Document:

exhibit10241.htm

Exhibit 10.241

DOLLAR THRIFTY AUTOMOTIVE GROUP, INC.

DIRECTOR COMPENSATION

Effective December 1, 2010, Until Further Modified

 

 

	
I.

	
Payment for Services.  Directors who are not officers or employees of Dollar Thrifty Automotive Group, Inc. (“DTAG”), or any of its affiliates (“Independent Directors”) will be paid as follows for their services on the Board of Directors of DTAG (the “Board”):

A.           Annual Retainer.

	
  

	
·

	
Each Independent Director will receive an annual Board retainer of $60,000.

	
  

	
·

	
Each Committee Chairman will be paid an additional annual chairman retainer as follows:

	
  

	
o

	
Audit Committee $10,000

	
  

	
o

	
Governance Committee $5,000

	
  

	
o

	
Human Resources and Compensation Committee $7,500

	
  

	
·

	
The Chairman of the Board will be paid an additional $100,000 annually.

	
  

	
B.

	
Meeting Fees. There will be no fees paid for a director’s attendance at Board or committee meetings.

	
  

	
C.

	
Annual Equity Grant.  In January of each calendar year each Independent Director will be granted Restricted Stock Units having a value of $90,000.00, determined based on the Market Value Per Share of the underlying Common Stock on the date of grant, as defined in and pursuant to DTAG’s Second Amended and Restated Long-Term Incentive Plan and Director Equity Plan (the “LTIP”).  The Restricted Stock Units will vest on December 31 of the year in which they are granted, provided that the Independent Director is still serving on the Board on such date, and unless the Independent Director has made an election to defer distribution of the Common Stock underlying the Restricted Stock Units, such Common Stock will be distributed on such December 31.  If the Independent Director’s service terminates prior to December 31, but at least six months following the grant date for any reason other than a Change in Control, a pro rata portion of the Restricted Stock Units shall vest on the date of separation from service based on the Independent Director’s period of service during the year and the Common Stock underlying the Restricted Stock Units will be distributed within ninety (90) days of such separation from service.  In the event of a Change in Control, the Restricted Stock Units shall become fully vested immediately upon the date of the Change in Control and distributed within ninety (90) days of the Change in Control unless otherwise deferred by a Director to a different date.

 

 

  

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II.

	
Deferral Option.  Each Independent Director shall have the option to defer his or her annual equity grant to be issued on a specific date in a future year, such as 90 days following any separation of service from the Board.  An Independent Director electing to defer his or her grant must make such election by December 31 of the year preceding the year in which the compensation to be deferred would be earned by completing the Deferral Election Form in the form provided by the Company and returning such form to the Company no later than December 31 of the year preceding the year in which the compensation to be deferred would be earned.  Notwithstanding the foregoing, during the first year in which an Independent Director becomes eligible to defer his or her annual retainer, such election may be made within 30 days of becoming eligible to make such deferral, provided that such deferral election shall only apply to amounts earned with respect to services rendered after the date on which such deferral election is made.

	
III.

	
Payment Method  All retainers will be paid in cash quarterly in arrears and the annual equity grant will be paid in DTAG stock at the times set forth in Section I.C. above, unless deferred by the Independent Director.

	
IV.

	
Additional Benefits.  While traveling, Independent Directors will be provided rental cars at any Company location or any successor company location without charge for product and service evaluation.  This benefit will continue for Independent Directors following their departure from the Board if (i) the Independent Director has been a member of the Board for more than five (5) years; or (ii) separation from service occurs following a Change in Control.  This benefit cannot be exchanged for cash or any other benefit.

 

 

	 	 
[APPROVED by the Board of Directors of 

Dollar Thrifty Automotive Group, Inc., 

effective December 1, 2010.]

 

 

  

2exhibit10242.htm

Exhibit 10.242

Dollar Thrifty Automotive Group, Inc

2011 Executive Incentive Compensation Plan

Purpose

This 2011 Executive Incentive Compensation Plan (the “2011 Plan”) is designed to motivate and reward executives for goal and objective achievement and for contributing to the overall performance of Dollar Thrifty Automotive Group, Inc. and its subsidiaries (“DTG” or, collectively, the “Company”) for the year 2011.

Plan Participants

Participation in the 2011 Plan is limited to executive personnel in pay grades 40 and above (“Participants”).

Target Award

The Target Award is a percentage of Participant’s base pay in effect as of the date the bonus is awarded.

Plan Provisions

	
1.

	
An incentive compensation award (the “Award”) will be based on DTG’s earnings before interest, taxes, depreciation and amortization (“EBITDA”) plus or minus any adjustments made and approved by the Human Resources and Compensation Committee of the Board of Directors of DTG (the “HRCC”) in its sole discretion. 

	
  

	 

	
  

	
·

	
No funding of the bonus pool will occur for EBITDA below a set minimum threshold or for EBITDA in excess of a set maximum.

