As compensation for Executive’s services to the Company, the Company shall pay Executive an annual base salary (as in effect from time to time, the “ Base Salary ”) at an initial rate of $350,000 per year (pro-rated for any partial year). The Base Salary shall be paid to Executive in accordance with the usual payroll practices of the Company in effect from time to time. The Base Salary may be increased (but not decreased other than pursuant to an across-the-board reduction that applies to all employees or solely to senior executives of the Company) in the sole discretion of the Compensation Committee of the Board of Directors (the “ Compensation Committee ”) or the Board of Directors.