Kodak 2004 Annual Report Download - page 135

Board
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2 0 0 5 ฀ N O T I C E ฀ O F ฀ A N N U A L ฀ M E E T I N G ฀ A N D ฀ P R O X Y ฀ S T A T E M E N T
฀ •฀approved฀a฀restatement฀of฀the฀Executive฀Committee’s฀charter;
฀ •฀engaged฀its฀own฀search฀firm฀to฀assist฀in฀the฀selection฀of฀a฀new฀director;
฀ •฀recommended฀to฀the฀Board฀the฀election฀of฀two฀new฀directors;
฀ •฀completed฀a฀review฀of฀the฀Committee’s฀own฀performance;
฀ •฀reviewed฀the฀Company’s฀Social฀Responsibility฀Policies;
฀ •฀reviewed฀the฀Company’s฀Health,฀Safety฀and฀Environment฀strategies฀and฀management฀system;
฀ •฀reviewed฀and฀approved฀the฀Company’s฀2005฀Charitable฀Contributions฀Budget;
฀ •฀monitored฀corporate฀governance฀developments,฀including฀those฀related฀to฀Board฀structure;
฀ •฀monitored฀the฀Board’s฀progress฀against฀its฀action฀plan฀from฀its฀2003฀evaluation;
฀ •฀oversaw฀the฀Board’s฀annual฀performance฀review;฀and
฀ •฀recommended฀to฀the฀Board฀a฀realignment฀of฀the฀Board’s฀committee฀assignments.
The฀Corporate฀Responsibility฀and฀Governance฀Committee฀is฀sometimes฀referred฀to฀as฀the฀“Governance฀Committee”฀in฀this฀Proxy฀Statement.
Executive฀Compensation฀and฀Development฀Committee — 7฀meetings฀in฀2004฀
The฀Executive฀Compensation฀and฀Development฀Committee฀assists฀the฀Board฀in:฀overseeing฀the฀Company’s฀executive฀compensation฀strategy;฀overseeing฀
the฀administration฀of฀its฀executive฀compensation฀and฀its฀equity-based฀compensation฀plans;฀reviewing฀and฀approving฀the฀compensation฀of฀the฀Company’s฀
CEO;฀overseeing฀the฀compensation฀of฀the฀Company’s฀executive฀officers;฀reviewing฀the฀Company’s฀succession฀plans฀for฀its฀CEO,฀President฀and฀other฀key฀
positions;฀and฀overseeing฀the฀Company’s฀activities฀in฀the฀areas฀of฀leadership฀and฀executive฀development.฀A฀detailed฀list฀of฀the฀Committee’s฀functions฀is฀
included฀in฀its฀charter,฀which฀can฀be฀accessed฀at฀www.kodak.com/go/governance.฀In฀the฀past฀year,฀the฀Executive฀Compensation฀and฀Development฀
Committee:
฀ •฀approved฀the฀terms฀of฀the฀proposed฀2005฀Omnibus฀Long-Term฀Compensation฀Plan;
฀ •฀approved฀certain฀amendments฀to฀the฀Executive฀Compensation฀for฀Excellence฀and฀Leadership฀Plan฀and฀the฀Wage฀Dividend฀Plan;
฀ •฀reviewed฀the฀executive฀compensation฀strategy,฀goals฀and฀principles;
฀ •฀reviewed฀the฀Company’s฀executive฀development฀process;
฀ •฀reviewed฀the฀Company’s฀U.S.฀healthcare฀liabilities,฀strategies฀and฀cost฀control฀initiatives;
฀ •฀reviewed฀the฀Company’s฀global฀pension฀assets฀and฀liabilities;
฀ •฀completed฀a฀review฀of฀the฀Committee’s฀own฀performance;
฀ •฀set฀the฀compensation฀for฀the฀CEO฀and฀reviewed฀and฀approved฀the฀compensation฀recommendations฀for฀the฀Company’s฀other฀executive฀officers;฀
฀ •฀reviewed฀termination฀costs฀for฀the฀Company฀if฀the฀CEO฀or฀President฀were฀to฀terminate฀employment฀under฀various฀leaving฀scenarios;
฀ •฀began฀a฀review฀of฀the฀Company’s฀change฀in฀control฀program;฀and
฀ •฀granted฀and฀certified฀awards฀under฀the฀Company’s฀compensation฀plans.
The฀Executive฀Compensation฀and฀Development฀Committee฀is฀sometimes฀referred฀to฀as฀the฀“Compensation฀Committee”฀in฀this฀Proxy฀Statement.
Finance฀Committee — 5฀meetings฀in฀2004฀
The฀Finance฀Committee฀assists฀the฀Board฀in฀overseeing฀the฀Company’s:฀balance฀sheet฀and฀cash฀flow฀performance;฀financing฀plans;฀capital฀expenditures;฀
acquisitions,฀joint฀ventures฀and฀divestitures;฀risk฀management฀programs;฀performance฀of฀sponsored฀pension฀plans;฀and฀tax฀policy.฀A฀detailed฀list฀of฀the฀
Committee’s฀functions฀is฀included฀in฀its฀charter,฀which฀can฀be฀accessed฀at฀www.kodak.com/go/governance.฀In฀the฀past฀year,฀the฀Finance฀Committee:
฀ •฀฀reviewed฀the฀Company’s฀capital฀structure฀and฀financing฀strategies฀including฀dividend฀declaration,฀capital฀expenditures,฀debt฀repayment฀plan,฀share฀
repurchase฀and฀hedging฀of฀foreign฀exchange฀and฀commodity฀price฀risks;฀
฀ •฀reviewed฀cash฀flow฀and฀balance฀sheet฀performance;฀
฀ •฀reviewed฀credit฀ratings฀and฀key฀financial฀ratios;
฀ •฀reviewed฀significant฀acquisitions,฀divestitures,฀including฀real฀estate฀sales,฀and฀joint฀ventures;฀฀
฀ •฀reviewed฀investment฀performance;฀
฀ •฀reviewed฀the฀funding฀status฀and฀performance฀of฀the฀Company’s฀defined฀benefit฀pension฀plans;฀
฀ •฀reviewed฀the฀Company’s฀insurance฀risk฀management,฀crisis฀management฀and฀asset฀protection฀programs;฀and฀
฀ •฀reviewed฀the฀Company’s฀tax฀policy฀and฀strategies.฀
Executive฀Committee — No฀meeting฀in฀2004
The฀Executive฀Committee฀is฀composed฀of฀six฀directors,฀the฀Chairman฀of฀the฀Board,฀the฀Presiding฀Director฀and฀the฀Chairs฀of฀the฀other฀four฀committees.฀The฀
Committee฀is฀generally฀authorized฀to฀exercise฀all฀of฀the฀powers฀of฀the฀Board฀in฀the฀intervals฀between฀meetings฀of฀the฀Board.฀The฀Executive฀Committee฀did฀
not฀meet฀in฀2004.฀Based฀on฀the฀recommendation฀of฀the฀Governance฀Committee,฀the฀Board฀in฀2004฀restated฀the฀Executive฀Committee’s฀charter.฀A฀copy฀of฀
the฀restated฀charter฀can฀be฀accessed฀at฀www.kodak.com/go/governance.