Alaska Airlines and Horizon Air 2012 Annual Report Download - page 14

Download and view the complete annual report

Please find page 14 of the 2012 Alaska Airlines and Horizon Air 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 186

  • 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
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172
  • 173
  • 174
  • 175
  • 176
  • 177
  • 178
  • 179
  • 180
  • 181
  • 182
  • 183
  • 184
  • 185
  • 186

ALASKA AIR GROUP, INC.
NOTICE OF ANNUAL MEETING OF STOCKHOLDERS AND PROXY STATEMENT
TABLE OF CONTENTS
GENERAL INFORMATION
Annual Meeting Information ......................................................... 1
Questions and Answers about the Annual Meeting ....................................... 1
PROPOSALS TO BE VOTED ON
Proposal 1: Election of Directors to One-Year Terms ..................................... 10
Proposal 2: Ratification of the Appointment of the Company’s Independent Accountants ......... 16
Proposal 3: Advisory Vote Regarding the Compensation of the Company’s Named Executive Officers . .
16
Proposal 4: Stockholder Proposal — Limit Acceleration of Equity............................ 18
CORPORATE GOVERNANCE
Structure of the Board of Directors ................................................... 21
Director Independence ............................................................ 24
Director Nomination Policy .......................................................... 26
Board Leadership ................................................................ 30
Executive Sessions and Lead Director ................................................ 30
Risk Oversight ................................................................... 31
Code of Conduct and Ethics ........................................................ 32
Certain Relationships and Related Transactions ......................................... 32
Stockholder Communication Policy ................................................... 33
AUDIT COMMITTEE MATTERS
Independent Registered Public Accountants ............................................ 34
Audit Committee Report ........................................................... 35
DIRECTOR COMPENSATION
2012 Director Compensation ....................................................... 37
Director Stock Ownership Policy ..................................................... 38
EXECUTIVE COMPENSATION
Compensation Discussion and Analysis ............................................... 39
Compensation and Leadership Development Committee Report ............................ 55
Compensation and Leadership Development Committee Interlocks and Insider Participation ...... 56
2012 Summary Compensation Table ................................................. 56
2012 Grants of Plan-Based Awards ................................................... 59
2012 Outstanding Equity Awards at Fiscal Year End ...................................... 60
2012 Option Exercises and Stock Vested .............................................. 61
Pension and Other Retirement Plans .................................................. 62
2012 Nonqualified Deferred Compensation ............................................ 64
Potential Payments Upon Change in Control and Termination .............................. 65
SECURITIES OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
Security Ownership of Management .................................................. 68
Beneficial Owners of 5% or More ..................................................... 69
Section 16(a) Beneficial Ownership Reporting Compliance ................................. 70