AbbVie 2014 Annual Report Download - page 143

Download and view the complete annual report

Please find page 143 of the 2014 AbbVie annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 182

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172
  • 173
  • 174
  • 175
  • 176
  • 177
  • 178
  • 179
  • 180
  • 181
  • 182

13NOV201221352027
The committee is committed to ensuring that a substantial portion of executive compensation is ‘‘at-risk’’ and
variable. As such, 90% of the CEO’s total direct compensation and, on average, more than 85% of our other NEOs’ total
direct compensation, is variable and directly affected by both the company’s and the NEO’s performance.
2014 Performance Results
The performance targets established under our annual and long-term incentive plans are designed to be
challenging yet achievable, with above target payouts for strong performance and below target payouts (including no
payout) for below target performance. Targets are based on historical peer and company performance, expectations for
our pipeline products, and expected business, market, and regulatory conditions.
Financial Goals
Richard A. Gonzalez A. Adjusted Diluted EPS of $3.05 A. Achieved—$3.32
B. Adjusted Net Sales of $19.0BN B. Achieved—$19.9BN
C. Adjusted Income Before Taxes of $6.3BN C. Achieved—$6.9BN
D. Adjusted Return on Assets of 21.9% D. Achieved—26.3%
Michael E. Severino A. Adjusted Diluted EPS of $3.05 A. Achieved—$3.32
B. Adjusted Net Sales of $19.0BN B. Achieved—$19.9BN
Carlos Alban A. Adjusted Diluted EPS of $3.05 A. Achieved—$3.32
B. Adjusted Net Sales of $19.0BN B. Achieved—$19.9BN
C. Adjusted Income Before Taxes of $6.3BN C. Achieved—$6.9BN
Laura J. Schumacher A. Adjusted Diluted EPS of $3.05 A. Achieved—$3.32
B. Adjusted Net Sales of $19.0BN B. Achieved—$19.9BN
William J. Chase A. Adjusted Diluted EPS of $3.05 A. Achieved—$3.32
B. Adjusted Net Sales of $19.0BN B. Achieved—$19.9BN
Each of our NEOs also has individual performance goals that the committee reviews and ensures are
appropriately rigorous and in line with the long-term success of the company. Each NEO achieved or exceeded his or her
2014 goals, which are listed below:
•Richard A. Gonzalez: Successfully advance mid- and late-stage pipeline assets; execute key strategic
initiatives to drive top tier, sustainable long-term business performance; deliver strong value to our
stockholders, building investor confidence and credibility; drive exceptional business performance; continue
to drive strong employee engagement and motivation around AbbVie’s mission and future prospects; and
advance our transformation to a biopharmaceutical culture.
•Michael E. Severino: Achieve key research and development milestones per company strategy; and achieve
proprietary pipeline enhancement objectives.
•Carlos Alban: Achieve key product milestones; secure pipeline assets for sourced innovation; advance
existing pipeline assets by achieving key milestones; successfully adapt market strategies to external
considerations.
•Laura J. Schumacher: Successfully continue to develop and implement strategies to effectively resolve key
litigation matters; achieve proprietary pharmaceutical pipeline enhancement objectives; execute biologics
strategic development initiatives; and support research and development initiatives per company strategy.
•William J. Chase: Achieve proprietary pharmaceutical pipeline enhancement objectives; and successfully
transition corporate services infrastructure to a standalone model.
2015 Proxy Statement 23
Name Goal and Expected Result Results Achieved
EXECUTIVE COMPENSATION