Exhibit 10.9
RITA Medical
Systems
2006 Management Performance
Incentive Plan
PURPOSE
The purpose of the 2006 Management
Performance Incentive Plan (PIP) is to reward eligible employees
for achieving RITA Medical Systems business plan goals and provide
a means for management to share in the company’s
success.
The PIP has two independent and
unrelated mutually exclusive parts:
1. Financial Achievement
Plan . The
Compensation Committee has approved potential cash bonus payments
to employees of approximately $830,000 in the aggregate (prior to
any changes which will be allowed for raises, new hires or
promotions to become eligible, or of a change of levels or
performance award percentages) under the Financial Achievement Plan
(The “Financial Plan”), subject to acceleration in
certain circumstances as discussed below. Under the Financial Plan,
if the Company’s actual performance meets or exceeds certain
of its target revenue and pro forma income/loss goals for the first
and/or second half of the year ending December 31, 2006, the
Company’s executive officers, senior directors, directors and
managers (the “Employee Group”), a group consisting of
approximately 30 employees, will receive cash incentive bonus
payments within a defined range, paid on a semi-annual basis. The
Financial Plan provides that if the Company meet
