Document:

Exhibit 10(ee)

 

WAIVER AND RELEASE

 

This WAIVER AND RELEASE,
dated April 28, 2006 (this “Waiver”),
is made and entered into by Mayo A. Shattuck III.

 

WHEREAS,
Constellation Energy Group, Inc., a Maryland corporation (the “Company”), and I
are parties to that certain Employment Agreement, dated December 18, 2005 (the “Employment
Agreement”) (capitalized terms used in this Waiver without definition to have
the respective meanings assigned to them in the Employment Agreement); and

 

WHEREAS, after due consideration, I have decided to
waive certain provisions of the Employment Agreement, taking into account our
mutual interest in completing the proposed merger with FPL Group, Inc.

 

NOW, THEREFORE, in consideration of the foregoing and other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, and intending to be legally bound, I hereby agree as follows:

 

1.     I hereby irrevocably waive any and all right
to receive, pursuant to clauses (i) or (ii) of Section 9 of the Employment
Agreement, a cash severance payment, upon termination of my employment, in
excess of any base salary and bonus otherwise payable to me pursuant to
subparagraphs (b) and (c) of Section 5 of the Agreement as if I had remained
employed for the remainder of the original Employment Term (without regard to
its earlier termination under Section 2 of the Employment Agreement), and I
hereby direct the Company not to pay me cash severance pursuant to the
Employment Agreement in excess of the amount set forth in this paragraph 1,
notwithstanding the terms of clauses (i) and (ii) of Section 9 of the
Employment Agreement (should that provision of the Employment Agreement become
applicable).

 

2.     In support of the foregoing
waiver, I forever release and discharge the Company and its affiliates and
representatives (collectively, “Releasees”) from any and all causes of action, judgments,
liens, indebtedness, damages, losses, claims (including attorneys’ fees and
costs), liabilities and demands of whatever kind and character in connection
with, relating to or in any way derivative of any claims, demands or requests
for payments under the Employment Agreement
that have been waived by me pursuant to this Waiver. 

 

3.     I expressly warrant that I have had ample time to discuss the matters
addressed in this Waiver with my own legal counsel and have had a full and fair
opportunity to consider the effect of this Waiver on my rights and benefits
under the Employment Agreement.  I
further warrant that I fully understand the contents and effect of this
document and any referenced materials, and of my own free will and without
coercion approve and accept the terms and provisions of this Waiver and agree
to be bound by its terms. I acknowledge that I have been advised by the Company
to consult with counsel of my choice and that I have been given all time periods
required by law to consider this Waiver, including the 21-day period required
by the ADEA and the Older Workers Benefit Protection Act (“OWBPA”). I
understand that I may execute this Waiver less than 21 days from the date on
which I received it from the Company, but I agree that such execution will
represent my knowing waiver of such 21-day

 

 

consideration period. I further acknowledge that within the 7-day
period following my execution of this Waiver (the “Revocation Period”) I will
have the unilateral right to revoke this Waiver, and that all obligations
hereunder shall become effective only upon the expiration of the Revocation
Period without my revocation hereof. I agree that in order to be effective,
notice of my revocation of this Waiver must be received by the Company on or
before the last day of the Revocation Period.

 

4.     I
am executing this Waiver without reliance on any promise, warranty or
representation by any third party (or any third party’s representative), other
than as expressly set forth in this Waiver.

 

5.     This
Waiver shall bind my heirs, personal representatives, successors and assigns.

 

6.     This
Waiver shall not be modified except by means of a writing signed by me and the Company.

 

7.     This
Waiver is made and entered into in the State of Maryland and shall in all
respects be interpreted and enforced in accordance with Maryland law.

 

8.     If
any provision of this Waiver should be deemed or held invalid or unenforceable,
in whole or in part, by a court of law, such determination shall not affect any
other provision of this Waiver.

 

[Signature page follows]

 

2

 

* 
*  *

 

IN WITNESS WHEREOF, this Waiver has been duly
executed this 28th day of April, 2006 by Mayo A.
Shattuck III.

