Document:

Exhibit 10.1

SIRVA INC.

MANAGEMENT INCENTIVE PLAN

(Effective
as of January 1, 2003)

(Amended and Restated March 31, 2007)

1.                  Purpose.

The
purposes of the Plan are to enable the Company and its Subsidiaries to attract,
retain, motivate and reward the best qualified executive officers and key
employees by providing them with the opportunity to earn competitive
compensation directly linked to the Company’s performance. In addition, the
Plan has been established to improve employee accountability for the financial
performance of SIRVA and its Subsidiaries and to supplement the compensation
packages offered by the Company with an incentive bonus for those Participants
who achieve specific performance objectives. The Plan is also designed to
assure that amounts paid to certain executive officers of SIRVA and its
Subsidiaries will not fail to be deductible by the Company for Federal income
tax purposes because of the limitations imposed by section 162(m) of the
Internal Revenue Code of 1986, as amended (the “Code”) and the regulations promulgated thereunder.

2.                  Definitions.

Unless
the context requires otherwise, the following words as used in the Plan shall
have the meanings ascribed to each below, it being understood that masculine,
feminine and neuter pronouns are used interchangeably and that each comprehends
the others.

(a)   “Board”
shall mean the Board of Directors of the Company.

(b)   “Committee”
shall mean the Compensation Committee of the Board (or such other committee of
the Board that the Board shall designate from time to time) or any subcommittee
thereof consisting of two or more directors each of whom is an “outside
director” within the meaning of Section 162(m), and “independent” under
the New York Stock Exchange listing requirements.

(c)   “Company”
shall mean SIRVA, Inc, a Delaware corporation, and any successor thereto.

(d)   “Covered
Employee” shall have the meaning set forth in Section 162(m).

(e)   “Participant”
shall mean (i) each Covered
Employee and (ii) each other
executive officer or key employee of the Company or a Subsidiary whom the
Committee designates as a participant under the Plan.

(f)   “Performance
Period” shall mean each fiscal year of the Company or shorter period, as
determined by the Committee.

(g)   “Plan”
shall mean this SIRVA, Inc. Management Incentive Plan, as set forth herein
and as amended from time to time.

(h)   “Section 162(m)”
shall mean Section 162(m) of the Internal Revenue Code of 1986, as
amended, and any regulations promulgated thereunder (including any proposed
regulations).

(i)   “Subsidiary”
means any corporation in which the Company owns, directly or indirectly, stock
representing 50% or more of the combined voting power of all classes of stock
entitled to vote, and any other business organization, regardless of form, in
which the Company possesses, directly or indirectly, 50% or more of the total
combined equity interests in such organization.

3.                  Administration.

The
Committee shall administer and interpret the Plan and shall establish such
rules and procedures for its administration as it deems necessary or
appropriate, provided that , in
no event, shall the Plan be administered or interpreted in a manner which would
cause any award intended to be qualified as performance-based compensation
under Section 162(m) to fail to so qualify. The Committee shall establish
the performance objectives for any Performance Period in accordance with
Section 4 and certify whether such performance objectives have been
obtained. Any determination, interpretation or other action made or taken by
the Committee under the Plan shall be final, conclusive and binding. No member
or former member of the Board or the Committee shall be liable for any act,
omission, interpretation, construction or determination made in connection with
the Plan other than as a result of such individual’s willful misconduct. The
authority granted to the Committee pursuant to this Section 3 includes,
but is not limited to, the ability to do any of the following: ( i ) to cause to be prepared all forms
necessary or appropriate for the administration of the Plan; ( ii ) to keep appropriate books and
records relating to the Plan; ( iii
) to determine amounts to be disbursed to Participants under the provisions of
the Plan; ( iv ) to determine
consistent with the provisions of the Plan, all questions of eligibility,
rights, and status of Participants under the Plan; and ( v ) to interpret, in its sole discretion,
all disputed questions of Plan interpretation and benefit eligibility.

4.                  Bonuses.

(a)             Performance Criteria.

