ADT 2008 Annual Report Download - page 64

Company and individual performance in fiscal 2008 and paid in the first quarter of fiscal 2009) and
for fiscal 2007 (which was based on Company and individual performance in fiscal 2007 and paid
in the first quarter of fiscal 2008). Annual incentive compensation is discussed in further detail
above under the heading ‘‘Elements of Compensation—Annual Incentive Compensation.’’
(4) Change in Pension Value and Non-Qualified Deferred Compensation Earnings: The amounts
reported in column (h) for Mr. Breen reflect the aggregate increase in the actuarial present value
of his accumulated benefits under all pension plans during fiscal 2008 and 2007, determined using
interest rate and mortality rate assumptions consistent with those used in the Company’s financial
statements. Information regarding the pension plans is set forth in further detail below following
the ‘‘Pension Benefits’’ table.
(5) All Other Compensation: The amounts reported in column (i) for each named executive officer
represent cash perquisites, insurance premiums paid by the Company for the benefit of the officer
(and, in some cases, the officer’s spouse), costs related to personal use of Company aircraft, tax
gross-up payments, Company contributions to 401(k) plans and non-qualified plans of the
Company and its subsidiaries providing similar benefits, and other miscellaneous benefits. The
components of All Other Compensation for each named executive officer are shown in the
following table.
All Other Compensation Table
Supplemental Executive Insurance
Benefits(b)
Personal
Variable Individual Group Use of Retirement Total All
Cash Universal Supplemental Supplemental Long- Company Tax Plan Other
Named Executive Year Perquisite(a) Life Disability Disability Term Care Aircraft(c) Gross-Ups(d) Contributions(e) Miscellaneous(f) Compensation
Current Officers
Edward D. Breen ....2008 $70,000 $50,405 $33,611 $2,410 $15,429 $246,347 $632,091 $243,083 $ 307 $1,293,683
2007 $70,000 $50,405 $32,415 $2,410 $15,428 $249,431 $330,200 $155,729 $ 5,500 $ 911,518
Christopher J. Coughlin . 2008 $70,000 $28,262 $15,580 $2,410 $21,211 — $ 64,375 $120,250 $10,109 $ 332,197
2007 $70,000 $28,262 $15,580 $2,410 $21,210 — — $ 82,291 $10,000 $ 229,753
George Oliver ......2008 $59,375 $14,839 $12,428 $4,820 $20,347 — $ 18,617 $ 71,478 $11,207 $ 213,111
John Evard .......2008 $45,504 $20,798 $ 3,807 $2,410 $18,344 — $ 33,519 $ 54,920 $ 137 $ 179,439
2007 $44,016 $20,798 $15,229 $2,410 $18,343 — $ 23,692 $ 36,398 $ 5,262 $ 166,148
Naren Gursahaney . . . 2008 $56,000 $10,109 $12,598 $4,820 $19,275 — $ 21,700 $ 72,000 $ 3,125 $ 199,627
2007 $51,500 $10,109 $12,598 — $19,274 — $ 10,315 $ 65,606 $ 5,960 $ 175,362
(a) Cash Perquisites reflect an annual cash perquisite payment equal to the lesser of (i) 10% of the
executive’s base salary and (ii) $70,000. Payments are made quarterly and are adjusted to reflect
changes in salary.
(b) Supplemental Executive Insurance Benefits reflect premiums paid by the Company for insurance
benefits for the executive and, in the case of long-term care, for the executive’s spouse as well.
These benefits are provided to certain Senior Officers of the Company upon the approval of the
Compensation Committee.
(c) For security purposes, the Chief Executive Officer is encouraged to use Company-owned or -leased
aircraft for personal travel. Other named executive officers are permitted to use Company-owned
or -leased aircraft if expressly approved by the Board or Mr. Breen. For purposes of the Summary
Compensation Table, the aggregate incremental pre-tax cost to the Company for personal use of
Company aircraft is calculated using a method that takes into account the incremental cost of fuel,
trip-related maintenance, crew travel expenses, on-board catering, landing fees, trip-related hangar/
parking costs and other variable costs, including incremental costs associated with executives that
are not in control of the aircraft. Because our aircraft are used primarily for business travel, the
calculation does not include the fixed costs that do not change based on usage, such as pilots’
salaries, the acquisition costs of the Company-owned or -leased aircraft, and the cost of
maintenance not related to trips.
2009 Proxy Statement 47