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DOCUMENT TITLE:  MERCURY COMPUTER SYSTEMS, INC. ANNUAL EXECUTIVE BONUS PLAN .
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Clause Heading
1.1 - Effective Date.
1.2 - Purpose of the Plan.
1.3 - Documents Constituting the Companys Annual Executive Bonus Plan.
SECTION 2 - DEFINITIONS
3.1 - Selection of Participants.
3.2 - Determination of Performance Goals.
3.3 - Determination of Target Bonuses.
3.4 - Determination of Actual Bonuses.
4.1 - Right to Receive Payment.
4.2 - Form of Payment.
4.3 - Timing of Payments.
4.4 - Employment at Time of Payment.
4.5 - Proration.
4.6 - Termination due to Death, Disability, Planned Retirement, Termination without Cause, and Resignation for Good Reason.
4.7 - Section 409A.
5.1 - Committee is the Administrator.
5.2 - Committee Authority.
5.3 - Decisions Binding.
5.4 - Delegation by the Committee.
6.1 - Tax Withholding.
6.2 - No Effect on Employment.
6.3 - Participation.
6.4 - Indemnification.
6.5 - Successors.
6.6 - Beneficiary Designations.
6.7 - Nontransferability of Bonuses.
7.1 - Amendment, Suspension, or Termination.
7.2 - Duration of the Plan.
8.1 - Language Conventions.
8.2 - Severability.
8.3 - Requirements of Law.
8.4 - Governing Law.
8.5 - Captions.