 

 

	
   

  	
  /s/ Mayo A. Shattuck III

  	
   

  
	
   

  	
  Mayo A. Shattuck III

  
	
   

  	
   

  
	
   

  	
   

  
	
  Accepted by:

  	
   

  
	
   

  	
   

  
	
  CONSTELLATION ENERGY GROUP, INC.

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
  /s/ Irving B. Yoskowitz

  	
   

  	
   

  
	
   

  	
  Name: Irving B. Yoskowitz

  	
   

  
	
   

  	
  Title: Executive Vice President and General Counsel

  	
   

  
	
   

  	
   

  
	
  Date of acceptance:

  	
   April 28, 2006

  	
   

  	
   

  
						

 

3Exhibit 10.1

 

NATROL, INC.

2006
BONUS INCENTIVE COMPENSATION PLAN

 

PART I

 

SECTION 1.
                         PURPOSE

 

The purpose of the
Executive Incentive Compensation Plan (“the Plan”) is to enhance and reinforce
the goals of Natrol, Inc. and its subsidiaries (the “Company”) for profitable
growth and continuation of a sound overall condition.  This will be accomplished by providing key
employees with additional financial rewards for attainment of such growth and
stable financial and operating condition. 
Final approval of the payment of any awards made under the Plan is
subject to the discretion of the Board of Directors.

 

SECTION 2.                            DEFINITIONS

 

2.1         Definitions of terms as used throughout this
Plan document are as follows:

 

(a)          “Award Year” means the twelve-month period
coinciding with the organization’s annual accounting period, January 1st
– December 31st.

 

(b)         “Committee” means a Committee established by
the Board of Directors of the Organization to administer the Plan.

 

(c)          “Participant”
means an eligible employee, all of whom have been selected without regard to
race, color, religion, sex, gender, marital status, age, national origin,
sexual orientation, physical or mental disability, medical condition, veteran
status, or any basis protected by law.

 

SECTION
3.                        ELIGIBILITY

 

Bonuses under the Bonus
Plan may be granted to those key employees of the Company, including officers
of the Company, whether or not they are directors of the Company.

 

SECTION 4.                            ADMINISTRATION

 

The Compensation Committee
of the Board of Directors of the Company shall administer the Plan.  This Committee shall be comprised of not less
than three members as shall be appointed from time to time by the Board of
Directors.

 

The Committee has full
power and authority to annually select participants from among those eligible,
to determine the amount of funds included in the bonus pool upon Board approval
of the budget plan, to determine the amount and timing of individual awards,
and to adopt and revise such rules and procedures as it shall deem necessary for
the administration of the Plan.

 

 

4.1  Resolution of Disputes & Awards

 

The decision of the
Committee with respect to any question or disputes arising out of participation in “the Plan”, or
the individuals selected for awards, and the interpretation of the provisions
of this Plan shall be final, conclusive and binding on all parties with no
right of court, jury or other review.

 

SECTION 5.                            PARTICIPATION

 

Participation in the Plan
shall be limited to regular salaried employees of the Company, including officers
as recommended by management and approved by the Committee.  In selecting participants, the Committee
shall consider an individual’s position and potential impact on the Company’s
business results and performance.  The
selection of participants, and their respective incentive awards, shall be
determined annually by the Committee and communicated to Participants as soon
as possible.  The Committee selection of
participants shall be final, conclusive and binding on all parties with no
right of court, jury or other review.

 

SECTION 6.                            AWARDS COMPUTATION –
GENERAL

 

The Committee should
establish the performance criteria for the award of the Incentive Bonus
Compensation (criteria) at the beginning of each calendar year.

 

6.1       The Committee shall establish all operating
rules and criteria for the Plan by the first quarter of each calendar year.

 

It is expected that during any bonus plan year, there
could be unusual and/or non-recurring significant revenue or expenses that the
Committee believes should be considered for exclusion for determination of
bonus compensation.  The Committee will
evaluate these occurrences and decide whether the resulting effect on earnings
will be excluded or included from the Company’s results of operations
(“qualifying earnings”).

 

Plan participants will be given timely notice of any
such material changes or events that alter the “qualifying earnings”.

