Progress Energy 2009 Annual Report Download - page 197

Progress Energy Proxy Statement
59
POTENTIAL PAYMENTS UPON TERMINATION
William D. Johnson, Chairman, Chief Executive Officer, and President
Voluntary
Termination
($)
Early
Retirement1
($)
Normal
Retirement
($)
Involuntary
Not for
Cause
Termination
($)
For Cause
Termination
($)
Involuntary
or Good
Reason
Termination
(CIC)
($)
Death or
Disability
($)
Compensation
Base Salary—$990,0002$0 $0 $0 $2,960,100 $0 $5,657,500 $0
Annual Incentive3$0 $950,000 $0 $0 $0 $841,500 $950,000
Long-term Incentives
Performance Shares (PSSP)4
2007 (performance period) $0 $1,774,913 $0 $0 $0 $1,774,913 $1,774,913
2008 (performance period) $0 $1,394,832 $0 $0 $0 $2,092,248 $1,394,832
2009 (performance period) $0 $797,986 $0 $0 $0 $2,393,959 $797,986
Restricted Stock Units5
±
(grant date vesting) $0 $185,557 $0 $0 $0 $202,425 $202,425
±
(grant date vesting) $0 $139,167 $0 $0 $0 $202,425 $202,425
±
(grant date vesting) $0 $111,334 $0 $0 $0 $202,425 $202,425
±
(grant date vesting) $0 $274,511 $0 $0 $0 $313,727 $313,727
±
(grant date vesting) $0 $183,031 $0 $0 $0 $313,768 $313,768
±
(grant date vesting) $0 $285,952 $0 $0 $0 $381,270 $0
±
(grant date vesting) $0 $142,976 $0 $0 $0 $381,270 $0
±
(grant date vesting) $0 $177,348 $0 $0 $0 $709,391 $0
Restricted Stock6
Unvested and Accelerated $0 $661,655 $0 $0 $0 $661,655 $661,655
Benefits and Perquisites
Incremental Nonqualified Pension7$0 $0 $0 $0 $0 $0 $0
Deferred Compensation8$736,071 $736,071 $0 $736,071 $736,071 $736,071 $736,071
Post-retirement Health Care9$0 $0 $0 $23,022 $0 $45,140 $0
Executive AD&D Proceeds10 $0 $0 $0 $0 $0 $0 $500,000
280G Tax Gross-up11 $0 $0 $0 $0 $0 $5,097,620 $0
TOTAL $736,071 $7,815,333 $0 $3,719,193 $736,071 $22,007,307 $8,050,227
1 Mr. Johnson became eligible for early retirement at age 55 in January 2009. Therefore, under the voluntary
termination and involuntary not for cause termination scenarios, Mr. Johnson would be treated as having met the early retirement
criteria under the Equity Incentive Plan and would be paid out under the early retirement provisions of that plan.
2 There is no provision for payment of salary under voluntary termination, early retirement, for cause termination,
death or disability. Mr. Johnson is not eligible for normal retirement. In the event of involuntary not for cause termination,
salary continuation provision per Mr. Johnson’s employment agreement requires a severance equal to 2.99 times his then
current base salary ($990,000) payable in equal installments over a period of 2.99 years. In the event of involuntary or good
reason termination (CIC), the maximum benefit allowed under the cash payment provision of the Management Change-
in-Control Plan equals the sum of annual salary times three plus average MICP award for the three years prior times three
(($990,000 + $895,833) x 3). Does not include impact of long-term disability. In the event of a long-term disability, Mr. Johnson
would receive 60% of base salary during the period of his disability.
3 There is no provision for payment of annual incentive under voluntary termination, involuntary not for cause
termination, or for cause termination. Mr. Johnson is not eligible for normal retirement. In the event of involuntary or good
reason termination (CIC), Mr. Johnson would receive 100% of his target award under the Annual Cash Incentive Compensation
Plan provisions of the Management Change-in-Control Plan, calculated as 85% times $990,000. In the event of early
retirement, death or disability, Mr. Johnson would receive a pro-rata incentive award for the period worked during the year. For
December 31, 2009, this is based on the full award. For 2009, Mr. Johnson’s MICP award was $950,000.