Starwood 2009 Annual Report Download - page 36

In light of Mr. Avril’s accomplishments in 2009, he received a “meets expectations” performance rating
and was awarded a payout at 85% of target for the strategic/operational portion of the annual bonus, for a total
annual bonus equal to 85% of his overall annual bonus target.
Mr. Prabhu’s accomplishments for the 2009 performance year included the following:
• Orchestrated a comprehensive strategy to substantially enhance the Company’s liquidity position and reduce
leverage: raised over $1.6 billion in cash, reduced the Company’s debt by approximately $1 billion, repaid
all of the Company’s maturities that were coming due in 2009 through 2011 and reduced the Company’s
obligation under 2012 and 2013 maturities by approximately $300 million;
• Led a major restructuring and cost containment effort of the Company’s finance and IT teams to drive
effectiveness and efficiency;
• Successfully delivered a company income tax rate well below budget;
• Exceeded operating cash flow goals by approximately $155 million; and
• Completed and rolled out a new Global Reservation System for the Company’s hotel network.
In light of Mr. Prabhu’s accomplishments, he received an “exceeds expectations” performance rating and the
Compensation Committee awarded him a payout at 85% of target for the strategic/operational portion of the annual
bonus, for a total annual bonus equal to 85% of his overall annual bonus target. In addition, Mr. Prabhu was awarded
a special bonus enhancement of $207,191 for addressing the Company’s liquidity, balance sheet, cost structure and
competitive positioning as the Company navigated through an industry recession. In awarding this special bonus
enhancement, the Compensation Committee also considered Mr. Prabhu’s accomplishments for the 2009 perfor-
mance year, as well as the maximum incentive amount, in dollars, that could be awarded to Mr. Prabhu for such
period under the Executive Plan (which amount has not been exceeded).
Mr. Siegel’s individual accomplishments for the 2009 performance year included the following:
• Commenced litigation against certain former Company employees and their employer to mitigate the effects
of a substantial theft of intellectual property from the Company;
• Identified and negotiated a deal for new headquarters office space which will result in average annual cost
savings to the Company of over $2 million and include over $85 million in Connecticut state incentives to
facilitate the move;
• Successfully managed the legal department in handling multiple transactions, including asset dispositions,
such as the sale of the Bliss business, bond financings, securitizations, real estate dispositions and over
125 hotel management and franchise transactions, with minimal use of outside counsel;
• Continued cost reduction efforts by negotiating an average 10% reduction in law firm rates for outside
counsel; and
• Designed our new Global Citizenship program by identifying a partner for environmental sustainability,
repositioning our long-standing relationship with UNICEF, instituting environmental programs at our
properties and divisional offices worldwide and implementing our new Sustainability Resource Center.
In light of Mr. Siegel’s accomplishments, he received a “meets expectations” performance rating and was
awarded a payout at 85% of target for the strategic/operational portion of the annual bonus, for a total annual
bonus equal to 85% of his overall annual bonus target.
Mr. Turner’s accomplishments for the 2009 performance year included the following:
• Successfully managed the global development team in achieving an additional 77 new hotels and
36 re-engagements or changes to ownership involving existing hotels;
• Completed hotel and other non-core property transactions generating pre-tax proceeds of $226 million
despite the depressed economic environment;
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