 

6.2       The participant’s immediate supervisor
should be consulted prior to any award being made to verify that the
participant is in good standing and qualifies for inclusion in the Plan.  Eligibility for an award does not
automatically guarantee that a reward will be granted to the Participant at any
level or if at all.  Any decision by the
Committee to otherwise reduce a bonus award and/or exclude the Participant from
a bonus award entirely shall be final, conclusive and binding on all parties
with no right of court, jury or other review. 
The fact that a particular Participant is not under any type of
employment reprimand (e.g., probation, warning, etc.) does not preclude the
Committee from awarding a particular employee a reduced award or no bonus award
entirely.

 

 

6.3       Each
Bonus Participant is eligible for the percentage of Bonus for each level of
achievement of the Performance Goal, and such other terms and conditions as the
Committee, in its sole discretion, shall determine.  Part II, Section 3, includes guidelines that
will be followed to measure results.

 

SECTION 7.                            PAYMENT OF AWARDS

 

7.1       Normal Payment

 

Awards shall be earned as
of the last business day of the Award Year. 
As soon as reasonably practicable following the end of a Measurement
Period, but in no event later than ninety (90) days following the fiscal year
end close, the Compensation Committee shall certify in writing the level of
achievement of each Performance Goal established by the Compensation Committee
with respect to such Measurement Period.

 

Bonus payments shall be
made from the general funds of the Company and no special or separate fund
shall be established or other segregation of assets made to assure
payment.  No participant or other person
shall have under any circumstances any interest in any particular property or
assets of the Company.

 

7.2       Payment Under Conditions of Termination

 

(a) If termination of employment
occurs during an Award Year on account of death, total disability, or approved
leave of absence, such Participant terminating employment shall be deemed to
have earned a proportionate (prorated) share of that would otherwise be that
Award Year’s actual bonus.

 

(b) The amount of such
Award shall be the amount that would have been earned had the Participant been
employed by the Company during the full Award Year, multiplied by a fraction,
the numerator of which is the number of days that the Participant was employed
by the Company, and the denominator of which is the number of days in that full
Award Year.

 

7.3       Participant Transfer

 

If a Participant is
transferred to another Subsidiary affiliated with the Company during an Award
Year, and is determined to be eligible for payments under one or both of the
Subsidiary’s plans, partial awards will be made under each Plan based on a pro
rata determination as described in the preceding paragraph.

 

If termination of
employment occurs for any reason other than death, total disability, or
approved leave of absence, no award shall be deemed earned for the Award Year
in which such termination occurs.

 

 

SECTION 8.                            DISSOLUTION OR MERGER

 

If the Company should be
liquidated and/or dissolved, or if the Company should become a party to a
merger or consolidation in which it is not the surviving corporation, the value
of the bonus fund shall be determined in accordance with paragraph 7.2
(b) and on the date of such dissolution or merger.

 

SECTION 9.                            AMENDMENT OR TERMINATION

 

The Board of Directors of
the Company or the Compensation Committee of the Board of Directors, if and to
the extent authorized, in absolute discretion of the body so acting and without
notice, may at any time amend or terminate the Plan, provided that no such
amendment or termination shall adversely affect the rights of any participation
under any award previously granted.

 

SECTION
10. OTHER CONDITIONS

 

10.1 Right
of Assignment

 

No right or interest of any
Participant in the Plan shall be assignable or transferable, or subject to any
lien, directly, by operation of law, or otherwise including levy, garnishment,
attachment, pledge, and bankruptcy.  In
the event of a Participant’s death, payment shall be made to the Participant’s
designated beneficiary, or in the absence of such designation, to the
Participant’s estate.

 

10.2 Right
of Employment

 

The receipt of an award
under this Plan shall not give any employee any right to continued employment
by the Company, and the right to dismiss any employee is specifically reserved
to the Company.  Similarly, employment
status does not guarantee the Participant the granting of a bonus award in any
amount, if at all.  The receipt of an award
in any year shall not give an employee the right to receive an award in any
subsequent year.

 

10.3
Withholding for Taxes

 

The Company shall have the
right to deduct from all payments under this Plan any federal or state taxes
required by law to be withheld with respect to such payments.

