Delta Airlines 2010 Annual Report Download - page 432

(a) Financial Performance Measures. The Financial Performance measures for 2011 are based on Delta's Pre-Tax Income, as defined below. The
following table describes the performance ranges and award payout levels for 2011 Financial Performance, subject to Section 4(c) above:
Threshold Target Maximum
% of Target Financial Performance Measure Paid 50% 100% 200%
Required 2011 Pre-Tax Income $1,322 Million $1,974 Million $2,625 Million
Payouts will be straight-line interpolated when Pre-Tax Income results fall above Threshold and below Target or above Target and below Maximum.
"Pre-Tax Income" will be the amount of Pre-Tax Income, if any, determined under the Profit Sharing Program for 2011.1
(b) Operational Performance Measures. The Operational Performance measures for 2011 are based on both Delta and Delta Connection operational
performance, with (i) Delta's operational performance accounting for 75% of the measure and (ii) Delta Connection performance accounting for 25% of the
measure. Delta's Operational Performance is based on the number of times during 2011 that Delta meets or exceeds its monthly goals under the broad-based
employee shared rewards program (the "Shared Rewards Program"). Delta Connection's Operational Performance is based on the number of times during
2011 that the Delta Connection carriers meet or exceed their monthly operational goals for (x) completion factor and (y) on-time performance (the "Delta
Connection Goals"). The Delta Connection Goals and the methodology for determining whether these goals are met are described in Exhibit A hereto. The
following table describes the performance ranges and award payout levels for 2011 Operational Performance, subject to Section 4(c) above:
1 The Profit Sharing Program for 2011 defines "Pre-Tax Income" as follows: for any calendar year, the Company's consolidated pre-tax income
calculated in accordance with Generally Accepted Accounting Principles in the United States and as reported in the Company's public securities filings
but excluding: (a) all asset write downs related to long term assets, (b) gains or losses with respect to employee equity securities, (c) gains or losses with
respect to extraordinary, one-time or non-recurring events, and (d) expense accrued with respect to the profit sharing plan and the MIP.
4