(i)   Within
90 days after each Performance Period begins (or such other date as may be
required or permitted under Section 162(m)), the Committee shall establish
the performance objective or objectives that must be satisfied in order for a
Participant to receive a bonus for such Performance Period. Unless the
Committee determines at the time of grant not to qualify the award as
performance-based compensation under Section 162(m), any such performance
objectives will be based upon the achievement of one or more of the following
criteria, as determined by the Committee: (
i ) revenue growth; ( ii
) earnings before interest, taxes, depreciation and amortization; ( iii ) earnings before interest, taxes and

amortization; ( iv
) operating income; ( v ) pre- or
after-tax income; ( vi ) cash
flow; ( vii ) cash flow per
share; ( viii ) net earnings; ( ix ) earnings per share; ( x ) return on equity; ( xi ) return on invested capital; ( xii ) return on assets; ( xiii ) economic value added (or an
equivalent metric); ( xiv ) share
price performance; ( xv ) total
shareholder return; ( xvi )
improvement in or attainment of expense levels; ( xvii ) improvement in or attainment of working capital
levels; ( xviii ) debt reduction;
or ( xiv ) strategic and
leadership goals (provided, however, that from and after January 1, 2007,
strategic and leadership goals must be ( a
) able to be objectively determined for each participant such that an award
based in whole or part on strategic and leadership goals would not fail to
qualify as “qualified performance based compensation” under Treas. Reg.
1.162-27(e) promulgated under Section 162(m) of the Code, or ( b ) such goals are used solely by the
Committee for the purposes of exercising its negative discretion pursuant to
Section 4(d) hereof).

(ii)   Any
of the performance objectives set forth above may measure performance on a
Company wide basis or with respect to one or more business units, divisions or
Subsidiaries, and either in absolute terms, relative to the performance of one
or more similarly situated companies, relative to the performance of an index
covering a peer group of companies, or other external measure of the selected
performance criteria.

(iii)   In
the application of performance objectives to bonus determinations under the Plan,
the Committee may (i) make
adjustments it deems advisable in order to give consideration to changes made
in accounting rules, principles or methods, or extraordinary events, and make
adjustments to financial performance measures in recognition of such
occurrences, ( ii ) exclude
special charges, restructuring charges, discontinued operations and unusual or
infrequent accounting adjustments, restatements or reclassifications which they
deem significant; provided that  such adjustments are identified in the
Company’s financial statements or management’s discussion and analysis of
financial condition and results of operations contained in the Company’s most
recent annual report filed with the U.S. Securities and Exchange Commission
pursuant to the Exchange Act; and provided
further that any such adjustments or exclusions are stated and taken
into account at the time the performance objectives for a particular
Performance Period are determined in accordance with
Section 4(a)(i) hereof.

(b)   Maximum Amount Payable.   If the
Committee certifies in writing that any of the performance objectives
established for the relevant Performance Period under Section 4(a) has
been satisfied, each Participant who is employed by the Company or one of its
Subsidiaries on the last day of the Performance Period for which the bonus is
payable shall be entitled to receive an annual bonus in an amount not to exceed
$3 million.

(c)   Partial Year Participation and Termination.

(i)   If
an employee becomes a Participant with respect to any Performance Period after
the beginning of such Performance Period, such Participant shall receive, if
and when payments with respect to bonuses for such Performance Period are made
under Section 5 hereof, a payment equal to a fraction of the value, as
determined by the Committee pursuant to Section 4, of such Participant’s
bonus (if any) with respect to such Performance Period. The numerator of such
fraction shall be the number of days that such Participant was a Participant
during such Performance Period and the denominator shall be the total number of
days in such Performance Period.

