Kroger 2014 Annual Report Download - page 45

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NO N Q U A L I F I E D D E F E R R E D C O M P E N S A T I O N
The฀ following฀ table฀ provides฀ information฀ on฀ nonqualified฀ deferred฀ compensation฀ for฀ the฀ named฀
executive฀officers฀for฀2014.
2014 NONQUALIFIED DEFERRED COMPENSATION TABLE
Name
Executive
Contributions
in Last FY
Registrant
Contributions
in Last FY
Aggregate
Earnings in
Last FY(4)
Aggregate
Withdrawals
Distributions
Aggregate
Balance at
Last FYE
W.฀Rodney฀McMullen ........... $344,589 (1) __ $496,003 __ $7,838,774
J.฀Michael฀Schlotman ........... __ __ __ __ __
Michael฀L.฀Ellis ................ $604,457 (2) __ $ 53,360 __ $1,242,576
Kathleen฀S.฀Barclay ............. __ __ __ __ __
Michael฀J.฀Donnelly ............. __ __ $ 22,793 __ $ 348,220
David฀B.฀Dillon ................ $ 75,000 (3) __ $ 84,397 __ $1,333,129
(1)฀ This฀ amount฀ represents฀ the฀ deferral฀ of฀ a฀ portion฀ of฀ the฀ 2013฀ performance-based฀ annual฀ cash฀ bonus฀
earned฀in฀fiscal฀2013฀and฀paid฀in฀March฀2014฀in฀the฀amount฀of฀$219,989฀and฀the฀deferral฀of฀a฀portion฀of฀
the฀2011฀long-term฀cash฀bonus,฀which฀was฀earned฀during฀the฀2011฀through฀2013฀performance฀period฀and฀
paid฀in฀March฀2014฀in฀the฀amount฀of฀$124,600.฀This฀amount฀is฀included฀in฀the฀Summary฀Compensation฀
Table฀for฀2013฀under฀the฀“Non-Equity฀Incentive฀Plan฀Compensation”฀column.฀
(2)฀ This฀ amount฀ represents฀ the฀ deferral฀ of฀ a฀ portion฀ of฀ the฀ 2013฀ performance-based฀ annual฀ cash฀ bonus฀
earned฀in฀fiscal฀2013฀and฀paid฀in฀March฀2014฀in฀the฀amount฀of฀$345,121฀and฀the฀deferral฀of฀a฀portion฀of฀
the฀2011฀long-term฀cash฀bonus,฀which฀was฀earned฀during฀the฀2011฀through฀2013฀performance฀period฀and฀
paid฀in฀March฀2014฀in฀the฀amount฀of฀$259,336.฀This฀amount฀is฀included฀in฀the฀Summary฀Compensation฀
Table฀for฀2013฀under฀the฀“Non-Equity฀Incentive฀Plan฀Compensation”฀column.฀
฀(3)฀ This฀ amount฀ represents฀ the฀ deferral฀ of฀ a฀ portion฀ of฀ the฀ 2013฀ performance-based฀ annual฀ cash฀ bonus฀
earned฀in฀fiscal฀2013฀and฀paid฀in฀March฀2014฀in฀the฀amount฀of฀$75,000.฀This฀amount฀is฀included฀in฀the฀
Summary฀Compensation฀Table฀for฀2013฀under฀the฀“Non-Equity฀Incentive฀Plan฀Compensation”฀column.฀
(4)฀ These฀ amounts฀ include฀ the฀ aggregate฀ earnings฀ on฀ all฀ accounts฀ for฀ each฀ named฀ executive฀ officer,฀
including฀any฀above-market฀or฀preferential฀earnings.฀The฀following฀amounts฀earned฀in฀2014฀are฀deemed฀
to฀be฀preferential฀earnings฀and฀are฀included฀in฀the฀“Change฀in฀Pension฀Value฀and฀Nonqualified฀Deferred฀
Compensation฀Earnings”฀column฀of฀the฀Summary฀Compensation฀Table฀for฀2014:฀Mr.฀McMullen,฀$71,919;฀
Mr.฀Ellis,฀$3,933;฀Mr.฀Donnelly,฀$4,141;฀and฀Mr.฀Dillon,฀$17,071.
Eligible฀participants฀may฀elect฀to฀defer฀up฀to฀100%฀of฀the฀amount฀of฀their฀salary฀that฀exceeds฀the฀sum฀
of฀the฀FICA฀wage฀base฀and฀pre-tax฀insurance฀and฀other฀Internal฀Revenue฀Code฀Section฀125฀plan฀deductions,฀
as฀ well฀ as฀ up฀ to฀ 100%฀ of฀ their฀ annual฀ and฀ long-term฀ bonus฀ compensation.฀ The฀ Company฀ does฀ not฀ match฀
any฀deferral.฀Deferral฀account฀amounts฀are฀credited฀with฀interest฀at฀the฀rate฀representing฀Kroger’s฀cost฀of฀
ten-year฀debt฀as฀ determined฀ by฀Kroger’s฀ CEO฀and฀ reviewed฀ by฀the฀Compensation฀ Committee฀ prior฀to฀the฀
beginning฀ of฀ each฀ deferral฀ year.฀ The฀ interest฀ rate฀ established฀ for฀ deferral฀ amounts฀ for฀ each฀ deferral฀ year฀
will฀be฀applied฀to฀those฀deferral฀amounts฀for฀all฀subsequent฀years฀until฀the฀deferred฀compensation฀is฀paid฀
out.฀Participants฀can฀elect฀to฀receive฀lump฀sum฀distributions฀or฀quarterly฀installments฀for฀periods฀up฀to฀ten฀
years.฀Participants฀also฀can฀elect฀between฀lump฀sum฀distributions฀and฀quarterly฀installments฀to฀be฀received฀
by฀designated฀beneficiaries฀if฀the฀participant฀dies฀before฀distribution฀of฀deferred฀compensation฀is฀completed.฀
Participants฀ may฀ not฀ withdraw฀ amounts฀ from฀ their฀ accounts฀ until฀ they฀ leave฀ the฀ Company,฀ except฀
that฀the฀Company฀ has฀discretion฀to฀approve฀an฀early฀distribution฀to฀a฀ participant฀ upon฀the฀occurrence฀of฀
an฀ unforeseen฀emergency.฀Participants฀ who฀are฀“specified฀ employees”฀ under฀ Section฀409A฀of฀ the฀Internal฀
Revenue฀Code,฀which฀includes฀the฀named฀executive฀officers,฀may฀not฀receive฀a฀post-termination฀distribution฀
for฀at฀least฀six฀months฀following฀separation.฀If฀the฀employee฀dies฀prior฀to฀or฀during฀the฀distribution฀period,฀
the฀ remainder฀ of฀ the฀ account฀ will฀ be฀ distribution฀ to฀ his฀ designated฀ beneficiary฀ in฀ lump฀ sum฀ or฀ quarterly฀
installments,฀according฀to฀the฀participant’s฀prior฀election.