Big Lots 2008 Annual Report Download - page 52

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(1) The stock option awards identified with an asterisk in column (e) were made pursuant to the 1996 Incentive
Plan. All other stock option awards reflected in this table were made pursuant to the 2005 Incentive
Plan. Stock option awards identified as having been made pursuant to the 1996 Incentive Plan vest on
the anniversary of the grant date at the rate of 20% per year over the first five years of the 10 year option
term, except that the stock option award made to Mr. Fishman under the 1996 Incentive Plan vests on the
anniversary of the grant date at a rate of 25% per year over the first four years of the seven year option term.
Stock option awards made under the 2005 Incentive Plan vest on the anniversary of the grant date at a rate of
25% per year over the first four years of the seven year option term.
(2) The restricted stock awards reported in column (i) were made in fiscal 2008 and fiscal 2007 pursuant to the
2005 Incentive Plan. The second trigger for the fiscal 2008 restricted stock awards is $2.03, and the second
trigger for the fiscal 2007 restricted stock awards is $1.65. Based on our performance in fiscal 2008, we
achieved the second trigger applicable to the fiscal 2007 restricted stock awards and those awards vested on
March 31, 2009, the first trading day after we filed with the SEC our Annual Report on Form 10-K for fiscal
2008. We have not yet achieved the second trigger applicable to the fiscal 2008 restricted stock awards. For
a description of the vesting terms of these restricted stock awards, which vesting terms are substantially
similar except as described in the preceding sentences of this footnote, see the narrative preceding the Grants
of Plan-Based Awards in Fiscal 2008 table and the “Our Executive Compensation Program for Fiscal 2008 –
Equity for Fiscal 2008” section of the CD&A.
Option Exercises and Stock Vested in Fiscal 2008
The following table reflects all stock option exercises and the vesting of restricted stock held by each of the named
executive officers during fiscal 2008.
Option Awards Stock Awards
Name
(a)
Number of
Shares
Acquired
on Exercise
(#)
(b)
Value
Realized
on Exercise
($)
(c)
Number of
Shares
Acquired
on Vesting
(#)
(d)
Value
Realized
on Vesting
($)
(e)
Mr. Fishman 107,992 2,556,973 — —
Mr. Cooper 32,250 503,023 — —
Mr. Waite 41,625 732,722 — —
Mr. Martin 1,200 26,808 — —
Mrs. Bachmann — — — —
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 Mrs. 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.