Pottery Barn 2010 Annual Report Download - page 159
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Please find page 159 of the 2010 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.-
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to $234,498. He also received a one-time award representing the right to receive 125,000 restricted stock units,
and cash payments representing the value of 125,000 shares of our common stock (including dividend equivalent
rights that were payable at the same time that the shares subject to the related restricted stock units were
delivered), in each case which vested monthly over the consulting period. The Retirement and Consulting
Agreement was terminated in November 2010 upon Mr. Lester’s death, and any unvested portion of the restricted
stock units or cash payments were forfeited. As of the termination of the Retirement and Consulting Agreement,
Mr. Lester’s estate received (i) 20,835 restricted stock units that had vested, with a fair market value of $751,518,
and the associated accrued dividend equivalent payment of $37,500, and (ii) a cash payment of $592,839, which
represents the fair market value of each vested share on the applicable vesting date, and the associated accrued
dividend equivalent payment of $37,500.
In recognition of his retirement and his contributions to the company, and in exchange for a general release of
claims against the company, Mr. Lester received accelerated vesting of his then-outstanding stock options, stock
appreciation rights and restricted stock units upon his retirement. He also received (i) a lump sum cash payment
of $175,000 (representing estimated costs of health benefits through December 2012), (ii) reimbursement of legal
fees in the amount of $31,468, (iii) administrative support services valued at approximately $2,711 and (iv)
continued lifetime employee discount privileges. As disclosed in further detail below in this Proxy Statement, we
have an aircraft lease agreement with a management company that was owned by Mr. Lester, which will continue
pursuant to its current economic terms through May 2011. Please see the section titled “Certain Relationships
and Related Transactions” beginning on page 86 for further discussion about this lease.
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Proxy