Big Lots 2007 Annual Report Download - page 48

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Option Exercises and Stock Vested
The following table reflects all stock option exercises and the vesting of restricted stock held by each of the named
executive officers during fiscal 2007.
Option Awards Stock Awards
Name
(a)
Number of
Shares
Acquired
on Exercise
(#)
(b)
Value
Realized
on Exercise
($)
(c)
Number of
Shares
Acquired
on Vesting
(#)
(d)
Value
Realized
on Vesting
($)
(e)
Mr. Fishman 175,000 3,533,760 166,667 5,181,413
Mr. Cooper 74,250 1,187,705 21,334 583,700
Mr. Waite 136,625 1,977,854 35,168 821,596
Mr. Martin 90,000 1,466,986 18,500 410,204
Ms. Bachmann 21,250 387,630 21,334 583,700
Pension Benefits
Pension Plan and Supplemental Pension Plan
The Pension Plan is maintained only for certain employees whose hire date preceded April 1, 1994. Effective
January 1, 1996, the benefits accrued under the Pension Plan for certain highly compensated individuals were
frozen at the then current levels. The Supplemental Pension Plan is maintained only for those executives whose
benefits were frozen under the Pension Plan on January 1, 1996. Based on their respective dates of hire, Mr. Waite
is the only named executive officer eligible to participate in these plans, and Mr. Fishman, Mr. Cooper, Mr. Martin
and Ms. Bachmann may not participate in either plan.
The Pension Plan is intended to qualify under the IRC and comply with the Employee Retirement Security Income
Act of 1974, as amended. The amount of the Big Lots’ annual contribution to the Pension Plan is actuarially
determined to accumulate sufficient funds to maintain projected benefits. The Supplemental Pension Plan
constitutes a contract to pay benefits upon retirement. The Supplemental Pension Plan is designed to pay the same
benefits in the same amount as if the participants continued to accrue benefits under the Pension Plan. We have
no obligation to fund the Supplemental Pension Plan, and all assets and amounts payable under the Supplemental
Pension Plan are subject to the claims of our general creditors.
Effective January 1, 1993, the annual retirement benefits payable upon retirement under the Pension Plan and
the Supplemental Pension Plan was, and continues to be, equal to 1% of the average annual compensation during
the participant’s highest five consecutive year period multiplied by the years of service up to a maximum of 25
(“Normal Retirement Pension”), with participation and benefits being limited in and for any single year to one
plan (not both plans) based on the participant’s status as a highly compensated employee, as defined in the IRC.
This benefit is payable when a participant reaches the normal retirement age of 65; however, the Pension Plan and
Supplemental Pension Plan provide the option to retire early (generally at age 55) and to continue employment
beyond the normal retirement age.
Under the Pension Plan and the Supplemental Pension Plan, a participant who has reached the age of 55 and has at
least five years of service with us can elect to retire early and receive a reduced monthly pension commencing on
the date of the participant’s early termination. Alternatively, a participant who has reached the age of 65 can elect
to continue employment with us and continue participation in either the Pension Plan or Supplemental Pension Plan
until the participant retires, at which point the participant shall receive his Normal Retirement Pension. Participants
who terminate employment due to a disability are entitled to a pension amount equal to the actuarially-determined
present value of the Normal Retirement Pension. The spouse of a participant who dies before retirement is entitled
to receive an amount equal to the actuarially-determined present value of the Normal Retirement Pension reduced
for the period of time that the participant’s death or 25th anniversary of employment, if later, precedes the normal
retirement age. A participant who terminates employment for any reason other than death or retirement may
receive a reduced pension amount determined by the number of years the participant worked for Big Lots.