During the Term of Kraeutler's employment with Meridian, as compensation for Kraeutler's services under this Agreement, Meridian agrees to pay to Kraeutler an annual base salary (the " Base Salary ") of Six Hundred Fifty Six Thousand Five Hundred Eighteen Dollars ($656,518), which is subject to an upward adjustment by an amount equal to the average percentage increase for the Meridian executive team which occurs each November during the Term and is currently anticipated to be in the approximate three percent (3%) to five percent (5%) range. Meridian's Board of Directors shall in good faith review the Base Salary annually, taking into account changes in Kraeutler's responsibilities, increases in the cost of living, performance of Kraeutler, increases in salaries to other executives of Meridian and other pertinent factors, and may, in its reasonable discretion, increase the Base Salary.  Any increase in the Base Salary shall not serve to limit or reduce any other obligation to Kraeutler under this Agreement.  The Base Salary shall not be reduced without the express written consent of Kraeutler.  The term Base Salary as used in this Agreement shall refer to the Base Salary as so increased.