Delta Airlines 2012 Annual Report Download - page 410

(B) Average Annual Operating Income Margin .
A = Operating Income for 2013 and 2014; and
B = Total Operating Revenue for 2013 and 2014.
(C) Customer Service Performance .
(D) Return on Invested Capital .
A = Adjusted Total Operating Income; and
B = Average Invested Capital.
(v) Vesting .
(A) General.
Subject to the terms of the 2007 Performance Plan, the TAP, and all other conditions
included in any applicable Award Agreement, the Performance Award shall vest, as described in this Section
4(b)(v), as of the end of the Performance Period to the extent that the Company's actual performance results
meet or exceed Threshold level with respect to Average Annual Operating Income Margin, Customer Service
Performance and/or Return on Invested Capital, as applicable and as described below. For purposes of
Average Annual Operating Income Margin, the Company's performance is compared against the Composite
Performance of the Industry Composite Group.
(B) Committee's Authority.
In determining the Average Annual Operating Income Margin for Delta
and each member of the Industry Composite Group and the Return on
5
(1) The “ Average Annual Operating Income Margin ”
for Delta and each member of the
Industry Composite Group shall be calculated by using the subject company's Operating
Income and Total Operating Revenue for the applicable periods and the following formula: (A
÷ B ), where:
(2) “ Operating Income ”
has the meaning given such term in the 2013 LTIP.
(3) “ Total Operating Revenue ”
has the meaning given such term in the 2013 LTIP.
(1) The “ Customer Service Performance ”
has the meaning given such term in the 2013 LTIP.
(1) The “ Return on Invested Capital ”
for Delta shall be calculated by using Delta's Adjusted
Total Operating Income and Average Invested Capital for each individual calendar year during
the Performance Period (2013 and 2014) and the following formula, (A B), where:
(2) “
Adjusted
Total Operating Income
”
has the meaning given such term in the 2013 LTIP.
(3) “
Average Invested Capital
”
has the meaning given such term in the 2013 LTIP.