(ii)   Unless
otherwise determined by the Committee in its sole discretion at the time the
performance criteria are selected for a particular Performance Period in
accordance with Section 4(a), if a Participant’s employment terminates for
any reason prior to the date on which a bonus is paid hereunder, such
Participant shall forfeit all rights to any and all bonuses which have not yet
been paid under the Plan; provided that  if a Participant’s employment terminates as a
result of death, disability or retirement (as defined under any retirement plan
of the Company or a Subsidiary) after the end of a Performance Period but prior
to the date on which a bonus is paid hereunder in respect of such Performance
Period, such Participant shall be entitled to receive a bonus in accordance
with the terms of the Plan.

(iii)   If,
after the beginning of a Performance Period, a Participant is promoted,
demoted, transferred or otherwise moved to a different salary band level or
other Plan eligibility level within the Company, the Committee, in its sole
discretion, may adjust the bonus that such Participant is entitled to receive
hereunder for such Performance Period such that the Participant shall receive,
if and when payments with respect to bonuses for such Performance Period are
made under Section 5 hereof, ( a
) a payment based on the Participant’s higher salary band level and/or other
eligibility level, as the case may be, ( b
) a pro rated bonus based on the Participant’s number of days at each salary
band or other eligibility level, based on either the Participant’s highest
salary level or average base salary, as determined by the Committee, or ( c ) such other method as the Committee
deems appropriate, in each case as otherwise determined in accordance with this
Section 4.

(iv)   Notwithstanding
the foregoing, if a Participant’s employment terminates for any reason other
than for cause prior to the date on which the bonus is paid hereunder, the
Committee, in its discretion, may waive any forfeiture pursuant to
Section 4(c) in whole or in part.

(d)   Negative Discretion.   Notwithstanding
anything else contained in Section 4(b) to the contrary, the Committee
shall have the right, in its absolute discretion, ( i ) to reduce or eliminate the amount otherwise payable to
any Participant under Section 4(b) based on individual performance or any
other factors that the Committee, in its discretion, shall deem appropriate and
( ii ) to establish rules or
procedures that have the effect of limiting the amount payable to each
Participant to an amount that is less than the maximum amount otherwise
authorized under Section 4(b).

(e)   Affirmative Discretion.   Notwithstanding
any other provision in the Plan to the contrary, (i) the Committee shall have the right, in its discretion, to
pay to any Participant who is not a Covered Employee a bonus for the year in
which the amount paid would ordinarily be deductible by the Company for federal
income tax purposes in an amount up to the maximum bonus payable under
Section 4(b), based on individual performance or any other criteria that
the Committee deems appropriate and ( ii
) in connection with the hiring any person who is or becomes Covered Employee,
the Committee may provide for a minimum bonus amount in any Performance Period,
regardless of whether performance objectives are attained.

(f)   Committee Minutes.   Once determined in
accordance with the terms of the Plan, the performance objectives, Performance
Period, goals and payout schedules determined in accordance with this
Section 4 shall be included in the Committee’s minutes relating to the
meeting at which such objectives and goals were so determined.

 2
 

5.                  Payment.

Except
as otherwise provided hereunder, payment of any bonus amount determined under
Section 4 (less the appropriate withholding taxes) shall be made to each
Participant as soon as practicable after the Committee certifies that one or
more of the applicable performance objectives have been attained (or, in the
case of any bonus payable under the provisions of Section 4(e), after the
Committee determines the amount of any such bonus). Notwithstanding the
foregoing, payment of any bonus amount under the Plan shall be made no later
than March 15 of the year following the end of the applicable Performance
Period, unless deferred as provided in Section 6.

6.                  Form of Payment.

The
Committee shall determine whether any bonus payable under the Plan is payable
in cash, in shares of the Company’s common stock awarded pursuant to the SIRVA,
Inc. Omnibus Stock Incentive Plan (the “Omnibus
Plan”), or in any combination thereof.  Except as provided below, any shares of the
Company’s common stock issued in respect of bonuses under the Plan may be
awarded in any form or forms permitted under the Omnibus Plan, and shall be
subject to the terms and conditions of the Omnibus Plan. Payments made under
the Plan, regardless of whether in cash or in shares of the Company’s common
stock under the Omnibus Plan, may be eligible for deferral pursuant to the
Omnibus Plan or under any plan maintained by the Company or a Subsidiary
allowing for deferral of compensation, in each case in accordance with the
terms and conditions of such plans and applicable law.

