Kroger 2015 Annual Report Download - page 57

55
Name
Involuntary
Termination
Voluntary
Termination/
Retirement Death Disability
Change
in Control
without
Termination
Change in
Control with
Termination
Frederick J. Morganthall II
Accrued and Banked Vacation $ 77,310 $ 77,310 $ 77,310 $ 77,310 $ 77,310 $ 77,310
Severance — — — — — 2,180,016
Additional Vacation and Bonus — — — — — 41,443
Continued Health and Welfare Benefits(1) — — — — — 27,484
Stock Options(2) — — 19,180 19,180 19,180 19,180
Restricted Stock(3) — — 5,721,797 5,721,797 5,721,797 5,721,797
Performance Units(4) — 478,038 478,038 478,038 452,195 452,195
Long-Term Cash Bonus(5) — 559,162 559,162 559,162 561,930 561,930
Executive Group Life Insurance — — 2,295,000 — — —
(1) Represents the aggregate present value of continued participation in the Company’s medical, dental
and executive term life insurance plans, based on the premiums paid by the Company during the
eligible period. The eligible period for continued medical and dental benefits is based on the length
of service, which is 22 months for Mr. Hjelm, and 24 months for the other NEOs. The eligible period
for continued executive term life insurance coverage is six months for all NEOs. The amounts
reported may ultimately be lower if the executive is no longer eligible to receive benefits, which
could occur upon obtaining other employment and becoming eligible for substantially equivalent
benefits through the new employer.
(2) Amounts reported in the death, disability and change in control columns represent the intrinsic
value of the accelerated vesting of unvested stock options, calculated as the difference between the
exercise price of the stock option and the closing price per Kroger common share on January 29,
2016. In accordance with SEC rules, no amount is reported in the voluntary termination/retirement
column because vesting is not accelerated, but the awards may continue to vest on the original
schedule if the conditions described above are met.
(3) Amounts reported in the death, disability and change in control columns represent the aggregate
value of the accelerated vesting of restricted stock. In accordance with SEC rules, no amount is
reported in the voluntary termination/retirement column because vesting is not accelerated, but the
awards may continue to vest on the original schedule if the conditions described above are met.
(4) Amounts reported in the voluntary termination/retirement, death and disability columns represent
the aggregate value of the performance units granted in 2014 and 2015, based on the probable
outcome of the performance conditions as of January 30, 2016 and prorated for the portion of the
performance period completed. Amounts reported in the change in control column represent the
aggregate value of 50% of the maximum number of performance units granted in 2014 and 2015 at
the beginning of the performance period. Awards under the 2013 Long-Term Incentive Plan were
earned as of the last day of 2015 so each NEO was entitled to receive (regardless of the triggering
event) the amount actually earned, which is reported in the Stock Awards column of the 2015 Stock
Vested Table.
(5) Amounts reported in the voluntary termination/retirement, death and disability columns represent the
aggregate value of the long-term cash bonuses granted in 2014 and 2015, based on the probable
outcome of the performance conditions as of January 30, 2016 and prorated for the portion of the
performance period completed. Amounts reported in the change in control column represent the
aggregate value of 50% of the long-term cash bonus potentials under the 2014 and 2015 Long-Term
Incentive Plans. Awards under the 2013 Long-Term Incentive Plan were earned as of the last day of
2015, so each NEO was entitled to receive (regardless of the triggering event) the amount actually
earned, which is reported in the Non-Equity Incentive Plan Compensation column of the Summary
Compensation Table.