Neiman Marcus 2007 Annual Report Download - page 150
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1.8. "Compensation" means, with respect to any given period, the aggregate compensation, exclusive of any bonuses, paid to
an Eligible Employee by one or more Participating Employers during such period, whether before or after he or she becomes an
Eligible Employee. "Compensation" shall be determined before any reduction under Section 125 or 40 1 (k) of the Code or under any
other deferred compensation plan or arrangement, but shall not otherwise include any Participating Employer contributions under
retirement or other benefit plans or arrangements, or any expense reimbursements, imputed compensation, property, or payments of
compensation previously deferred. In the case of an Eligible Employee who was, immediately prior to the Effective Date, employed
by Carter Hawley Hale Stores, Inc. ("CHH") or any of its affiliates, the term "Participating Employer" shall, for purposes of this
Section 1.7, include CHH and its affiliates.
1.9. "Effective Date" means August 2, 1987.
1.10. "Eligible Employee" means each employee of a Participating Employer who, on any August 1,
(a) is employed in an executive, administrative, or professional capacity as defined in Section 13(a)(I) of the Fair
Labor Standards Act, as amended, and the regulations thereunder,
(b) participates in the Basic Plan,
(c) had a base salary on the immediately preceding December 31 at least equal to the Minimum Salary, and
(d) is not employed as a salesperson.
6