Cincinnati Bell 2013 Annual Report Download - page 58

“Dodd-Frank Act”), with the intention that the policy will be modified when final regulations required by the
Dodd-Frank Act are adopted by the SEC. The policy was effective as of January 1, 2011, for any current
executive officer or former executive officer that terminates employment after January 1, 2011 and applies to
cash and equity-based compensation that is approved, granted or awarded on or after January 1, 2011. The policy
allows the Company to recover incentive payments to, or realized by, certain executive officers in the event that
the incentive compensation was based on the achievement of financial results that were subsequently restated to
correct any accounting error due to material noncompliance with any financial reporting requirement under
federal securities laws and such restatement results in a lower payment or award.
Compensation Limitation
Section 162(m) of the Code generally limits to $1,000,000 the available deduction to the Company for
compensation paid to any of the Company’s NEOs, excluding the Chief Financial Officer, except for
performance-based compensation that meets certain requirements. Although the Compensation Committee
considers the anticipated tax treatment to the Company of its compensation payments, the Compensation
Committee has determined that it will not necessarily seek to limit executive compensation to amounts
deductible under Section 162(m) of the Code.
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