ADT 2010 Annual Report Download - page 74

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.
(d) The amounts shown in this column as tax gross-up payments for Messrs. Coughlin, Oliver, and
Gursahaney, and Ms. Reinsdorf, represent tax gross-up payments made with respect to taxable
insurance benefits. Amounts for Mr. Breen include tax gross-up payments made with respect to
taxable insurance benefits and the reimbursement of state taxes owed by him to New York for
Tyco work performed in that State. Generally, with respect to compensation awarded to Mr. Breen
prior to 2009, the Company pays the increased tax cost (including a gross-up) that Mr. Breen owes
as a result of working in New York rather than in his principal work location. The amount related
to state taxes for Mr. Breen for fiscal 2010 is an estimate, pending receipt of the relevant personal
state tax return information for calendar year 2010. This estimate is based primarily on
compensation deemed by New York State to be earned by Mr. Breen in fiscal 2010 in respect of
equity granted prior to 2009. Mr. Breen has waived the New York tax gross-up with respect to
compensation awarded after January 1, 2009.
(e) Retirement plan contributions include matching contributions made by the Company on behalf of
each executive to its tax-qualified 401(k) Retirement, Savings and Investment Plan and to its
non-qualified Supplemental Savings and Retirement Plan.
(f) Miscellaneous compensation in fiscal 2010 includes matching charitable contributions made by the
Company on behalf of each of Messrs. Coughlin, Gursahaney and Oliver, and Ms. Reinsdorf and
car service for Mr. Coughlin. Miscellaneous compensation in fiscal 2009 includes matching
charitable contributions made by the Company on behalf of each of Messrs. Coughlin, Gursahaney
and Oliver and payments for fractional shares made to Mr. Gursahaney.
66 2011 Proxy Statement