GNC 2010 Annual Report Download - page 148

Table of Contents
Under certain circumstances, management may recommend and the Compensation Committee may approve more limited benefits or
additional benefits, such as relocation expenses for new executives. Benefits and perquisites may be limited or expanded based on the needs
of an executive officer or the circumstances of such executive officer's employment. For example, parking allowances are provided only to
those executive officers whose places of employment require parking licenses, and housing allowances are provided to our most senior
executives only where management and the compensation committee determine that such benefits are necessary to attract, retain or enhance
the performance of the executives.
While the Compensation Committee in its discretion may revise, amend or add to Named Executive Officers' benefits if it deems it
advisable, we have no current plans to change the levels of benefits currently provided to our Named Executive Officers. We annually review
these fringe benefits and make adjustments as warranted based on competitive practices, our performance and the individual's responsibilities
and performance. The Compensation Committee has approved these other benefits as a reasonable component of our executive
compensation program. Please see the "All Other Compensation" column in the Summary Compensation Table for further information
regarding these fringe benefits.
We also maintain a 401(k) plan for eligible employees that permits each participant to make voluntary pre-tax contributions and provides
that the Company may make matching contributions; however, none of our current Named Executive Officers are currently eligible to participate
in the 401(k) plan.
The Company maintains the GNC Live Well Later Non-qualified Deferred Compensation Plan for the benefit of a select group of
management or highly compensated employees. Under the deferred compensation plan, an eligible employee of such subsidiary or a
participating affiliate may elect to defer a portion of his or her future compensation under the plan by electing such deferral prior to the
beginning of the calendar year during which the deferral amount would be earned. Mr. Dowd is the only Named Executive Officer who made
contributions to the plan in 2009. Please see the Non-qualified Deferred Compensation Table for more information regarding the deferred
compensation plan.
Employment Agreements and Severance Compensation. We have employment agreements with all of our Named Executive Officers.
Please see "— Employment Agreements with our 2009 Named Executive Officers" for more information regarding the employment agreements
with our Named Executive Officers as in effect in 2009, and "—Potential Termination or Change-in-Control Payments" for more information
regarding termination and payments made in connection with a change in control. We will continue to determine appropriate employment
agreement and severance packages for our Named Executive Officers in a manner that we believe will attract and retain qualified executive
officers.
Chief Executive Officer Compensation
Mr. Fortunato's annual compensation is weighted towards variable, performance-based compensation, with the Company's financial
performance as the primary determinant of value. For 2009, Mr. Fortunato's compensation consisted of:
• $860,000 base salary,
• no stock option awards,
• annual performance compensation under the 2009 Incentive Plan of $948,580,
• a discretionary bonus of $100,000 for meeting additional performance targets, including personnel initiatives (as described
below), and
• other compensation, including fringe benefits, equal to $72,576.
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