Honeywell 2008 Annual Report Download - page 165

to receipt of a further report from the accountants to the Board of Directors confirming the maximum amount which may be credited
to the Reserve.
The total amount of Incentive Compensation Awards to Senior Executive Employees for a fiscal year shall be limited by the total
then in the Reserve but need not exhaust such total. Any balance remaining after the making of Awards to Senior Executive
Employees shall be removed from the Reserve and will not be available for future Awards to Senior Executive Employees.
V. Eligibility for Awards
Incentive Compensation Awards and, subject to Section VI B, Long-Term Awards, to Senior Executive Employees for any period
may be granted to those Senior Executive Employees who shall be selected by the Committee. Such selections, except in the case of
the Company’s Chief Executive Officer, shall be made after considering the recommendations of the Chief Executive Officer. The
Committee shall also give consideration to the contribution made by the Employee to achievement of the Company’s established
objectives and such other matters as it shall deem relevant. Incentive Compensation Awards and, subject to Section VI B, Long-Term
Awards, to Executive Employees for any period may be granted to those Executive Employees who shall be selected by the Chief
Executive Officer.
In the discretion of the Committee or the Chief Executive Officer, as appropriate, Awards may be made to Employees who retired
or whose employment terminated after the beginning of the period for which an Award is made, or to the designee or estate of an
Employee who died during such period.
VI. Determination of Amounts of Awards
The amounts of Awards to Senior Executive Employees will be determined by the Committee acting in its discretion. Such
determinations shall be made after consideration of such matters as the Committee shall deem relevant which shall include, except in
the case of an Award for the Chief Executive Officer, the recommendations of the Chief Executive Officer. The amounts of Awards to
Executive Employees will be determined by the Chief Executive Officer.
Two types of awards may be made under the Plan:
A. Incentive Compensation Awards. These are Awards based on achievement of short-term business objectives for the Company as
established by the Board of Directors or the Committee for this purpose for each fiscal year, and achievement of short-term business
objectives for the Company’s operating units as established by the Chief Executive Officer for this purpose for each fiscal year.
Awards to Executive Employees may be based on achievement of short-term business objectives for the Company’s operating units
rather than for the Company.
In establishing short-term business objectives, consideration will be given to, among other things, the financial plans for the year
for the Company and its operating units.
The maximum Incentive Compensation Award payable with respect to any fiscal year to an individual who is the Chief Executive
Officer during any part of such fiscal year shall be
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