CompUSA 2010 Annual Report Download - page 44

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date. In the event of a termination without “cause” by the Company or a termination by the employee for “good
reason,” certain unvested restricted stock units generally vest and certain options may vest. In certain instances the
Company has the right to redeem vested restricted stock units at fair market value.
Lawrence Reinhold
Mr. Reinhold’ s employment agreement is terminable upon death or total disability, by the Company for
“cause” (as defined) or without cause, or by the employee voluntarily for any reason or for “good reason” (as
defined). In the event of termination for death, disability, cause or voluntary termination by Mr. Reinhold, the
Company will owe no further payments other than as applicable under disability or medical plans, any accrued but
unused vacation time (up to four weeks) and, in the event of termination for disability or death, the pro rata portion
of any bonus which would otherwise be paid. If Mr. Reinhold resigns for good reason or if the Company terminates
him for any reason other than disability, death or cause, he shall also receive severance payments equal to 12
months’ base salary (or 24 months’ base salary if termination is within 60 days prior to or one year following a
“change of control,” as defined), one year’ s bonus based on his average annual bonus for the prior two years (unless
he was employed for less than two years in which case he will receive a prorated bonus) and a reimbursement of
costs for COBRA insurance coverage in addition to the payments paid for other terminations.
Termination of Employment Without Change In Control
The table below sets forth the severance payments that would have been made had the employment of Mr.
Reinhold or Mr. Fiorentino (as defined in their employment agreements) been terminated without cause in a
situation not involving a change in control, based on a hypothetical termination date of January 1, 2011, the last day
of the Company’ s fiscal year 2010, and using the closing price of our common stock on December 31, 2010. These
amounts are estimates and the actual amounts to be paid can only be determined at the time of the termination of the
officer’ s employment.
Name
Cash
Compensation
(Salary and
Bonus)
($)
Value of
Accelerated
Vesting
of Stock
Awards
($)
Medical and
Other Benefits
($)
Total
($)
Lawrence P. Reinhold
1,004,762
(1)
2,467,500
(2)
-
3,472,262
Gilbert Fiorentino11
1,822,506
(3)
1,410,000
(4)
51,546
(5)
3,284,052
(1)
Represents one year’ s salary of $471,912 and an average yearly cash bonus of $532,850 paid to Mr. Reinhold
for fiscal years 2009 and 2010.
(2)
Represents accelerated vesting of 175,000 restricted stock units.
(3)
Represents two years’ salary of $501,753 per year and cash bonus of $819,000 for fiscal year 2010.
(4)
Represents accelerated vesting of 100,000 restricted stock units.
(5)
Represents two years’ medical and other benefits.
11 Mr. Fiorentino is on administrative leave from his position with the Company. See “Employment Arrangements of the Named
Executive Officers- Gilbert Fiorentino” at page 33 for additional information.