Dollar General 2006 Annual Report Download - page 131

April 2,
2003
March 15,
2005
September 1,
2005
January 24,
2006
March 16,
2006
Expected dividend yield .90% .85% .85% 1.0% .82%
Expected stock price volatility 37.6% 27.4% 25.9% 24.7% 28.7%
Risk-free interest rate 2.04% 4.25% 3.71% 4.31% 4.7%
Expected life of options (years) 3.0 5.0 5.0 4.5 5.7
Exercise price $12.68 $22.35 $18.51 $16.94 $17.54
Stock price on date of grant $12.68 $22.35 $18.51 $16.94 $17.54
There were no forfeitures of options held by NEOs during fiscal 2006. For more information regarding the assumptions used in the valuation
of these awards, see Note 10 of the consolidated financial statements in this report.
(5) We do not provide above market or preferential earnings on deferred compensation.
(6) Represents the change in the actuarial present value of the accumulated benefit under Mr. Perdue’s SERP from February 4, 2006 to February
2, 2007.
(7) Includes $31,429 for premiums paid under our life insurance program, $7,406 for premiums paid under our disability insurance programs,
$40,460 for Dollar General’ s match contributions to the CDP, $11,417 for Dollar General’ s match contributions to the 401(k) Plan, $29,575
for the reimbursement of taxes related to life and disability insurance premiums, and $31,161 which represents the incremental cost of
providing certain perquisites, including $21,000 for an annual automobile allowance and other amounts, which individually did not equal the
greater of $25,000 or 10% of total perquisites, for reimbursement of legal fees in connection with Mr. Perdue’s SERP, tickets to sporting and
other entertainment events, golf fees, and spa charges in connection with our annual strategic planning meeting. In addition, Mr. Perdue’s
spouse accompanied him on various business trips on our airplane which did not result in any incremental cost to us.
(8) Includes $12,716 for premiums paid under our life insurance program, $2,699 for premiums paid under our disability insurance programs,
$43,502 for Dollar General’ s contributions to the SERP, $18,001 for Dollar General’ s match contributions to the CDP, $11,000 for Dollar
General’ s match contributions to the 401(k) Plan, $10,587 for the reimbursement of taxes related to life and disability insurance premiums,
and $22,621 which represents the incremental cost of providing certain perquisites, including $21,000 for an annual automobile allowance
and other amounts, which individually did not equal the greater of $25,000 or 10% of total perquisites, for tickets to sporting and other
entertainment events, a holiday gift of a Sony E-Reader, and spa charges in connection with our annual strategic planning meeting.
(9) Includes $2,033 for premiums paid under our life insurance program, $1,507 for premiums paid under our disability insurance programs,
$34,285 for Dollar General’ s contributions to the SERP, $26,355 for Dollar General’ s match contributions to the CDP, $2,396 for Dollar
General’ s match contributions to the 401(k) Plan, $1,423 for the reimbursement of taxes related to life and disability insurance premiums,
$17,083 for the reimbursement of taxes related to relocation, and $188,719 which represents the incremental cost of providing certain
perquisites, including $165,715 for amounts associated with relocation, $21,000 for an annual automobile allowance, and other amounts,
which individually did not equal the greater of $25,000 or 10% of total perquisites, for tickets to sporting events, a holiday gift of a Sony E-
Reader, golf charges in connection with our annual strategic planning meeting, and a medical physical examination. The aggregate
incremental cost related to Mr. Buley’ s relocation amounts was calculated as follows: $102,075 due to the loss on resale and related expenses
of selling his prior home, $6,536 due to lease cancellation fees, $14,985 for temporary living expenses, and $42,119 due to acquisition and
moving costs in connection with his new home.
(10) Includes $7,175 for premiums paid under our life insurance program, $3,333 for premiums paid under our disability insurance program,
$22,501 for Dollar General’ s contributions to the SERP, $14,001 for Dollar General’ s match contributions to the CDP, $10,833 for Dollar
General’ s match contributions to the 401(k) Plan, $8,810 for the reimbursement of taxes related to life and disability insurance premiums,
$15,172 for the reimbursement of taxes related to relocation, and $70,146 which represents the incremental cost of providing certain
perquisites, including $42,188 for amounts associated with relocation, $21,000 for an annual automobile allowance and other amounts, which
individually did not equal the greater of $25,000 or 10% of total perquisites, for tickets to sporting events, a holiday gift of a Sony E-Reader,
spa charges in connection with our annual strategic planning meeting, an airline club fee, and a directed donation to a charity pursuant to the
program discussed above under “Compensation Discussion & Analysis”. The aggregate incremental cost related to Ms. Guion’ s relocation
amounts was calculated as follows: $28,798 due to costs associated with the sale of her prior home and $13,390 due to acquisition and
moving costs in connection with her new home.
(11) Includes $1,449 for premiums paid under our life insurance program, $4,289 for premiums paid under our disability insurance program,
$39,236 for Dollar General’ s contributions to the SERP, $13,376 for Dollar General’ s match contributions to the CDP, $6,834 for Dollar
General’ s match contributions to the 401(k) Plan, $6,728 for the reimbursement of taxes related to life and disability insurance premiums,
$17,704 for the reimbursement of taxes related to relocation, $5,519 for reimbursement of taxes related to the personal use of a company-
leased automobile, and $79,187 which represents the incremental cost of providing certain perquisites, including $49,230 for amounts
associated with relocation, $23,072 for personal use of a company-leased vehicle, and other amounts, which individually did not equal the
greater of $25,000 or 10% of total perquisites, for tickets to entertainment events, a holiday gift of a Sony E-Reader, spa charges in
connection with our annual strategic planning meeting, a medical physical examination, and a directed donation to a charity pursuant to the
program discussed under “Compensation Discussion & Analysis”. The aggregate incremental cost related to Ms. Lowe’ s relocation amounts
was calculated as follows: $40,000 as a miscellaneous cash allowance in lieu of moving household goods and $9,230 due to acquisition and
moving costs in connection with her new home.
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