EX 10G DESCRIPTION OF INITIAL COMP AND EMPLOY ARRA
Published on April 1, 1996
Exhibit 10 G
DELUXE CORPORATION
DESCRIPTION OF INITIAL COMPENSATION AND EMPLOYMENT
ARRANGEMENT WITH JOHN A. BLANCHARD III
Title: President and CEO
Board Membership: Recommend election to board
Base Salary: $500,000 per year; next review November 1996
Annual Bonus: Target award equal to 60% base salary; prorata portion guaranteed
for 1995 Bonus payout range from 0% to 200% of target.
Long-Term Compensation: Full participation in ongoing long-term program 40,000
share stock option grant for 1995.
Replacement for Forfeited Awards: Inducement to Join: 125,000 share stock
option grants (25,000 1995, 50,000 1996, 50,000 1997) and 25,000 share
restricted stock award with minimum five-year vesting $250,000 cash sign-on
bonus; suggest that after-tax proceeds be used to buy Deluxe stock on open
market upon joining.
Retirement Benefits: Credit 15 years of additional service for purposes of
computing benefits under the Company's two defined-contribution retirement
plans.
Perquisites: Extend participation in the Company's automobile, tax preparation
and other executive perquisite programs.
Severance: 24-month continuation of base salary and welfare and retirement
benefits following actual or constructive termination without cause.
Change of Control: Options vest immediately, restricted stock and performance
shares remain in place.
May 1, 1995