  	
  12,000

  	
   

  	
  $

  	
  6,981

  	
   

  

 

(1)           Other
annual compensation for the named individuals during each of 2004, 2003 and
2002 did not exceed the lesser of $50,000 or 10% of the annual compensation earned
by such individual.

 

(2)                                  Restricted stock
awards are made pursuant to the Incentive Plan. The dollar value included in
the table reflects the valuation at the time of the award. An award of 3,576
shares of restricted stock was made to each of Messrs. Long and Tugwell on
April 1, 2004.  The shares were not
issued at the time of the award and will be issued ratably over three years
beginning April 1, 2005 in accordance with the vesting schedule for the award.
Awards of restricted stock, all of which provide that actual shares are issued
only upon vesting, have also been made in prior periods.  An award of 7,200 shares of restricted stock
was made to each of Messrs. Long and Tugwell on April 1, 2003.  The shares were not issued at the time of the
award and will be issued ratably over three years beginning April 1, 2004
in accordance with the vesting schedule for the award.  Awards of restricted 

 

 

stock, all of which provide that actual shares are issued only upon
vesting, have also been made in prior periods. 
If actual shares had been issued at grant for the restricted stock
awards made in 2004 and all prior periods, the number and value of restricted
shares held by the named officers at December 31, 2004 would be as follows: Mr.
Elias: 7,110 shares ($103,664); Mr. Long: 8,376 shares ($122,122); and Mr.
Tugwell: 8,376 shares ($122,122).

 

(3)                                  In
the case of Mr. Elias, amounts shown represent payments by the Company for life
insurance on his account. In the case of Messrs. Long and Tugwell, amounts
shown represent the Company’s contributions under its 401(k) Plan. No amounts
are included for Mr. Tugwell for payments received by him in respect of
overriding royalty interests granted prior to his becoming an executive
officer.

 

(4)                                  Bonus
awards for 2004 performance are not determined as of the date of this Form 10-K
and are described in further detail in the “Description of 2004 Bonus Program”
included herein and incorporated by reference.Exhibit 10.14

 

DESCRIPTION OF 2004
BONUS PROGRAM FOR EXECUTIVE OFFICERS

 

Under the Company’s bonus program, the annual bonus of the executive
officers is determined by recommendation of the Compensation Committee, after
reviewing recommendations of the Chairman and Chief Executive Officer, which is
then submitted for approval by the full Board. 
The amount of bonus that may be earned is based on a targeted percentage
of the executive officer’s annual salary, subject to a maximum-targeted
percentage. Subject to adjustment by the Board of Directors, the bonuses of the
executive officers for 2004 are based 80% on achievement of the Company’s
performance objectives as established by the Compensation Committee and 20% on
achievement of the individual’s performance objectives. The Company’s overall
performance objectives are measured by certain operational and financial
objectives.  The operational objectives
for the Company for 2004 consisted of targeted annual increases in reserves
(weighted 40%) and production (weighted 30%), competitive finding and
development costs (weighted 15%) and operating expenses (weighted 15%), as
compared with those projected in the Company’s annual budget for the applicable
period. The financial goals for the Company for 2004 were: (1) to ensure that
funds were available to execute the Company’s overall recommended case capital
spending program as projected in its 2004 annual budget and plan (the “Recommended
Case”) while maintaining a prudent financial structure with a debt-to-total capital
ratio of less than 30%, subject to adjustment due to acquisitions; (2) to fund
the Recommended Case, excluding acquisitions, from internal cash flow rather
than taking on more debt; and (3) building pre-tax cash flow from our
exploration and production activities to a level sufficient to provide the
necessary funds to conduct a program that will provide consistent physical
(reserve and production) and fiscal 
(cash flow and net income) growth for Edge.

 

Individual performance is assessed by a performance management process
based on mutually defined expectations for each employee, including executive
officers. The process includes individual appraisal components that are both
objective and subjective. The objective components include quantifiable objectives
and the subjective performance components include roles and accountabilities,
performance attributes and behaviors. Individual performance of the executive
officers, except the Chief Executive Officer, is first assessed by the Chief
Executive Officer, who makes recommendations to the Compensation Committee for
its consideration.  Bonus opportunities
for Messrs. Long and Tugwell for 2004 ranged from 0% to 80% of base salary. Mr.
Elias’ employment agreement provides a bonus opportunity ranging from 0% to
100% of his base salary subject to the achievement of specific objective and
subjective performance criteria established mutually between the Compensation
Committee and Mr. Elias on an annual basis. For 2004, the Board determined that
a bonus for Mr. Elias would be determined based 80% on the achievement of the
same Company performance criteria applicable to the other executive officers
and 20% on the achievement of certain individual performance objectives as
determined by the Compensation Committee and approved by the full Board. Bonus
awards to be paid, if any, for 2004 performance are not determined as of the
date of this Form 10-K and will be reported in the Proxy Statement for the 2006
Annual Meeting.