7.                  General Provisions.

(a)   Effectiveness of the Plan.   Subject to
the approval by the shareholders of the Company, the Plan shall be effective
with respect to calendar years beginning on or after January 1, 2003, and
shall continue until terminated by the Board pursuant to Section 7(b)
hereof; provided that , to the
extent required by applicable law, the material terms and conditions of the
Plan shall be presented to the shareholders of the Company for re-approval at
the 2007 annual meeting of shareholders and on the fifth anniversary of such
meeting and on each successive fifth anniversary thereafter during the term of
the Plan.

(b)   Amendment and Termination.   Notwithstanding
Section 7(a), the Board or the Committee may at any time amend, suspend,
discontinue or terminate the Plan; provided, however, that no such action shall
be effective without approval by the shareholders of the Company to the extent
necessary to continue to qualify the amounts payable hereunder to Covered
Employees as performance-based compensation under Section 162(m).

(c)   No Right of Continued Employment of Participant.   Nothing
in the Plan shall interfere with or limit in any way the right of the Company
or any Subsidiary to terminate any Participant’s employment at any time, nor to
confer upon any Participant any right to continue in the employ of the Company
or any Subsidiary. No Employee shall have a right to be selected as a
Participant, or, having been so selected, to receive any future bonuses under
this Plan.

(d)   Beneficiary Designation.   Each
Participant under the Plan may from time to time name any beneficiary or
beneficiaries (who may be named contingently or successively) to whom any
benefit under the Plan is to be paid or by whom any right under the Plan is to
be exercised in case of his or her death. Each designation will revoke all
prior designations by the same Participant, shall be in a form prescribed by
the Committee, and will be effective only when filed by the Participant in
writing with the Committee during his lifetime. In the absence of any such
designation, benefits remaining unpaid at the Participant’s death shall be paid
to or exercised by the Participant’s surviving spouse, if any, or otherwise to
or by his or her estate.

(e)   No Limitation on Corporate Actions.   Nothing
contained in the Plan shall be construed to prevent the Company or any
Subsidiary from taking any corporate action which is deemed by it to be
appropriate or in its best interest, whether or not such action would have an
adverse effect on any awards made under the Plan. No employee, beneficiary or
other person shall have any claim against the Company or any Subsidiary as a
result of any such action.

(f)   Nonalienation of Benefits.   No
Participant or beneficiary shall have the power or right to transfer, assign,
pledge or otherwise encumber the Participant’s interest under the Plan, except
by will or the laws of descent and distribution. The provisions of the Plan
shall inure to the benefit of each Participant and the Participant’s
beneficiaries, heirs, executors, administrators or legal representatives.

(g)   Withholding.   Any amount payable to a
Participant or a beneficiary under this Plan shall be subject to any applicable
Federal, state and local income and employment taxes and any other amounts that
the Company or a Subsidiary is required at law to deduct and withhold from such
payment.

(h)   Severability.   If any provision of this
Plan is held unenforceable, the remainder of the Plan shall continue in full
force and effect without regard to such unenforceable provision and shall be
applied as though the unenforceable provision were not contained in the Plan.

(i)   Governing Law.   The Plan shall be
construed in accordance with and governed by the laws of the State of Delaware,
without reference to the principles of conflict of laws.

(j)   Headings.   Headings are inserted in this
Plan for convenience of reference only and are to be ignored in a construction
of the provisions of the Plan.

 3Exhibit
10.2

Annex A to the SIRVA, Inc. Management Incentive Plan

 

 

 

 

 

 

 

 

 

 

 

 

2007 Management Incentive Plan

 

 

 

 

 

SIRVA, Inc.

