Delta Airlines 2015 Annual Report Download - page 181
Download and view the complete annual report
Please find page 181 of the 2015 Delta Airlines annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.
to the Termination of Employment will generally apply to the Individual Performance measure, if any, applicable to the
Participant.TheParticipant’sAnnualBaseSalarywillbetheresultofthefollowingformula:X×Y/12,where:
X=theParticipant’sannualbasesalaryasineffectasofthedateofTerminationofEmployment;and
Y= thenumberofcalendarmonthstheParticipantwasactivelyemployedbyDeltaduring2016inaMIP-eligible
position,roundedupforanypartialmonth.3
(B)TerminationofEmploymentWithoutCauseorResultinginBenefitsundertheSeverancePlans.ThisSection
8(a)(iii)(B)appliestoanyParticipantwhoincursaTerminationofEmploymentpriortoJanuary1,2017duetoeither(1)a
Termination of Employment by the Company without Cause or (2) for any other reason that entitles such Participant to
benefitsundertheDeltaAirLines,Inc.2009OfficerandDirectorSeverancePlanoranyotherCompany-sponsoredseverance
planin whichaParticipant iseligibleto participate(the“Severance Plans ”). SubjecttotheParticipant’s executionofa
waiverandreleaseofclaimsinaformandmannersatisfactorytotheCompany,suchParticipantwillbeeligibletoreceivea
MIPAwardbasedonanadjustedannualbasesalaryamount,butotherwiseinthesamemanner,tothesameextentandatthe
sametimeastheParticipantwouldhavereceivedsuchMIPAwardifsuchParticipant’semploymenthadcontinuedthrough
December31,2016(i.e.,basedonachievementofapplicableperformancemeasures).TheParticipant’sAnnualBaseSalary
willbedeterminedinaccordancewiththeformulasetforthinSection8(a)(iii)(A)above.
(C)Death.ThisSection8(a)(iii)(C)appliestoanyParticipantwhoincursaTerminationofEmploymentpriorto
January1,2017duetotheParticipant’sdeath.TheParticipant’sestatewillbeeligibletoreceiveaProRataMIPPayment
madeincashassoonaspracticableafteraParticipant’sTerminationofEmployment,butinnoeventlaterthan2½months
followingtheendoftheyearinwhichtheTerminationofEmploymentoccurs.“ProRataMIPPayment”meanstheresult
ofthefollowingformula:W×Z/12,where:
W=theParticipant’sTargetMIPAward;and
Z=thenumberofcalendarmonthsthe ParticipantwasactivelyemployedbyDeltaduring2016inaMIP-
eligibleposition,roundedupforanypartialmonth.
(b)OtherChanges inEmploymentStatus. Theterms ofthis Section8(b) shallapply tocircumstances involving new hires,
promotions,demotions,transfersorleavesofabsenceduring2016.AfteraParticipant’sTargetMIPAwardisdeterminedunderthisSection
8(b),theappropriateweightingofperformancemeasureswillapplytoeachportionofsuchTargetMIPAwardassetforthinSection5above.
Forpartialcalendarmonths,thechangeinemploymentstatuswillbeconsideredeffectiveasofthe1stdayofthemonthinwhichthereisa
changein status;provided,however, intheevent thata Participantwas(i) ona disabilityleaveof absencefor a periodof lessthan one
calendarmonthduring2016and(ii)activelyatworkforatleastonefulldayduringsuchcalendarmonth,theParticipantwillbedeemedto
havebeenactivelyemployedinaMIP-eligiblepositionfortheentirecalendarmonth.Theendofyearperformanceevaluationwillapplyto
anyIndividualPerformancemeasureapplicabletotheParticipantunlesstheParticipantisnolongersubjecttothesuchevaluationprocess
afterthechangeinemploymentstatus,inwhichcasethemostrecentperformanceevaluationwillapply.AnyMIPAwardspayableunderthis
Section8(b)will bepaidat thesame timeandin thesamemanner as suchawardsare paidtoactiveParticipants, subjecttoSection 7(b)
above.
3ForpurposesoftheMIP,onecalendarmonthiscalculatedfromthedateofmeasurementtothesameorclosestnumericaldateoccurringduringthefollowingmonth.Forexample,one
calendarmonthfromJanuary31,2016willelapseasofFebruary29,2016,twomonthswillelapseonMarch31,2016,andsoon.
7