	
  

	
·

	
Participants receive a percentage of the total bonus pool based on the Participant’s grade level and salary at the time of the award.

	
  

	
·

	
Any amounts to be awarded for EBITDA between the minimum threshold and a pre-determined amount will be paid in cash and any amounts to be awarded for EBITDA in excess of that pre-determined amount will be paid  pursuant to a grant of restricted stock units (RSUs), with terms and conditions established by Company, including the following vesting schedule:

25% of the RSUs will vest on 12/31/2012 and the remaining 

75% of the RSUs will vest on 12/31/2013.

 

  

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2.

	
Awards, if any, will be paid subsequent to the confirmation of the 2011 financial results of DTG.  The HRCC reserves the right to determine the appropriateness of Awards under the 2011 Plan after review of business conditions and the Company’s continued viability after the close of the 2011 fiscal period.  Awards may not be approved to be paid if it is determined by the HRCC that the business is not stable and/or not properly positioned for success in 2012.

	
3.

	
Participants must be employed by the Company on the Award payment date to be eligible for an Award and must be employed on each of the applicable vesting dates of the RSUs in order to receive them.

	
4.

	
Employees who are hired or promoted into an eligible pay grade during 2011 may be considered for participation in the 2011 Plan on a prorated basis based on the number of days worked during the year 2011.

	
5.

	
Any special circumstances or exceptions not addressed in this 2011 Plan will be resolved by the President and Chief Executive Officer of DTG, in his sole discretion but subject to approval of the HRCC. The HRCC further reserves the right to determine eligibility under the 2011 Plan and to interpret and construe the terms of the 2011 Plan.  The 2011 Plan may be amended, suspended or terminated by the HRCC.

	
6.

	
If a Participant in the 2011 Plan, during his or her employment with the Company or within six (6) months following the payment of the Award, engages in any Detrimental Activity (defined below), and the Board of Directors of DTG (or any committee as delegated by the Board) (the “Board”) shall so find, the Participant shall return to the Company all or so much of the Award (as determined by the Board) made to the Participant under the 2011 Plan.  To the extent the amount of the Award is not fully paid and returned to the Company, the Company may set off the amount payable to it against any amounts that may be owing from time to time to the Participant, whether as wages, deferred compensation or vacation pay or in the form of any other benefit.

As used herein, “Detrimental Activity” means:

	
  

	
(i)

	
Engaging in any activity, as an employee, principal, agent, or consultant for another entity that competes with the Company in any service, system, or business activity for which the Participant has had any direct responsibility during the last two years of his or her employment with the Company, in any territory in which the Company manufactures, sells, markets, services, or installs such product, service, or system, or engages in such business activity.

	
  

	
(ii)

	
Soliciting any employee of the Company to terminate his or her employment with the Company.

	
  

	
(iii)

	
The disclosure to anyone outside the Company, or the use in other than the Company’s business, without prior written authorization from the Company, of any confidential, proprietary or trade secret information or material relating to the business of the Company, acquired by the Participant during his or her employment with the Company or while acting as a consultant for the Company thereafter.

 

  

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(iv)

	
The failure or refusal to disclose promptly and to assign to the Company upon request all right, title and interest in any invention or idea, patentable or not, made or conceived by the Participant during employment by the Company, relating in any manner to the actual or anticipated business, research or development work of the Company or the failure or refusal to do anything reasonably necessary to enable the Company to secure a patent where appropriate in the United States and in other countries.

	
  

	
(v)

	
Activity that results in Termination for Cause. “Termination for Cause” shall mean a termination:

 

	
  

	
(a)

	

due to the Participant’s willful and continuous gross neglect of his or her duties for which he or she is employed, or

 

	
  

	
(b)

	
due to an act of dishonesty on the part of the Participant constituting a felony resulting or intended to result, directly or indirectly, in his or her gain for personal enrichment at the expense of the Company.

	
  

	
(vi)

	
Any other conduct or act determined to be injurious, detrimental or prejudicial to any significant interest of the Company unless the Participant acted in good faith and in a manner he or she reasonably believed to be in or not opposed to the best interests of the Company.

	
  

	
(vii)

	
Conduct by a Participant, including errors, omissions or fraud that caused or partially caused the need for the restatement of any financial statements or financial results of the Company.

7.           Miscellaneous

	
  

	
·

	
No Continued Employment.  Nothing in this Plan is intended to be or shall be construed as a promise of continued employment or employment for any specified period.

	
  

	
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Agreement and Governing Law.  The Plan shall be governed by and construed in accordance with the laws of the State of Oklahoma without reference to principles of conflicts of laws.  Any dispute, claim or cause of action related to this Plan shall be commenced in the applicable state or federal courts located in Tulsa County, Oklahoma.

	
  

	
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Descriptive Headings.  Descriptive headings are for convenience only and shall not control or affect the meaning or construction of any provision of the Plan.

  

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