March 2007

 

 

 	 2007 Management Incentive Plan
 

  

Section 1
- Plan Overview & Purpose 

SIRVA, Inc (“SIRVA”)
strives to provide its associates with competitive salaries and benefits as a
total compensation package.  SIRVA has
established the SIRVA, Inc. Management Incentive Plan (the “MIP Plan”) to
enable the Company and its subsidiaries to attract, retain, motivate and reward
the best qualified executive officers and key employees by providing them with
the opportunity to earn competitive compensation directly linked to the Company’s
performance.  In addition to a
competitive compensation package,  this Annex A to the MIP Plan (the “2007
Plan”) has been established under the MIP Plan to improve accountability for
results and to supplement SIRVA’s competitive compensation packages with an
Incentive Award for those Participants who deliver on specific quantitative and
qualitative targeted goals and objectives during 2007.  All Incentive Awards under the 2007 Plan
shall be paid from the general assets of SIRVA. 
This 2007 Plan is subject to the terms and conditions of the MIP Plan.

Section 2  — Plan Definitions

As used in the 2007 Plan, the following terms, when capitalized, shall
have the meanings set forth below in this Section 2.  Other capitalized terms used herein without definition shall have the
respective meanings set forth in the MIP Plan.

Section 2.01. 
Actual Award Percentage
means the percentage of pay-out, if any, determined for each Performance
Measurement in the 2007 Incentive Year based upon actual results of each such
Performance Measurement in relation to Target Performance Levels established by
the Compensation Committee (as set forth in Table A, which is attached hereto
and incorporated herein by reference) and the weight given to each such
Performance Measurement as determined by the Compensation Committee (as set
forth in Table B which is attached hereto and incorporated herein by
reference).

Section 2.02. 
Average Base Salary means the weighted average of the Participant’s base salary
for the 2007 Incentive Year, which has been prorated for any base salary
changes based on the number of days at each such base salary level.  Average Base Salary excludes bonuses,
incentives, awards, commissions, disability and salary continuation benefits,
perquisites, fringe benefits or other imputed income.

Section
2.03.  Compensation Committee means
the Compensation Committee of the Board of Directors of SIRVA.

Section
2.04.  Business Segment
is the major business segment or support function of SIRVA through which a
Participant is employed.  For purposes of
this 2007 Plan, the following are considered Business Segments of SIRVA: Global
Relocation, North American Moving Services, Europe Moving Services, Asia
Pacific Moving Services and SIRVA.  SIRVA
will be the performance measure for all the function groups.

Section
2.05.  Cash Generation is
a SIRVA Performance Measurement under this 2007 Plan that is measured by SIRVA’s
cash generation performance.

Section
2.06.  Earnings Growth is
the SIRVA Performance Measurement under this 2007 Plan that is measured by
SIRVA’s Operating Income performance.

 1
 

 	 2007 Management Incentive Plan
 

  

Section
2.07.  2007 Incentive Year
means  the performance period beginning on
January 1, 2007 and ending on December 31, 2007.

Section
2.08.  Incentive Award means the amount payable to a Participant
under the 2007 Plan for the 2007 Incentive Year.  This amount is determined by multiplying the
Participant’s Actual Award Percentage for the 2007 Incentive Year times the
Participant’s Average Base Salary paid during the 2007 Incentive Year, subject
to deductions resulting from any of the following: i) failure of SIRVA to
achieve its Earnings Growth & Cash Generation Minimums; ii) failure of the
Participant’s Business Segment in achieving its Earnings Growth; iii) failure
of a Participant to fully achieve the Leadership and Strategic Initiatives
established for the Participant; and, iv) failure of the Participant to
otherwise perform at the expected level established for the Participant by the
Company, in each case as determined by the Compensation Committee in its sole
discretion.

Section
2.09.  Leadership and Strategic
Initiatives is a
Performance Measurement under this 2007 Plan that measures the accomplishment
of certain pre-approved Leadership and Strategic Initiatives for a respective
Participant’s business segment or function during the 2007 Incentive Year.  Strategic Initiatives shall be established
for each Participant’s business unit or function in accordance with Section
4.04 of this 2007 Plan.  In addition, the
Participant will be evaluated on his/her demonstration of Leadership traits and
values in completion of the job.

