Pier 1 2008 Annual Report Download - page 133

Download and view the complete annual report

Please find page 133 of the 2008 Pier 1 annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 140

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140

ARTICLE II
PARTICIPATION
An Eligible Participant at his election may enroll as a Participant by completing and signing a
compensation deduction authorization form. Such forms may be obtained through the Human Resources
Department of the Eligible Participant’s employer or, in the case of a non-employee Director, from the
Company. Enrollment shall become effective and the Company will establish an Account for an Eligible
Participant as soon as practicable after the signed compensation deduction authorization form is received by
the Eligible Participant’s employer or, in the case of a non-employee Director, is received by the Company.
ARTICLE III
METHOD OF OPERATION
Pier 1 Imports, Inc., assisted by the Administrative Committee, will administer the Plan and will establish
an Account in the name of each Participant. The Company will deduct funds from each Participant’s pay as
authorized and will credit monthly the Plan Account of such Participant with such deducted fund amounts plus
Company contribution amounts established pursuant to Article V on behalf of Participant. Such amounts will
be used as soon as administratively practicable to purchase shares of Common Stock (i) in the open market by
a Broker designated by the Administrative Committee, or (ii) directly from Pier 1 Imports, Inc. No purchases
of Common Stock, however, through a Broker may be made at a price which is greater than the fair market
value of the Common Stock at the time of the purchase. Purchases of shares of Common Stock from Pier 1
Imports, Inc. will be at an average price per share determined over an allocation period, each as established by
the Administrative Committee from time to time. Purchased shares will be allocated to the Accounts of
Participants, at the average price per share for open market purchases or the average price per share as
established by the Administrative Committee, as the case may be, in proportion to the funds received for each
respective Account. Allocation will be made in full shares of Common Stock and fractional interests therein to
the one-thousandth of a share. Any Broker’s commissions or markups on purchases made by a Broker will be
paid by Pier 1 Imports, Inc.
ARTICLE IV
COMPENSATION DEDUCTIONS
An employee Participant, including an employee Participant who is also a Director, will specify in a
deduction authorization form the amount to be withheld from his Compensation, with a minimum of $2.50 per
week and a maximum of 20% of his Compensation. A non-employee Director will specify in a deduction
authorization form the amount to be withheld from his cash director compensation payments. A non-employee
Director may not contribute any amounts in excess of his cash director compensation payments. Deductions
from Compensation or deductions from a non-employee Director’s cash director compensation payments, as
the case may be, will be made from each check payable to a Participant, and such authorization will remain
effective until revised or terminated as hereinafter provided.
Deductions from Compensation or deductions from a non-employee Director’s cash director compensation
payments, as the case may be, may be increased or decreased (subject to the minimum and maximum
limitations set forth above) at any time by the Participant completing a new deduction authorization form and
submitting it to the Human Resources Department of the Participant’s employer, or to the Company in the
case of a non-employee Director. Commencement of deductions and increases or decreases of deductions will
become effective as of the first day of a payroll period, provided that it is administratively practicable, after a
Participant’s request is received. With respect to non-employee Directors, all references to “the first day of a
payroll period” herein means the date of a cash director compensation payment.
A-2