EX-10.27 5 a2073685zex-10_27.htm EXHIBIT 10.27
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Exhibit 10.27

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EXECUTIVE COMPENSATION PLAN 2002

        EFFECTIVE DATE: JANUARY 1, 2002

NAME:   PRESTON ROMM    
TITLE:   VICE PRESIDENT, FINANCE, CFO    
BASE:   $185,500    
BONUS POTENTIAL:   50%    
TOTAL TARGET        
COMPENSATION 2002:   $278,250    

BONUS PLAN

Total bonus percent (50%) is calculated off base pay, and is paid annually post audit and board approval.

75% of bonus potential is tied to Dot Hill Systems Corporation's 2002 annual operating plan.

    a.
    50% to revenue—$85,000K
    b.
    50% to net income—$4,529K
    c.
    If targets achieved are less than 85% of above, no payout for operating plan will be made.
    d.
    For each 1% increase above 85%, payout is equal to 3.33% with no cap
    e.
    Overachievement to plan is possible per "d" above
    f.
    If at the end of 2002, the year-end revenue AND the net income is equal to or less than 85% of the on-plan targets, no bonus will be paid.

25% of bonus potential is subjective and may be tied to individual departmental goals and performance. This portion will be determined by the President of Dot Hill Systems Corporation.

TERMS

Salary will be paid bi-weekly, based upon the annual base salary amount indicated above, in U.S. dollars.

You must be an employee in good standing on the date of payout to be eligible for the bonus payout.

The base salary and bonus structure may be revised by Dot Hill Board of Directors, if they deem it necessary.

You are eligible for all benefits afforded Regular Full-time Exempt employees as set fort in the most current version of the Dot Hill Employee Handbook.

The terms, conditions, and benefits of your employment with Dot Hill Systems Corporation are governed solely by the standard Company policies and benefits. No promises, verbal commitments, or implied promises will alter these standard policies and benefits.

The employment relationship between the parties is "at will" and may be terminated by Dot Hill at any time without obligation or liability to you.

/s/  JIM LAMBERT      
Jim Lambert, CEO, President
  /s/  PRESTON ROMM      
Preston Romm, Vice President, Finance



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EXECUTIVE COMPENSATION PLAN 2002