Section
2.10.  Minimum Performance Level or
Minimum means the threshold level of performance established
by the Compensation Committee for each SIRVA Performance Measurement during the
2007 Incentive Year, as set forth in Table A.

Section
2.11.  Minimum Incentive Payout
means that the Plan will not pay an Incentive Award if the gross amount of the
Incentive Award otherwise payable is less than $100.00.

Section 2.12. 
Operating Income is defined as gross profit minus operating expenses.  It measures the pre-tax, pre-interest profit
from SIRVA’s operations.

Section
2.13.  Participant
means a regular employee of a SIRVA-Controlled Company who satisfies the
requirements for eligibility under Section 3 of this 2007 Plan.  Notwithstanding the foregoing, employees
covered under other incentive/commission or bonus plans shall not be eligible
to participate in the 2007 Plan (except as otherwise expressly provided
therein).  In addition, individuals
classified as independent contractors or temporary employees are not eligible
to participate.

Section
2.14.  Performance Measurements for the 2007 Incentive Year means
Earnings Growth, Cash Generation and Leadership and Strategic Initiatives.

Section 2.15. 
SIRVA means SIRVA, Inc., a Delaware corporation.

Section 2.16. 
SIRVA-Controlled Companies means North American Van Lines, Inc. (“NAVL”), and any direct or indirect
subsidiaries of NAVL, including, but not limited to, Allied Van Lines, Inc.,
SIRVA Relocation, LLC and SIRVA Canada, LP, and any other corporation in which
the Company owns, directly or indirectly, stock representing 80% or more of the
combined voting power of all classes of stock entitled to vote, and any other
business organization, 

 2
 

 	 2007 Management Incentive Plan
 

  

regardless
of form, in which the Company possesses, directly or indirectly, 80% or more of
the total combined equity interests in such organization.

Section
2.17.  Target Performance Level
or Target means the budgeted level of
performance established for each Performance Measurement during the 2007
Incentive Year, as set forth in Table A.

Section 3
- Eligibility

For the 2007 Incentive
Year, an associate employed by a U.S. based SIRVA-Controlled Company who is: i)
within the Senior Executive Band 15 salary band or higher (e.g., a senior
executive, senior vice president, senior professional, executive vice president
or director); and ii) not participating in another incentive plan or bonus
program for the 2007 Incentive Year (unless that other plan or program
specifically provides that the incentive or bonus payable is in addition to any
Incentive Award payable under the 2007 Plan; and iii) not covered by any
collective bargaining agreement (unless that agreement specifically provides
for participation), shall be eligible to participate in the 2007 Plan, but
subject to the 2007 Plan’s terms and conditions.  In addition to the foregoing, the
Compensation Committee (or, subject to applicable law, its delegate), may, in
its sole discretion, extend participation under this 2007 Plan to any other
employee of a SIRVA-Controlled Company, including, without limitation, key
associates employed by a SIRVA-Controlled Company based outside the United
States.  Where such discretion is
exercised to extend participation under this 2007 Plan to such key associates,
the Company reserves the right to terminate that participation at any time.

Section 4 — Incentive Awards

The
2007 Plan has specific, quantifiable Operating Income and Cash Generation
performance goals for SIRVA.  The 2007
Plan also includes demonstrated Leadership and Strategic Initiatives for each
Participant.  A one-over-one evaluation
process will be used to determine if a Participant’s performance has achieved
the targeted goals for Leadership and Strategic Initiatives.

