Harris Teeter 2009 Annual Report Download - page 95

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21
2009 Cash Incentive Plan Awards
Name
Threshold
Performance
Metric
Threshold
Incentive
Bonus (% of
Base Salary)
Threshold
Incentive Bonus
(in dollars)
Actual Fiscal
2009
Performance
Actual
Incentive
Bonus (% of
Base Salary)
Actual
Incentive
Bonus
(in dollars)
Dickson ......... 4% NOPAT
Return on
Beginning
Invested Capital
for the Company
NA (1) — 7.38% NOPAT
Return on
Beginning
Invested
Capital for the
Company
81.12 $502,944
Woodlief . . . . . . . . 4% NOPAT
Return on
Beginning
Invested Capital
for the Company
NA (2) — 7.38% NOPAT
Return on
Beginning
Invested
Capital for the
Company
67.60 $294,060
Morganthall ...... 2% Operating
Profit Margin for
Harris Teeter
15 67,875 4.59%
Operating
Profit Margin
for Harris
Teeter
79.50 $359,738
Jackson . . . . . . . . . 0% NOPAT
Return on
Beginning
Invested Capital
for A&E
NA (3) — < 0% NOPAT
Return on
Beginning
Invested
Capital for
A&E
— —
(1) An Incentive Bonus of 24% of his base salary would be earned by Mr. Dickson for each 1% NOPAT return
on beginning invested capital for the Company above 4%. Increments of less than 1% would be calculated
on a pro rata basis.
(2) An Incentive Bonus of 20% of his base salary would be earned by Mr. Woodlief for each 1% NOPAT return
on beginning invested capital for the Company above 4%. Increments of less than 1% would be calculated
on a pro rata basis.
(3) An Incentive Bonus of 8.75% of his base salary would be earned by Mr. Jackson for each 1% NOPAT return
on beginning invested capital for A&E above 0%. Increments of less than 1% would be calculated on a pro
rata basis.
Long-Term Equity Incentive Compensation. The Company’s executive compensation program is intended
to provide executives — who have significant responsibility for the management, growth and future success of
the Company — with an opportunity to increase their ownership in the Company and thereby gain from any
long-term appreciation in the Company’s stock. Historically, the Company provided long-term equity incentive
compensation to its executives through the grant of stock options pursuant to its shareholder approved equity
incentive plans. Beginning in Fiscal 2005, the Company began to utilize grants of restricted stock and performance
shares, which are other award types that are available under the Company’s equity incentive plans.