Health Net 2015 Annual Report Download - page 138

136
COMPENSATION TABLES
SUMMARY COMPENSATION TABLE
Name and
Principal Position Year Salary
($)(1) Bonus ($)
Stock
awards
($)(2)
Option
awards
($)
Non-Equity
incentive
plan
compensation
($)(3)
Change in
pension and
nonqualified
deferred
compensation
earnings
($)(4)
All other
compensation
($)(5) Total ($)
Jay M. Gellert
President and Chief
Executive Officer
2015
2014
2013
1,230,000
1,214,137
1,200,000
0
0
0
7,242,018
5,250,300
4,901,220
0
0
0
3,321,000
2,738,825
1,620,000
2,411,377
3,175,672
1,317,290
104,494
100,419
96,028
14,308,889
12,480,353
9,134,538
James E. Woys
Executive Vice President,
Chief Financial and
Operating Officer
and Interim
Treasurer
2015
2014
2013
784,631
755,026
751,975
0
0
0
2,864,043
2,386,500
2,314,465
0
0
0
1,575,675
925,518
746,235
370,424
1,390,746
233,021
22,600
22,400
22,200
5,617,373
5,480,190
4,067,896
Juanell Hefner
Chief Administration
Officer
2015
2014
2013
544,127
523,597
514,135
0
0
0
4,384,813
1,018,240
1,089,200
0
0
0
480,789
513,464
414,000
0
0
0
71,848
32,770
80,310
5,481,577
2,088,071
2,097,645
Steven D. Tough
President, Government
Programs
2015
2014
2013
574,475
552,800
546,363
0
0
0
1,581,720
1,240,980
1,089,160
0
0
0
507,604
542,101
480,799
0
0
0
37,623
39,457
41,649
2,701,422
2,375,338
2,157,971
Steven Sell(6)
President, Western
Region Health Plan
2015
2014
2013
555,036
534,094
-
0
0
-
1,242,780
1,113,700
-
0
0
-
757,933
476,143
-
0
0
-
27,600
27,400
-
2,583,349
2,151,337
-
(1) Includes amounts contributed by the executive to our 401(k) Plan.
(2) The amounts shown represent the grant date fair value of all stock awards granted in the year indicated, as computed in accordance with FASB
ASC Topic 718. For stock awards granted on February 20, 2015, which consisted of PSUs and service-based RSUs to all of our named
executive officers, the grant date fair value shown is based on a per share value of $56.49. For stock awards granted on July 2, 2015, which
consisted of PSUs and service-based RSUs to Ms. Hefner, the grant date fair value shown is based on a per share value of $71.57. These
amounts are calculated in accordance with FASB ASC Topic 718 by multiplying the closing price of our Common Stock on the date of the
grant by the number of stock awards granted, and for PSUs is based on the probable outcome of the performance conditions applicable
thereto. The grant date fair values of the PSUs assuming probable outcome and maximum outcome are the same.
For a discussion of the grant date fair values of the stock awards granted in 2013 and 2014, see our Proxy Statements for our 2014 and 2015
Annual Meetings of Stockholders, respectively. Each of the named executive officers received equity awards as part of the Company’s 2015
annual equity award program, with 75% of the total award value in PSUs and 25% of the total award value in service-based RSUs. Ms.
Hefner also received an equity award on July 2, 2015, with 50% of the total award value in PSUs and 50% of the total award value in service-
based RSUs. This supplemental award was granted to Ms. Hefner in recognition of her achievements in planning and preparing for the
commencement of services under the Cognizant Services Agreement, and as a retention tool to incentivize her future efforts to support the
Company’s new strategic focus by “unwinding” such actions in preparation for the Merger. See the “Long-Term Equity Incentive
Compensation—Determinations Regarding Form and Mix of 2015 Equity Awards” section of the Compensation Discussion and Analysis for
additional detail regarding the PSUs granted as a part of the Company’s annual equity award program in 2015 and the PSUs granted to Ms.
Hefner on July 2, 2015.
(3) The amounts shown represent payments made pursuant to the MIP. See the “Analysis of Compensation During Fiscal 2015—Annual
Performance-Based Incentive Cash Awards” section of the Compensation Discussion and Analysis for additional information on the payouts
under the MIP for 2015.
(4) Amounts shown represent the increase in pension value that Messrs. Gellert and Woys have accrued under the Health Net, Inc. Amended and
Restated Supplemental Executive Retirement Plan. Year-over-year changes in pension value generally are driven in large part due to changes
in actuarial pension assumptions as well as increases in service, age and compensation. For 2015, the change in pension value for Messrs.
Gellert and Woys was substantially lower than 2014 primarily as a result of a 30-basis-point increase in the statutory discount rate assumption
from 3.70% to 4.00% as well as the Society of Actuaries’ recent issuance of new mortality tables projecting shorter life expectancies. See
“Pension Benefits for 2015” table below for additional information, including the present value assumptions used in this calculation.
(5) The amounts shown represent perquisites and other compensation received, as applicable, and are detailed in the following supplemental “All
Other Compensation Table” and accompanying narrative.
(6) Mr. Sell was not a named executive officer for 2013.