Section
4.01. General Threshold

a)              Subject to the terms of the 2007 Plan, a
Participant shall be eligible to receive an Incentive Award for the 2007
Incentive Year, calculated in accordance with this Section, provided that SIRVA
or the Business Segment Operating Income meets or exceeds the Minimum
Performance Level described in Section 4.02. 
SIRVA does not need to obtain the Operating Income Minimum Performance
Level for the Participants to become eligible for Incentive Awards, subject to
the terms of this 2007 Plan.

b)              If the Minimum Performance Level is achieved
as described in Section 4.01(a) above, the total pool available for
distribution to Participants is based on each Business Segment’s individual
Operating Income and SIRVA Cash Generation performance against established
targets.  Each portion of the awards
calculation — Operating Income, Cash Generation, Leadership and Strategic
Initiatives is determined separately. 
Thus, a Business Segment could receive the portion of its award
attributable to SIRVA Cash Generation and not receive anything for Operating
Income.  Alternatively, a Business
Segment could receive all or a portion of its award for Operating Income and
not SIRVA Cash Generation.

 3
 

 	 2007 Management Incentive Plan
 

  

 

c)              Subject to adjustment and final approval by
the Compensation Committee (or its delegate where appropriate), the Business
Segment leader shall determine the Incentive Award for each Participant within
his/her Business Segment in accordance with the terms of the 2007 Plan.  Before establishing the Incentive Award, the
Business Segment leader shall assess each Participant’s Leadership performance
as well as each Participant’s contribution towards the achievement of the
Strategic Initiatives established for each such Participant’s Business
Segment.  Once the Business Segment leader
has evaluated the Participant’s individual performance, the Business Segment
leader shall establish an Incentive Award for such Participant commensurate
with such level of performance using the Participant’s respective Target Award
Percent as a guideline.  A similar
process will be followed by the CEO with respect to Business Segment Leaders
and by the Chairman with respect to the CEO, in both instances subject to final
approval by the Compensation Committee.

d)              In the event a Participant was not eligible
for participation in the 2007 Plan for the entire 2007 Incentive Year, the
amount of the Incentive Award shall be determined in accordance with Sections
4.05 or 4.06 hereof.  In addition, the
Participant’s Business Segment will determine the Operating Income and SIRVA
will determine Cash Generation actual award. 
Actual Award Percentages can vary by Business Segment.

Section
4.02. Earnings Growth.  If the 2007 minimum Operating Income
target is reached, the Operating Income financial award will be calculated
based on each Business Segment’s performance against its individual Business
Segment targets.

Section
4.03. Cash Generation.  The Cash Generation Performance
Measurement is based upon SIRVA achieving the Minimum Performance Level for the
2007 Incentive Year.

Section
4.04.        Leadership and Strategic
Initiatives. A Participant’s
performance during the 2007 Incentive Year will be evaluated based upon the
successful completion of the established Leadership and Strategic Initiatives
for the Participant’s Business Segment for the 2007 Incentive Year.  The established Leadership and Strategic
Initiatives for each Participant’s Business Segment should be targeted,
quantifiable, and/or otherwise measurable and shall be set forth in a
Performance Partnering Assessment form, which, once approved, shall be
incorporated into this 2007 Plan by this reference.  The Compensation Committee can make an
adjustment (either higher or lower) to any Leadership and Strategic Initiative
assessment made by a Business Segment Leader. 
The Leadership and Strategic Initiative Performance Measurement can
exceed the capped Target Performance Level by an additional 10% based on the
discretion described previously.  If
SIRVA does not meet its minimum Operating Income, the Leadership and Strategic
Initiative of the award will not be paid. 
Notwithstanding anything to the contrary contained in this 2007 Plan,
for SIRVA executive officers who are Participants, Strategic and Leadership
Initiatives must be (a) able to be objectively determined for each such
Participant such that an award based in whole or part on Strategic and
Leadership Initiatives would not fail to qualify as “qualified performance
based compensation” under Treas. Reg. 1.162-27(e) promulgated under Section
162(m) of the Code, or (b) such Strategic and Leadership Initiatives are used
solely by the Compensation Committee for the purposes of exercising its
negative discretion pursuant to Section 4(d) of the MIP Plan).

