Starwood 2008 Annual Report Download - page 48

The Plan uses the investment funds listed below as potential indices for calculating investment returns on a
participant’s Plan account balance. The deferrals the participant directs for investment into these funds are adjusted
based on a deemed investment in the applicable funds. The participant does not actually own the investments that he
selects. The Company may, but is not required to, make identical investments pursuant to a variable universal life
insurance product. When it does, participants have no direct interest in this life insurance.
Name of Investment Fund
1-Year Annualized
Rate of Return
(as of 2/28/09)
Nationwide NVIT Money Market — Class V............................. 1.19%
PIMCO VIT Total Return — Admin Shares .............................. 0.94%
Fidelity VIP High Income — Service Class .............................. ⫺19.01%
Nationwide NVIT Inv Dest Moderate — Class 2 .......................... ⫺28.74%
T. Rowe Price Equity Income — Class II................................ ⫺46.97%
Dreyfus Stock Index — Initial Shares .................................. ⫺43.63%
Dreyfus VIF Appreciation — Initial Shares .............................. ⫺36.42%
Fidelity VIP II Contrafund — Service Class ............................. ⫺46.44%
Fidelity VIP Growth — Service Class .................................. ⫺48.97%
Nationwide NVIT Mid Cap Index — Class I ............................. ⫺42.48%
Oppenheimer Mid Cap VA — Non-Service Shares ......................... ⫺49.50%
Dreyfus IP Small Cap Stock Index — Service Shares....................... ⫺42.57%
Fidelity VIP Overseas — Service Class ................................. ⫺50.85%
AIM V.I. International Growth — Series I Shares.......................... ⫺42.54%
IX. POTENTIAL PAYMENTS UPON TERMINATION OR CHANGE IN CONTROL
The Company provides certain benefits to our Named Executive Officers in the event of employment
termination, both in connection with a change in control and otherwise. These benefits are in addition to benefits
available generally to salaried employees, such as distributions under the Company’s tax-qualified retirement
savings plan, disability insurance benefits and life insurance benefits. These benefits are described below.
A. Termination Before Change in Control: Involuntary Other than for Cause, Voluntary for Good
Reason, Death or Disability
Pursuant to Mr. van Paaschen’s employment agreement, if Mr. van Paasschen’s employment is terminated by
the Company other than for cause or by Mr. van Paasschen for good reason, the Company will pay Mr. van
Paasschen as a severance benefit (i) two times the sum of his base salary and target annual bonus, (ii) a pro rated
target bonus for the year of termination and (iii) Mr. van Paasschen’s sign on restricted stock unit award
(25,558 units) would be payable. None of the other equity awards granted to Mr. van Paasschen would be
accelerated. If Mr. van Paasschen’s employment were terminated because of his death or permanent disability,
Mr. van Paasschen (or his estate) would be entitled to receive a pro rated target bonus for the year of termination and
all of his equity awards would accelerate and vest.
Pursuant to Mr. Avril’s employment agreement, if Mr. Avril’s employment is terminated by the Company
without cause, he will receive severance benefits of twelve months of base salary and the Company will continue to
provide medical benefits coverage for up to twelve months after the date of termination. In addition, Mr. Avril will
also be entitled to acceleration of all of his restricted stock and options that were granted prior to August 19, 2008,
but no acceleration for equity awards granted on or after August 19, 2008.
Pursuant to his employment agreement, if Mr. Prabhu’s employment is terminated by the Company without
cause or by Mr. Prabhu voluntarily with good reason, he will receive severance benefits equal to one year’s base
salary and he will be reimbursed for COBRA expenses minus his last level of contribution for up to twelve months
following termination. In addition, the Company will accelerate the vesting of 50% of Mr. Prabhu’s unvested
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