ADT 2011 Annual Report Download - page 76

Description Chief Executive Officer Named Executive Officers
Bonus in year of change in Yes. Yes.
control:
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Equity treatment: • All options and RSUs vest in Substantially all of the individual
full. equity awards for our named
• All performance-based shares executive officers provide that,
vest at target. upon a change in control (and,
• Options remain exercisable with respect to awards granted
for the remainder of their in fiscal 2009 and thereafter,
term. upon a termination event):
• All options and RSUs vest in
full.
• All performance-based units
vest at target.
• Options remain exercisable
until the earlier of (i) the
expiration of the remainder of
their term and (ii) up to three
years following the executive’s
termination date.
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Excise tax gross-up payment: Yes. No.
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IRC Section 280G Cap on No. Yes, if the cap results in greater
Benefits: after tax payments to executive,
otherwise benefits are not
capped.
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Outplacement assistance: No. Up to 12 months.
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Restrictive covenants: • Prohibited from soliciting • Subject to confidentiality and
customers and employees of non-disparagement covenants.
Tyco for one year from the
date of termination.
• Prohibited from competing
with Tyco for one year from
the date of termination (two
years with respect to a
competing business that
generates more than 30% of
its gross revenues from the
security business).
• Subject to confidentiality and
non-disparagement covenants.
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Under Mr. Breen’s employment agreement, Mr. Breen’s resignation for any reason is treated as a
termination for ‘‘Good Reason’’ if such resignation occurs within the 30-day period commencing on the
first anniversary of the change in control.
62 2012 Proxy Statement