Intel 2009 Annual Report Download - page 140

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INTEL CONFIDENTIAL
100% minus two times the difference in percentage points. If the Intel TSR is greater than the CG TSR, the conversion rate
shall be 100% plus three times the difference in percentage points. In the event that the conversion rate results in the right to
receive a partial share of Common Stock, the conversion rate shall be rounded down so that the RSUs shall not convert into
the right to receive the partial share.
By way of illustration, assume the CG TSR is 100%. If the Intel TSR equals 100.5%, the conversion rate is 100%, so that
your RSUs convert into the right to receive 100% of the Target Number of Shares. If the Intel TSR is 90%, the difference is
10 percentage points and the conversion rate is 80%, so that your RSUs convert into the right to receive 80% of the Target
Number of Shares. If the Intel TSR is 105%, the difference is 5 percentage points and the conversion rate is 115%, so that
your RSUs convert into the right to receive 115% of the Target Number of Shares.
(a) Intel TSR is a percentage (to the third decimal point) derived by:
(1) A numerator that is difference between the closing sale price of Common Stock on the grant date subtracted from
the average closing sale price of Common Stock during the 6 months prior to the end of the Performance Period,
plus any dividends paid or payable with respect to a record date that occurs during the Performance Period; and
(2)
A denominator that is the closing sale price of Common Stock on the grant date.
(b)
CG TSR is the average of the Tech 15 TSR and the S&P 100 TSR where:
(1) TSR of each stock is a. the difference between the closing sale price on the grant date subtracted from the
weighted average closing sale price during the 6 months prior to the end of the Performance Period, plus any
dividends paid or payable with respect to a record date that occurs during the Performance Period, divided (to the
third decimal point) by b. the closing sale price on the grant date;
(2) Tech 15 TSR is the median TSR of the fifteen technology companies included in the Corporation’s peer group for
determining executive compensation, as determined by the Compensation Committee prior to the grant date, and
regardless of any subsequent change after the grant date;
(3) S&P 100 TSR is the median TSR of the companies included in the Standard & Poor’s 100 as of the grant date,
minus the Corporation (in the event the Corporation is included in the Standard & Poor’s
2.