 

 

Under the bonus program, the 2004 bonuses will be paid in cash. All
bonuses are subject to the final approval of the Board of Directors.EXHIBIT 10.32

                                                                  EXECUTION COPY

                REAFFIRMATION OF GUARANTEE AND SECURITY DOCUMENTS
                -------------------------------------------------

                            Dated as of June 5, 2003

         Reference is made to the Third Amended and Restated Credit Agreement
dated as of June 5, 2003 (the "Credit Agreement"), among Cross Country
Healthcare, Inc., a Delaware corporation (the "Borrower"), the Lenders party
thereto, Citigroup Global Markets Inc., as Sole Bookrunner and Joint Lead
Arranger, Wachovia Securities LLC, as Joint Lead Arranger, Citicorp USA, Inc.,
as issuing bank, as swingline lender, as Administrative Agent for the Lenders
and as Collateral Agent for the Lenders, Wachovia Bank, National Association, as
Syndication Agent, and General Electric Capital Corporation, Key Corporate
Capital Inc., LaSalle Bank N.A. and SunTrust Bank, as Documentation Agents.
Capitalized terms used but not defined herein have the meanings assigned to them
in the Credit Agreement.

         Each Subsidiary Guarantor, by its signature below, hereby acknowledges
notice and receipt of, and consents to the terms of, the Credit Agreement.

         Each Subsidiary Guarantor, by its signature below, hereby affirms its
Guarantee of the Obligations and (to the extent applicable) the pledge of its
assets as Collateral to secure such Obligations, all as provided in the
Collateral Documents, the Subsidiary Guarantee Agreement and the Indemnity,
Subrogation and Contribution Agreement, as previously executed, and acknowledges
and agrees that such Guarantee and, if applicable, pledge continue in full force
and effect in respect of, and to secure, the Obligations.

         Furthermore, the Borrower hereby affirms that each of the Collateral
Documents and the Indemnity, Subrogation and Contribution Agreement previously
executed by it, shall continue to be in full force and effect to secure the
Obligations.

                            [signature pages follow]

<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this reaffirmation
of guarantee and security documents to be duly executed by their respective
authorized officers as of the day and year first above written.

                                   CROSS COUNTRY HEALTHCARE, INC.,

                                   By:  /s/ Emil Hensel
                                        ----------------------------------------
                                            Name: Emil Hensel
                                            Title: Chief Financial Officer

                                   ASSIGNMENT AMERICA, INC.,

                                   By: /s/ Stephen W. Rubin
                                            Name: Stephen W. Rubin
                                        ----------------------------------------
                                            Title: Secretary

                                   CROSS COUNTRY TRAVCORPS, INC.,

                                   By: /s/ Emil Hensel
                                        ----------------------------------------
                                            Name: Emil Hensel
                                            Title: Treasurer

                                   CROSS COUNTRY LOCAL, INC.,

                                   By: /s/ Emil Hensel
                                        ----------------------------------------
                                            Name: Emil Hensel
                                            Title: Chief Operating Officer

                                   NOVAPRO, INC.,

                                   By: /s/ Emil Hensel
                                        ----------------------------------------
                                            Name: Emil Hensel
                                            Title: Treasurer

                                   TVCM, INC.,

                                   By: /s/ Stephen W. Rubin
                                        ----------------------------------------
                                            Name: Stephen W. Rubin
                                            Title: Secretary

                                   CC STAFFING, INC.,

                                   By: /s/ Emil Hensel
                                        ----------------------------------------
                                            Name: Emil Hensel
                                            Title: President

                                       2

<PAGE>

                                   CROSS COUNTRY CONSULTING, INC.,

                                   By: /s/ Stephen W. Rubin
                                        ----------------------------------------
                                            Name: Stephen W. Rubin
                                            Title: Secretary

                                   CEJKA & COMPANY,

                                   By: /s/ Stephen W. Rubin
                                        ----------------------------------------
                                            Name: Stephen W. Rubin
                                            Title: Assistant Secretary

                                   CLINFORCE, INC.,

                                   By: /s/ Emil Hensel
                                        ----------------------------------------
                                            Name: Emil Hensel
                                            Title: Vice President

                                   CROSS COUNTRY SEMINARS, INC.,

                                   By: /s/ Stephen W. Rubin
                                        ----------------------------------------
                                            Name: Stephen W. Rubin
                                            Title: Secretary

                                   E-STAFF, INC.,

                                   By: /s/ Emil Hensel
                                        ----------------------------------------
                                            Name: Emil Hensel
                                            Title: Chief Financial Officer

                                   CROSS COUNTRY NURSES, INC.

                                   By: /s/ Stephen W. Rubin
                                        ----------------------------------------
                                            Name: Stephen W. Rubin
                                            Title: Secretary

                                   Accepted and Agreed:

                                   CITIGROUP USA, INC., as Collateral Agent,

                                   By: /s/
                                        ----------------------------------------
                                            Name:
                                            Title:

                                        3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00080-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00080-of-00352.parquet"}], [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00080-of-00352.parquet"}]]