Western Union 2015 Annual Report Download - page 56

NOTICE OF 2016 ANNUAL MEETING OF STOCKHOLDERS AND PROXY STATEMENT
38 | The Western Union Company
COMPENSATION DISCUSSION AND ANALYSIS
The Compensation Committee believes that the Company’s
peer group should reflect the markets in which the Company
competes for business, executive talent and capital.
Accordingly, the Company’s peer group includes companies
meeting either of the following criteria:
• Global brands providing virtual products or services; or
• Companies involved with payment and processing
services.
The peer group used for evaluating 2015 compensation
decisions consisted of the companies below, which is
the same peer group that was used for evaluating 2014
compensation decisions. The Compensation Consultant
compiled compensation information from the peer group
based on the publicly filed documents of each member of
the peer group.
PEER GROUP
2014
REVENUES
(in Millions)
2014
OP INCOME
(in Millions) EMPLOYEES (AS OF 12/31/14)
MARKET CAP
(in Millions)
(AS OF 12/31/14)
Automatic Data Processing $10,226 $1,815 61,000 $40,189
Ameriprise Financial $12,153 $3,569 12,039 $24,404
Charles Schwab $5,897 $2,082 13,800 $39,421
CME Group $2,958 $1,648 2,730 $29,861
Comerica $2,498 $897 8,948 $8,417
Discover $7,225 $4,082 14,128 $29,698
eBay $10,997 $2,767 33,500 $69,722
Fidelity National Info $6,298 $1,246 38,000 $17,6 49
Fiserv $5,013 $1,190 21,000 $17,314
Global Payments $2,629 $416 4,135 $5,460
Intuit $4,233 $1,268 8,000 $26,323
MoneyGram $1,491 $139 2,590 $491
NASDAQ OMX $3,429 $877 3,365 $8,041
Northern Trust $4,238 $1,147 14,800 $15,873
State Street $10,117 $2,837 29,400 $32,773
Total Systems Services $2,395 $423 9,600 $6,313
75th Percentile $7,94 8 $2,253 23,100 $30,589
Median $4,626 $1,257 12,920 $21,027
25th Percentile $2,876 $892 7,034 $8,323
Western Union $5,607 $1,141 10,000 $9,340
All data was compiled by the Compensation Consultant who obtained peer company financial market intelligence from Capital
IQ Compustat. The data generally represents revenue and operating income for the most recent four quarters available to the
Compensation Consultant at the time the Compensation Consultant compiled the data in January 2015. Other than for the
Company, operating income may reflect measures not in conformity with Generally Accepted Accounting Principles.
The Compensation Committee also uses general industry
compensation survey data in evaluating executive pay.
Survey data relies upon responses from participating
companies to survey questions, which are compiled and
sorted by the surveyor based on various factors, such as the
period covered, the location of the company, and the positions
under review. Survey data provides insight into positions
that may not generally be reported in proxy statements and
information about the compensation of executives of non-
public companies.
In some instances, survey data is a useful complement to
the peer group proxy data. To assist the committee in its
review of the general industry compensation survey data,
the Compensation Consultant extracts compensation
information from the surveys with respect to companies
with annual revenues generally ranging from $3 billion
to $10 billion. For the 2015 compensation review, the
Compensation Consultant compiled compensation data
from general industry compensation surveys provided by
Mercer and AonHewitt (which included data from companies
with annual revenues between $5 billion and $10 billion),
Towers Watson (which included data from companies
with annual revenues between $3 billion and $6 billion),
and Equilar (which included custom data from ten of the
companies in the Company’s peer group described above:
Automatic Data Processing, Ameriprise Financial, Charles
Schwab, CME Group, Fiserv, Global Payments, MoneyGram,
NASDAQ OMX, State Street and Total Systems Services).