Perhaps we need to look at our Managers and Directors again. Independently of below it seems appropriate to review key personnel comp following mid year PRC. What do you think.

FYI we have most Managers at $90k and Directors at $115.

David
 -----Original Message-----
From: 	Bland Jr., Ted C.  
Sent:	Wednesday, July 25, 2001 10:56 AM
To:	Oxley, David; Davies, Neil; Buckley, Karen; Jones, Robert W.- HR Exec; Pieper, Kalen; Barnard, Marla; Knudsen, Sheila A.; Smith, Gary; Gilchrist, Scott; Walton, Sheila; Joyce, Mary; Chapman, Jon; White, Leesa; Doucet, Dawn; Fitzpatrick, Amy
Cc:	Lemmons Jr., Billy; Warner, Traci
Subject:	FW: New salary levels
Sensitivity:	Confidential

Please see below.  These will be the new salary levels for the Analyst and Associate Program.  They will go into effect on Feburary 1, 2002 for all Analysts and Associates rated 4 or better and for the offers being extended with start dates after that date (2/01/02).  Those AA's rated at the 5 level will not receive a raise until they bring their rating up to the 4 or better level at the next PRC.  I have provided the old salary levels for your information as well as the new levels.  This is the first increase since January of 2000 and brings us up to competitive levels with our competitors in both Houston and elsewhere. .  These numbers are highly confidential and are not to be released at this time to the Program.  However, they will be included as part of the new offer that will go out to the summer interns we want to bring back as full time AA's (it is anticipated that these offers will be part of the exit interview with AA recruiting).  If you have any questions, please feel free to call me.  Ted

New Salary levels:

 							Sign-on		GTD Performance		Options

Analyst I		$47,000				$10,000		$3,000
Analyst II		$52,000				$10,000		$3,000
Analyst III		$56,000 (rated 3)
Analyst III		$65,000 (rated 1 or 2)
Trading Analyst	$57,000 (new hires)		$10,000*	$3,000
Associate		$83,000				$25,000		$10,000				$10,000**
Associate II		$87,000				$25,000		$10,000				$10,000**

*Plus $10,000 if sign non-compete

** Options can go as high as $30,000 if needed to close deal

Old Salary levels:

							Sign-on		GTD Performance		

Analyst I		$40,000				$10,000		$3,000
Analyst II		$45,000				$10,000		$3,000
Analyst III		$49,000 (rated 3)
Analyst III		$60,000 (rated 1 or 2)
Trading Analyst	$50,000 (new hires)		$10,000*	$3,000
Associate		$76,000				$25,000		$10,000				
Associate II		$81,000				$25,000		$10,000				

*Plus $10,000 if sign non-compete