Apple 1994 Annual Report Download - page 70

Division Proration Criteria
If a plan participant is in any one division more than three months, the division measurement will be prorated by the number of months the plan
participant was in each division according to the above Proration Criteria. A maximum number of three prorations per fiscal year will be
allowed.
If a plan participant is in any one division less than three months, the period of time in that division will be added to the new division to which
the participant transferred.
Terminations
Plan participants who voluntarily terminate their employment at any time during the plan year are not eligible to receive any award. If a plan
participant terminates after the close of the plan year, but prior to the actual distribution of the bonus payout, such participant will be eligible to
receive a bonus plan award according to the terms of "The Plan". Plan participants whose employment is terminated by Apple may have their
bonus prorated for the time they were participating under the plan until their termination date subject to the approval of the Division President
or Senior Vice President. Such approval may normally be withheld where the termination is based upon unacceptable performance, violation of
Apple policies, or material misconduct, as determined by Apple. This prorated award may be paid at any time at the Company's discretion, but
not later than when other plan participants would receive payment for that fiscal year.
Disability or Death
Plan awards will normally be prorated at the end of the plan year based on the amount of time the employee was an active participant (see
Eligibility Proration Criteria section). In the case of a participant's death, any such award will be paid to the beneficiary as determined pursuant
to the participant's designation of beneficiary under the employee's Apple life insurance plan.
Corrective Actions/Disciplinary Situations
If, during the applicable bonus period, management has determined that corrective action, discipline, or demotion of an employee is
appropriate, during the bonus plan period or before the bonus has actually been paid to the employee, management may, in its discretion and in
consultation with Human Resources, reduce or eliminate entirely the amount of bonus the employee would otherwise be eligible to receive. If,
at the time a bonus would otherwise be payable, such corrective action, discipline, or demotion is being considered, but has not yet been
implemented, the entire bonus, or any portion of it, may be withheld until a decision on such action has been finalized and implemented.
Other Provisions
Participation in this Plan is not an agreement (express or implied) between the Plan participant and Apple that the participant will be employed
by Apple for any specific period of time, nor is there any agreement for continuing or long-term employment. The Plan participant and Apple
each have the right to terminate the employment relationship at any time and for any reason. This at-will employment relationship can only be
modified by an agreement signed by the participant and Apple's Senior Vice President of Human Resources.
Any determination of performance, payment or other matters under this plan by management and/or the Board of Directors is binding on all
interested persons.
Apple Computer Inc's obligation to pay out a Senior/Executive Bonus shall be unfunded and all payment of benefits shall be made from the
general assets of Apple Computer, Inc. Title to and beneficial ownership of any assets of the 1994 Accrued Senior/Executive Bonus accounts
or any other assets which Apple Computer, Inc. may designate to pay bonuses hereunder shall before payment remain in Apple Computer, Inc.
This summary highlights the principle features of the bonus plan, but it does not describe every situation that can occur.
Apple Computer, Inc. retains the right to interpret, revise, modify or delete the plan at its sole discretion at any time.
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