How will bonuses be structured under the new plan?

Bonuses will be structured as annual awards, potentially paid in cash and restricted stock. A portion of these awards will be contingent upon the achievement of defined performance goals.

What are the key performance metrics for 2007 under the Incentive Plan?

For operating unit executives, performance goals are based on operating income targets, modified return on asset targets, and safety statistics. For corporate management, performance goals are based on operating income targets and return on equity targets.

Does the Compensation Committee have oversight of the incentive awards?

Yes, the Compensation Committee of the Board of Directors adopted the plan and will establish specific target amounts for participants. Furthermore, all future awards under the Incentive Plan are subject to the Compensation Committee's approval prior to being granted.

PWR 8-K: Leadership Changes

Q: What is the primary purpose of the 2007 Incentive Bonus Plan?

The primary purpose of the 2007 Incentive Bonus Plan is to incentivize Quanta Services' corporate and operating unit executive officers and key management employees through annual bonus awards, payable in cash and restricted stock, based on achieving specific performance targets.

Summary

Quanta Services, Inc. (PWR) announced on March 7, 2007, the adoption of the Quanta Services, Inc. 2007 Incentive Bonus Plan (the Incentive Plan) by its Compensation Committee. This plan aims to incentivize executive officers and key management employees through annual bonus awards, which can be paid in cash and restricted stock. The Incentive Plan incorporates performance-based compensation, with specific metrics tied to operating income, return on assets (for operating units), and safety statistics. Corporate management bonuses are linked to operating income and return on equity targets. The Compensation Committee retains discretion over award determinations and requires its approval for all future awards, ensuring alignment with company performance and strategic objectives.

Key Highlights

1Adoption of the 2007 Incentive Bonus Plan.
2Plan targets executive officers and key management employees.
3Annual bonus awards can be paid in cash and restricted stock.
4Performance goals include operating income, modified return on assets, and safety statistics for operating units.
5Corporate management performance is measured by operating income and return on equity.
6Discretionary awards are possible for both corporate and operating unit personnel.
7Compensation Committee approval is required for all future awards under the plan.

QUANTA SERVICES, INC. 8-K Report, Executive Changes (Mar 8, 2007)

Summary

Key Highlights

Frequently Asked Questions