 

SECTION
11.                     EFFECTIVE DATE

 

The effective date of this
Plan shall be January 1, 2006 as amended and adopted by the Compensation
Committee of the Board of Directors of the Company.

 

 

PART II.
OPERATING RULES

 

SECTION 1.
                         GENERAL

 

The following Bonus
Incentive Compensation Plan Operating Rules will be in effect during January 1,
2006 — December 31, 2006.  These
Operating Rules are subject to change by the Committee before the start of the
Plan Year, with the approval of the Board of Directors.  It is anticipated that the rules will be
revised only when significant changes occur, or other pertinent factors affect
the operation of the Plan.  Changes from
year to year will be minimized in order to maintain the basic continuity of the
Plan.

 

SECTION 2.                            PLAN PARTICIPANTS

 

Plan Attachment II.1 lists
the current Plan Year Participant names, titles, organizational and/or
responsibilities.  Plan Participants are
selected prior to the start of the Plan Year. 
New participants may be added at a later date, e.g., newly hired
employee, provided they meet qualifying criteria guidelines and will be subject
to a prorated percent of award, should criteria be met.

 

SECTION 3.                            INCENTIVE FORMULAS

 

Instructions for
calculating the bonus pool are included in Attachment II.2.  Attachment II.3 includes the formulas for
calculating the individual incentive compensation awards.  The attachments include additional
definitions of terms and descriptions of the calculations.

 

SECTION 4.
                         EFFECTIVE DATE

 

The effective date of the
Bonus Incentive Compensation Plan shall be January 1, 2006.

 

 

ATTACHMENT
II.1 Plan Participants (By Title Only)

 

	
  Officers & Others

  	
   

  	
  Directors & Others

  
	
   

  	
   

  	
   

  
	
  Founder & Executive
  Chairman of the Board

  	
   

  	
  Director,
  Prolab Marketing & Sales

  
	
   

  	
   

  	
   

  
	
  Chief Executive Officer
  & President

  	
   

  	
  Director,
  International Sales

  
	
   

  	
   

  	
   

  
	
  Executive Vice President,
  Chief Financial Officer & Treasurer

  	
   

  	
  Director, Product and Marketing Processes

  
	
   

  	
   

  	
   

  
	
  Chief Operating Officer

  	
   

  	
  Director,
  MIS & IT

  
	
   

  	
   

  	
   

  
	
  Vice President &
  General Counsel

  	
   

  	
  Director,
  Marketing Communications

  
	
   

  	
   

  	
   

  
	
  Vice President, Manufacturing

  	
   

  	
  Director,
  Human Resources

  
	
   

  	
   

  	
   

  
	
  Vice President,
  Operations

  	
   

  	
  Director,
  Warehousing

  
	
   

  	
   

  	
   

  
	
  Vice President, Sales

  	
   

  	
  Director,
  Planning & Inventory Control

  
	
   

  	
   

  	
   

  
	
  Vice President, Research
  & Development

  	
   

  	
  Director,
  Creative

  
	
   

  	
   

  	
   

  
	
  Vice President, Marketing

  	
   

  	
  Director,
  Purchasing

  
	
   

  	
   

  	
   

  
	
  Vice President, QA &
  QC

  	
   

  	
  Controller

  
	
   

  	
   

  	
   

  
	
  Assistant General Counsel

  	
   

  	
  Corporate
  Secretary & Senior Mgr., Legal 

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Senior
  Manager, Compliance

  
	
   

  	
   

  	
   

  
	
  Total Represented Salary: $ 3, 230, 183

  	
   

  	
  Total Represented Salary: $ 1, 206, 767

  
	
   

  	
   

  	
   

  
	
  Estimated
  Maximum Accrual: $ 807, 546

  	
   

  	
  Estimated Maximum Accrual: $ 181, 015

  

 

 

	
  Managers & Others

  	
   

  	
  Managers
  & Others

  
	
   

  	
   

  	
   

  
	
  Senior Manager, Sales

  	
   

  	
  Manager,
  Inventory Control

  
	
   

  	
   

  	
   

  
	
  Senior Manager, EPI Sales
  Administration

  	
   

  	
  Manager, Shipping

  
	
   

