Pier 1 2010 Annual Report Download - page 132

The following table sets forth information relating to grants of plan-based awards during the fiscal year ended
February 27, 2010 to the executive officers named in the Summary Compensation Table.
Name
Grant
Date
Meeting
Date
Estimated Future Payouts
Under Non-Equity
Incentive Plan Awards(1)
Estimated Future Payouts
Under Equity Incentive
Plan Awards
All
other
Stock
Awards:
Number
of
Shares
of Stock
or Units
(#)
All Other
Option
Awards:
Number of
Securities
Underlying
Options
(#)
Exercise
or Base
Price of
Option
Awards
($/Share)
Grant
Date Fair
Value of
Stock and
Option
Awards(2)
($)
Threshold
($)
Target
($)
Maximum
($)
Threshold
(#)
Target
(#)
Maximum
(#)
Alexander W. Smith 05/08/2009 03/24/2009 $118,125 $945,000 $1,417,500 – N/A – – N/A N/A N/A
12/15/2009 12/15/2009 – – – – N/A – 375,000 N/A N/A $1,743,750
12/15/2009 12/15/2009 – – – – N/A – 187,500 N/A N/A $ 871,875
12/15/2009 12/15/2009 – – – – N/A – 187,500 N/A N/A $ 871,875
12/15/2009 12/15/2009 – – – – N/A – 187,500 N/A N/A $ 871,875
Charles H. Turner 05/08/2009 03/24/2009 $ 40,250 $322,000 $ 483,000 – N/A – – N/A N/A N/A
07/02/2009 03/24/2009 $ 85,000 $255,000 $ 255,000 – N/A – – N/A N/A N/A
Michael R. Benkel 05/08/2009 03/24/2009 $ 18,750 $150,000 $ 225,000 – N/A – – N/A N/A N/A
07/02/2009 03/24/2009 $ 50,000 $150,000 $ 150,000 – N/A – – N/A N/A N/A
Gregory S. Humenesky 05/08/2009 03/24/2009 $ 28,875 $231,000 $ 346,500 – N/A – – N/A N/A N/A
07/02/2009 03/24/2009 $ 55,000 $165,000 $ 165,000 – N/A – – N/A N/A N/A
Sharon M. Leite 05/08/2009 03/24/2009 $ 28,875 $231,000 $ 346,500 – N/A – – N/A N/A N/A
07/02/2009 03/24/2009 $ 55,000 $165,000 $ 165,000 – N/A – – N/A N/A N/A
(1) These columns show the potential value of the payout for each named executive officer under the quarterly and annual
short-term cash incentive award described above (grant date May 8, 2009) if the threshold, target or maximum amount
of the Profit Goals for fiscal 2010 is met. These columns also show the potential value of the payout for each named
executive officer other than Mr. Smith, under the long-term incentive cash award described above (grant date July 2,
2009) if a threshold or target amount of the cumulative Profit Goal for fiscal years 2010, 2011 and 2012 is met
provided the eligible named executive officer is employed at the end of fiscal 2012. The calculations for the short-
term and long-term incentives are based on the named executive officer’s fiscal 2010 annual base salary as of the last
day of the fiscal year – February 27, 2010. The fiscal 2010 annual base salary in effect for cash incentive award
calculations for Mr. Smith was $1,050,000; for Mr. Turner was $460,000; for Mr. Benkel was $300,000; for
Mr. Humenesky was $330,000; and for Ms. Leite was $330,000.
(2) This column represents the aggregate grant date fair value of time-based restricted stock awards granted during the
fiscal year, computed in accordance with FASB ASC Topic 718. The amounts shown exclude the impact of estimated
forfeitures related to service-based vesting conditions. For time-based restricted stock awards, fair value is calculated
using the closing price of Pier 1 Imports’ common stock on the date of grant. These amounts reflect Pier 1 Imports’
accounting expense for these awards, and do not necessarily correspond to the actual value that will be recognized by
the named executive officer. Pursuant to the renewal and extension of Mr. Smith’s employment agreement, he
received a grant of 375,000 shares of time-based restricted stock on December 18, 2009 under the 2006 Stock
Incentive Plan. Additional grants of 375,000 shares of restricted stock are to be made to Mr. Smith on each of
February 28, 2010, February 27, 2011 and February 26, 2012, provided Mr. Smith is employed on such
dates. One-half, or 187,500 shares, of each of the additional grants will be time-based and the other half will be
performance-based grants. In accordance with FASB ASC Topic 718, all 937,500 shares of the time-based restricted
stock granted and to be granted pursuant to the renewed and extended employment agreement have been granted for
accounting purposes as of the date of the agreement of December 15, 2009, which is also the service inception date,
and the grant date fair value of each of these awards has been included in the table above.
As of February 27, 2010, only 375,000 of the shares subject to time-based vesting have been legally granted to
Mr. Smith under the 2006 Stock Incentive Plan; however, the Company is obligated to grant the remaining 562,500
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