The Plan provides for the issuance of a number of common stock awards to employees, directors and consultants of the Company upon the completion of specified work of a specified period. The Company's Plan is supervised by the Compensation Committee of the Board of Directors (the “Committee”). The Committee is authorized to establish maximum terms and conditions of awards and the amount, terms and conditions of any awards made under the Plan are set by the Committee. The Company believes that the Plan is a constructive means to address and manage its executive compensation under the circumstances. In particular, as a result of its success in retaining key executives under the Plan, the Committee has been able to set executive pay at levels that are consistent with Company performance. In 2005, the Company's annual bonus award, for example, was set at five times the base salary of an executive at the executive level. No amounts were paid to any of the Company's employees in 2003 under the Plan. The plan was established to incentivize the Company's senior executives in recognition of their accomplishments and to provide a long-term incentive for senior leaders and senior consultants to further their accomplishments. In addition, the Plan provides for the Company's executive officers to earn annual retention bonuses for three years after the year of appointment upon completion of the requisite three years of employment, payable on the date on which they become eligible to receive their respective annual incentive grant in accordance with the terms of the terms of the Plan. The Company has subject to the terms of the Plan, other than as set forth below, an annual target range, as well as performance targets that are intended to be achieved by Executive Officers, who typically participate in the Plan, by the Company and its subsidiaries. Subject to the terms of the Plan, awards made under the plan are subject to the Company's executive compensation policy.
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FORM 10 K AES CORP AES Filed: March 27, 2001 (period: December 31, 2000) Annual report which provides a comprehensive overview of the company for the past year Table of Contents PART I ITEM 1 ITEM
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