Neiman Marcus 2007 Annual Report Download - page 73

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(5) Represents the intrinsic value of all unvested equity incentive awards, which will become vested upon the change in
control (calculated in the same manner as described in footnote (2) above), and a lump sum amount payable under the
Cash Incentive Plan, more fully described on page 66 of this section.
(6) Represents a lump sum payment of 85% of base salary in effect at the time of termination, two times base salary, two
times target bonus, the intrinsic value of all unvested equity incentive awards, which would become vested upon the
termination of employment (calculated in the same manner as described in footnote (2) above). The amount included for
health and welfare benefits represents a continuation of COBRA benefits for a period of three years. Calculations were
based on COBRA rates currently in effect.
(7) In addition, Mr. Tansky may become entitled to receive a portion (ranging from, as of August 2, 2008, 25% to 100%,
depending on the reason for the separation from service) of the Cash Incentive Plan Payment indicated under the column
entitled "Change in Control" if his employment is terminated for any reason other than Cause, and, subsequent to such
termination, a change in control or an initial public offering meeting certain conditions occurs.
Karen W. Katz
Termination
without cause
Termination Termination or
due to due to for good Change in
Executive Benefits death Disability reason Control
and Payments Upon Separation ($)(1) ($)(2) ($)(3) ($)(4)
Compensation:
Severance $ — $ — $ 1,750,000 $ —
Bonus 656,250 656,250 1,312,500 —
Stock Options — — — —
Benefits & Perquisites:
Retirement Plans — — — —
Deferred Compensation Plan 735,576 735,576 735,576 735,576
Cash Incentive Plan Payment — — — 1,940,994
Long-Term Disability — 240,000 — —
Health and Welfare Benefits — — 31,374 —
Life Insurance Benefits 1,000,000 — — —
Total $ 2,391,826 $ 1,631,826 $ 3,829,450 $ 2,676,570
Footnotes:
(1) Represents Ms. Katz' target bonus and a lump sum basic life insurance benefit payment of $1,000,000 payable by the
Company's life insurance provider to Ms. Katz' beneficiaries upon her death.
(2) Represents Ms. Katz' target bonus and long-term disability payments of $20,000 per month for twelve months payable
from the Company's long-term disability insurance provider.
(3) Represents a lump sum payment of two times base salary and two times target bonus. The amount included for health
and welfare benefits represents a continuation of COBRA benefits for a period of two years. Calculations were based on
COBRA rates currently in effect. See "Employment and Other Compensation Agreements" on page 64 of this section.
(4) Represents a lump sum amount payable under the Cash Incentive Plan, more fully described on page 66 of this section.
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