SEC Contract Filing

Filing Date: 2015-03-16

Document Content:
<DOCUMENT>
<TYPE>EX-10.23
<SEQUENCE>5
<FILENAME>a12312014exhibit1023bonusp.htm
<DESCRIPTION>EXHIBIT 10.23 EXECUTIVE BONUS PLAN
<TEXT>
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 <title>12.31.2014 Exhibit 10.23 BonusPlan</title>
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<a name="s676433dae0c640038840b7b65b79a918"></a><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><br><div style="line-height:120%;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Exhibit 10.23</font></div><div style="line-height:120%;text-align:center;font-size:16pt;"><font style="font-family:Arial;font-size:16pt;font-weight:bold;">The 2014 Rosetta Stone Executive Bonus Plan </font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;font-weight:bold;">I. Plan Goals</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;">The purpose of the 2014 Rosetta Stone Executive Bonus Plan (the &#8220;Plan&#8221;) is to motivate senior management to achieve key financial and strategic business objectives of Rosetta Stone Inc. and its subsidiaries (&#8220;Rosetta Stone&#8221; or the &#8220;Company&#8221;).</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;font-weight:bold;">II. Plan Participants, Administration and Effective Date</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;">The following executives (each, an "Executive" and collectively, the "Executives&#8221;) are eligible to participate in the Plan: Chief Executive Officer (&#8220;CEO&#8221;); Chief Financial Officer (&#8220;CFO&#8221;); Chief Information Officer (&#8220;CIO&#8221;); Chief Product Officer (&#8220;CPO&#8221;); Chief Legal Officer and Secretary; Senior Vice President, Human Resources; Senior Vice President, Consumer; President, Global Enterprise &amp; Education and other executives as approved by the Compensation Committee of the Board of Directors (the &#8220;Compensation Committee&#8221;).</font></div><div style="line-height:120%;text-align:justify;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;">An Executive is eligible to participate in the Plan only if </font><font style="font-family:Arial;font-size:11pt;font-style:italic;font-weight:bold;">all</font><font style="font-family:Arial;font-size:11pt;">&#32;of the following criteria are met:</font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:11pt;padding-left:24px;"><font style="font-family:inherit;font-size:10pt;">&#8226;</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;">Designated as eligible to participate by the Compensation Committee;</font></div></td></tr></table><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:11pt;padding-left:24px;"><font style="font-family:inherit;font-size:10pt;">&#8226;</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;">Hired, rehired or moved into an eligible position on or before November 1</font><font style="font-family:Arial;font-size:11pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">st</sup></font><font style="font-family:Arial;font-size:11pt;">&#32;of the plan year, and</font></div></td></tr></table><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:11pt;padding-left:24px;"><font style="font-family:inherit;font-size:10pt;">&#8226;</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;">Renders overall satisfactory work performance. </font></div></td></tr></table><div style="line-height:120%;padding-bottom:16px;padding-top:16px;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;">The Compensation Committee is responsible for overseeing the administration of the Plan, including establishing performance targets and determining whether a bonus will be paid pursuant to the Plan. The Compensation Committee may, at its sole discretion, and without prior notice, modify, change, alter or terminate the Plan or determine whether or not a bonus will be paid. No bonus payment will be made unless the Compensation Committee determines: (a) that all material terms of the Plan have been satisfied;