Logitech 2013 Annual Report Download - page 58

Named executive officer bonus targets for fiscal year 2013
In fiscal year 2013, the bonus targets as a percentage of base salary for our named executive officers remained
the same as those in fiscal year 2012, except for Mr. Labrousse whose bonus target decreased upon his role change
as noted above under the heading “Base salary”. The cash bonus target percentages for fiscal year 2013 are
summarized in the table below.
Named Executive Officer
2013 Annual Target Bonus
Percentage of Base Salary
2012 Annual Target Bonus
Percentage of Base Salary Change 2012 to 2013
Guerrino De Luca ................. 100% 100% 0%
Bracken P. Darrell ................. 100% n/a n/a
L. Joseph Sullivan ................. 75% 75% 0%
Former Officers:
Erik K. Bardman. . . . . . . . . . . . . . . . . . 75% 75% 0%
Werner Heid ..................... 75% 75% 0%
Junien Labrousse ................. 65% 75% -13%
The target bonus opportunities for named executive officers in fiscal year 2013 are in aggregate at the median
of our compensation peer group, based on peer group data provided by the Compensation Committee’s independent
compensation consultant to the Committee in March 2012.
No bonuses were paid to executive officers under the Bonus Plan for fiscal year 2013.
Performance measures for fiscal year 2013 bonus program
In fiscal year 2013, the Bonus Plan was based on the following performance measures:
Performance Measure Why It is Used Measurement Basis
Revenue Revenue growth is an essential component
of long-term success and viability and
enables future strategic investments.
Generally Accepted Accounting Principles
(GAAP).
Operating Income/
Contribution
Margin
Generating an increase in per-share value
for investors is a priority, as operating
profit allows Logitech to re-invest in R&D,
operations and people for future success.
GAAP, excluding restructuring and
one-time transaction charges related to
acquisitions and divestitures.
Relative Stock
Price Growth
Providing per-share price growth that is
at least in line with the overall market
is a priority, as stock price is one of the
key indicators of the value created for
our shareholders.
30-day trailing average stock price growth
for the period of May 1, 2012 – April 30,
2013 compared to the NASDAQ 100 Index.
For all named executive officers, the 2013 Bonus Plan goals were set equal to Logitech’s annual business plan
for fiscal year 2013 as approved by the Board of Directors in April 2012. All named executive officers’ bonuses
were based on achievement against Logitech’s revenue and operating income goals as well as on a relative stock
price growth metric.
For any bonus payment to be made under the fiscal year 2013 Bonus Plan, the minimum performance
requirements must be met for each of the plan metrics: (1) Logitech stock price growth must be at least equal to that
oftheNASDAQ100Index;(2)LogitechRevenuemustbenolessthan90%oftargetperformance;(3)Logitech
Operating Income must be no less than 90% of target performance.
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