Pottery Barn 2005 Annual Report Download - page 133

Download and view the complete annual report

Please find page 133 of the 2005 Pottery Barn annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 160

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160

“Participant” means the holder of an outstanding Award granted under the Plan.
“Performance Goals” means the goal(s) (or combined goal(s)) determined by the Administrator (in its
discretion) to be applicable to a Participant with respect to an Award. As determined by the Administrator, the
Performance Goals applicable to an Award may provide for a targeted level or levels of achievement using one
or more of the following measures: (a) Annual Revenue, (b) Cash Position, (c) Earnings Per Share, (d) Net
Income, (e) Operating Cash Flow, (f) Operating Income, (g) Return on Assets, (h) Return on Equity, (i) Return
on Sales, and (j) Total Shareholder Return. The Performance Goals may differ from Participant to Participant and
from Award to Award. The Administrator may establish the goal (except with respect to Total Shareholder
Return) relating to Company performance or to the performance of a business unit, product lines or specific
markets. The Administrator shall appropriately adjust any evaluation of performance under a performance goal to
exclude (i) any extraordinary non-recurring items as described in Accounting Principles Board Opinion No. 30
and/or in management’s discussion and analysis of financial conditions and results of operations appearing in the
Company’s annual report to shareholders for the applicable year, or (ii) the effect of any changes in accounting
principles affecting the Company’s or a business units’ reported results.
“Plan” means this 2001 Long-Term Incentive Plan, as amended and restated on the Effective Date.
“Restricted Stock” means an Award granted pursuant to Section 8.
“Restricted Stock Unit” means an Award granted pursuant to Section 9.
“Return on Assets” means the percentage equal to the Company’s or a business unit’s Operating Income
before incentive compensation, divided by average net Company or business unit, as applicable, assets,
determined in accordance with generally accepted accounting principles.
“Return on Equity” means the percentage equal to the Company’s Net Income divided by average
shareholder’s equity, determined in accordance with generally accepted accounting principles.
“Return on Sales” means the percentage equal to the Company’s or a business unit’s Operating Income
before incentive compensation, divided by the Company’s or the business unit’s, as applicable, revenue,
determined in accordance with generally accepted accounting principles.
“Rule 16b-3” means Rule 16b-3 promulgated under the Exchange Act, and any future regulation amending,
supplementing or superseding such regulation.
“Stock” means the common stock, $.01 par value per share, of the Company, subject to adjustments
pursuant to Section 3.
“Stock Appreciation Right” or “SAR” means a stock-settled stock appreciation right granted pursuant to
Section 7.
“Stock Option” means any option to purchase shares of Stock granted pursuant to Section 6 or previously
granted under this Plan prior to its 2004 amendment and restatement.
“Subsidiary” means a “subsidiary corporation,” whether now or hereafter existing, as defined in
Section 424(f) of the Code.
“Total Shareholder Return” means the total return (change in share price plus reinvestment of any
dividends) of a share of Stock.
A-3
Exhibits