  	
   

  	
   

  
	
  Senior Manager, Planning

  	
   

  	
  Manager,
  General Ledger

  
	
   

  	
   

  	
   

  
	
  Senior Manager, Paralegal

  	
   

  	
  Manager,
  Accounts Payable

  
	
   

  	
   

  	
   

  
	
  Manager,
  Technical Services

  	
   

  	
  Manager,
  Accounts Receivable

  
	
   

  	
   

  	
   

  
	
  Manager,
  Research & Development (3)

  	
   

  	
  Supervisor,
  Quality Control

  
	
   

  	
   

  	
   

  
	
  Manager,
  Marketing (3)

  	
   

  	
  Supervisor,
  Manufacturing (2)

  
	
   

  	
   

  	
   

  
	
  Manager,
  Warehousing

  	
   

  	
  Supervisor,
  Maintenance

  
	
   

  	
   

  	
   

  
	
  Manager, Quality
  Assurance

  	
   

  	
  Supervisor,
  Packaging

  
	
   

  	
   

  	
   

  
	
  Manager,
  Consumer Services

  	
   

  	
  Executive Assistant

  
	
   

  	
   

  	
   

  
	
  Manager,
  Production & Manufacturing

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Total Represented Salary: $ 1,
  822, 357

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Estimated Maximum Accrual: $ 182, 236

  	
   

  	
   

  

 

 

ATTACHMENT
II.2 – Instructions for Calculating Bonus Pool

 

A target bonus fund shall
be established equal to 10%-25% of the annual base salary of the Plan
Participants as called out below.  “Base
salary” for the purposes of
this Plan is defined as the particular Participant’s W-2 earnings for the
calendar year attributed only to his/her annual salary rate, and does not
include any other Company benefits, distributions, bonuses paid to a
Participant in any particular years or other sources of income.  Employees based upon their title as stated on
Attachment II.1 will be eligible for an annual incentive bonus as a percentage
of their base salary.

 

	
   

  	
   

  	
  Bonus Fund

  
	
   

  	
   

  	
   

  
	
  Officers & Others

  	
   

  	
  25% of base salary

  
	
   

  	
   

  	
   

  
	
  Directors & Others

  	
   

  	
  15% of base salary

  
	
   

  	
   

  	
   

  
	
  Managers & Others

  	
   

  	
  10% of base salary

  

 

 

ATTACHMENT II.3 - Formulas for Calculating the Individual
Incentive Compensation Awards

 

The incentive program shall be based on “qualifying income”
as defined in paragraph 6.1 and corporate earnings.  The 2006 target to receive 100% of the eligible incentive bonus is
$5,000,000 before bonuses, interest and income taxes.  The Compensation Committee of the Board has
agreed to pay a portion of the eligible incentive bonus based on partial
milestones achieved, as well as exceeding the corporate target.

Chart for percentage of eligible schedule

 

	
   

  	
   

  	
  Target

  	
   

  	
  Award

  
	
   

  	
   

  	
  10,000,000

  	
   

  	
  150%

  
	
   

  	
   

  	
  9,000,000 – 9,999,999

  	
   

  	
  140%

  
	
   

  	
   

  	
  8,000,000 – 8,999,999

  	
   

  	
  130%

  
	
   

  	
   

  	
  7,000,000 – 7,999,999

  	
   

  	
  120%

  
	
   

  	
   

  	
  6,000,000 – 6,999,999

  	
   

  	
  110%

  
	
  *Corporate Goal

  	
   

  	
  5,000,000 – 5,999,999

  	
   

  	
  100% of eligible bonus

  
	
   

  	
   

  	
  4,000,000 – 4,999,999

  	
   

  	
  75%

  
	
   

  	
   

  	
  3,000,000 – 3,999,999

  	
   

  	
  50%

  
	
   

  	
   

  	
  2,000,000 – 2,999,999

  	
   

  	
  25%

  
	
   

  	
   

  	
  1,000,000 – 1,999,999

  	
   

  	
  20%

  
	
   

  	
   

  	
  0 - 999,999

  	
   

  	
  15%

  

 

*Before Bonuses, Interest
and Income Taxes

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