Eli Lilly 2009 Annual Report Download - page 140

The table below shows the minimum and maximum possible payout for each PA grant included in the “Stock
Awards” column of the Summary Compensation Table (actual payouts for 2009 PAs are shown on page 44).
Name Award Type Payout Date Minimum Payout Maximum Payout
Dr. Lechleiter 2009 PA
2009-2010 PA
January 2010
January 2011
$0
$0
$7,500,000
$7,500,000
Dr. Paul 2009 PA
2009-2010 PA
January 2010
January 2011
$0
$0
$3,000,000
$3,000,000
Mr. Carmine 2009 PA
2009-2010 PA
January 2010
January 2011
$0
$0
$3,000,000
$3,000,000
Mr. Rice 2009 PA
2009-2010 PA
January 2010
January 2011
$0
$0
$3,000,000
$3,000,000
Mr. Armitage 2009 PA
2009-2010 PA
January 2010
January 2011
$0
$0
$2,000,000
$2,000,000
3
Payments for 2009 performance were made in March 2010 under the bonus plan. No bonus was paid to a
named executive officer except as part of a non-equity incentive plan.
4
The amounts in this column are the change in pension value for each individual, calculated by our actuary. The
increase in incremental values in 2009 over 2008 was driven largely by the decrease in the discount rate from
6.9 percent in 2008 to 6.0 percent in 2009, reflecting changes in interest rates. The impact of this change is
shown for Dr. Lechleiter in the supplemental table in footnote 1 above. Dr. Paul’s increase in value was also
affected by 10 years of additional service credit described on page 48. No named executive officer received
preferential or above-market earnings on deferred compensation.
5
The table below shows the components of the “All Other Compensation” column for 2007 through 2009, which
includes the company match for each individual’s savings plan contributions, tax reimbursements, and
perquisites.
Name Year Savings Plan Match Tax Reimbursements
1
Perquisites Other Total “All Other Compensation”
Dr. Lechleiter
2009
2008
2007
$89,000
$80,348
$68,945
$1,091
$6,759
$1,816
$0
$0
$0
$0
$0
$0
$90,091
$87,107
$70,761
Dr. Paul
2009
2008
2007
$14,700
$13,800
$13,500
$1,982
$4,572
$0
$0
$0
$0
$0
$0
$0
$16,682
$18,372
$13,500
Mr. Carmine 2009
2008
$55,000
$46,987
$2,001
$6,510
$0
$0
$0
$0
$57,001
$53,497
Mr. Rice
2009
2008
2007
$53,550
$50,047
$44,855
$1,288
$6,246
$15,030
3
$0
$29,741
2
$0
$0
$0
$18,902
4
$54,838
$86,034
$78,787
Mr. Armitage
2009
2008
2007
$48,670
$46,726
$44,500
$1,232
$6,412
$1,051
$0
$0
$0
$0
$0
$0
$49,902
$53,138
$45,551
1
These amounts reflect tax reimbursements for expenses for each executive’s spouse to attend certain company
functions involving spouse participation. Beginning in 2010, the company will no longer reimburse executive
officers for these taxes. For Mr. Rice, these amounts include taxes on income imputed for use of the corporate
aircraft to attend outside board meetings.
2
The incremental cost of Mr. Rice’s use of the corporate aircraft was $25,839 in 2008. The amount in this column
also includes Mrs. Nelson-Rice’s expenses to attend certain company functions involving spouse participation.
We calculate the incremental cost to the company of any personal use of the corporate aircraft based on the
cost of fuel, trip-related maintenance, crew travel expenses, on-board catering, landing fees, trip-related hangar
and parking costs, and smaller variable costs, offset by any time-share lease payments by the executive. Since
the company-owned aircraft are used primarily for business travel, we do not include the fixed costs that do not
change based on usage, such as pilots’ salaries, the purchase costs of the company-owned aircraft, and the
cost of maintenance not related to trips. As of March 1, 2009, executive officers are no longer permitted to use
corporate aircraft to attend outside board meetings.
3
For Mr. Rice, this amount includes $13,051 in tax reimbursements in 2007 for the payment described in
footnote 4 below.
42
PROXY STATEMENT