Carnival Cruises 2012 Annual Report Download - page 61

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3. PLAN YEAR
The “Plan Year” shall be the 12-month period ending November 30 of each year.
4. PARTICIPATION
Prior to the commencement of each Plan Year, the CCL CEO shall determine which employees of CCL shall participate in the Plan. In general, the CCL CEO
and all employees of CCL at the level of Vice President or above shall be eligible to participate in the Plan. In his/her discretion, the CCL CEO may select other
employees to participate in the Plan or establish separate criteria to determine the bonus of specified employees.
Persons who commence employment or are promoted to the status of Vice President or above following the beginning of the Plan Year may, with the approval of
the applicable Administrators, be allowed to participate in the Plan.
In order to receive a cash bonus under the Plan, a participant must be employed by Carnival Corporation & plc or one of its subsidiaries on the day the bonus
is paid; provided, however, that if a participant is on a leave of absence that does not meet the requirements of The Family and Medical Leave Act of 1993 on
the day the bonus is paid to the other participants, such bonus shall not be payable until the participant returns to active duty. The only exceptions to this
requirement are for participants whose employment is terminated prior to the day the bonus is paid as the result of death, disability or Retirement (“ Early
Termination Employees”) or for other circumstances approved by the Administrators on a case-by-case basis. If employment is terminated by reason of
death, disability or Retirement, a participant or his/her estate will receive a pro-rata bonus based on the portion of the Plan Year the participant was employed.
For purposes of this section, “Retirement” means a termination of employment by a participant (A) on or after the earlier of (i) age 65 with at least five years
of employment with Carnival Corporation, Carnival plc or any successor thereto and/or their subsidiaries or (ii) age 60 with at least 15 years of employment
with Carnival Corporation, Carnival plc or any successor thereto and/or their subsidiaries or (B) who, as of December 31, 2012, had both reached the age 55
and had at least 15 years of employment with Carnival Corporation, Carnival plc or any successor thereto and/or their subsidiaries.
5. BONUS
A. For purposes of this Plan, the terms below shall be defined as follows:
i. The “CCL Operating Income” shall mean the net income of CCL before interest income and expense and other nonoperating income and
expense and income taxes, as reported by CCL for the Plan Year.
ii. The “CCL Operating Income Target” for the Plan Year will be equal to the actual CCL Operating Income for the prior Plan Year
adjusted for any change in capacity as follows:
2