Section 4.05. Partial Year Participation.  Participants that are
hired, promoted, demoted, transferred, or otherwise moved to a different salary
band level during the 2007 

 4
 

 	 2007 Management Incentive Plan
 

  

Incentive Year
will be eligible on a pro-rated basis for the portion of the 2007 Incentive
Year the associate fell within each such respective eligible salary band
level.  Participants must be hired or
promoted into an eligible band level before December 1, 2007.  Pro-rations will be calculated on a daily
basis.  The Incentive Award, if any, will
be based upon the Participant’s Average Base Salary as of the end of the 2007
Incentive Year.  For example, a
Participant transferring to a non-participating SIRVA company or a non-eligible
position within SIRVA for the final six (6) months of the 2007 Incentive Year will
only be eligible for 50% of the Incentive Award otherwise payable and such
Incentive Award will be based upon the Participant’s Average Base Salary during
the entire 2007 Incentive Year.

Section 4.06.  Termination.  Except as otherwise set forth herein, any
Participant who leaves employment with SIRVA for any reason prior to the
payment of any Incentive Award shall not be eligible nor will such Participant
be considered to have earned any Incentive Award for the 2007 Incentive
Year.  An award will be made to a
Participant who participated in the 2007 Plan during the 2007 Incentive Year
for the entire year, and who, between the end of the 2007 Incentive Year and
the time when Incentive Awards for the 2007 Incentive Year are paid by SIRVA,
retires at the normal retirement age of 65 or whose employment terminates as a
result of death or disability.  In the
event of the death of a Participant during the 2007 Incentive Year, the
Compensation Committee, in its discretion, may grant an Incentive Award.

Section 5. 
Payment

If an Incentive Award
becomes payable for the 2007 Incentive Year, the payment of the Incentive Award
will be made, less the appropriate payroll deductions, on or before March 15,
2008.  All payments are to be made in
cash and are not eligible for deferral under this 2007 Plan, but may be
deferred under the SIRVA Executive Deferred Compensation Plan, the SIRVA
Employee Retirement Savings Plan, the SIRVA, Inc. Omnibus Stock Incentive Plan
or any other plan allowing for deferral of compensation maintained by SIRVA or
a SIRVA Controlled-Company, subject to the terms and conditions of such plan
documents.   

In
all cases, eligibility to receive an Incentive Award, the amount of any
Incentive Award and the portion paid will be determined and approved by the
Compensation Committee or its delegate, as appropriate, in its sole discretion.

Section 6.  Taxes

Any Incentive
Award that is received by a Participant under the 2007 Plan is taxable as
ordinary income in the year of payment and subject to payroll taxes and
withholding. SIRVA reserves the right to withhold any federal, state or local,
domestic or foreign taxes as required by law or regulation or as SIRVA deems
appropriate from any Incentive Payments that it makes to Participants
hereunder.   FICA tax will be due in the
year that the Incentive Award is paid.

 5
 

 	 2007 Management Incentive Plan
 

  

Table B — 2007 Incentive Year Metrics and Weightings

Applies to: Global Relocation, North American
Moving Services, Europe Moving

Services, Asia Pacific Moving Services and SIRVA, Inc.

	
  

  	
  Operating Income —

  	
   

  	
  Corporate Pro-ration

  	
   

  
	
   

  	
  Business

  	
  40% *

  	
   

  	
  Global Relocation — 50%

  
	
   

  	
   

  	
   

  	
   

  	
  NA Moving Services — 40%

  
	
   

  	
   

  	
   

  	
   

  	
  EU Moving Services — 5%

  
	
   

  	
   

  	
   

  	
   

  	
  AP Moving Services — 5%

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Metrics
  & 

  	
  Operating Income —  

  	
   

  	
   

  	
   

  
	
  Weighting

  	
  Corp.

  	
  20%

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Cash

  	
  30%

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Strategic/

  	
   

  	
   

  	
   

  
	
   

  	
  Leadership

  	
  10%

  	
   

  	
   

  
								

 

*
Operating Income for the Business segment metric will be prorated for Corporate
based on the four business segments.

 

 6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00121-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00121-of-00352.parquet"}]]