Qualcomm 2012 Annual Report Download - page 231

APPENDIX A
FISCAL YEAR 2012 PERFORMANCE GOALS AND PAYMENT FORMULA
[ Executive's Name ]
Formula to Calculate Amount Payable
No amount will be payable unless the Company has at least $4,877,508 in Non-
GAAP operating income (as defined below) for fiscal 2012.
If Non-GAAP operating income equals or exceeds that amount, subject to the Committee's exercise of discretion under section 9.5(b) of
the Plan, the conditions of this Award and the Maximum Award Amount determined above, the amount payable under this Award, if any,
shall be calculated after the completion of fiscal 2012 as follows:
“ Non-GAAP revenues ” and “ Non-GAAP operating income ” are as reported in the Company's fiscal 2012 annual earnings
release, subject to adjustments pursuant to the policy established by the Committee. The Company applies a relative weighting of
40% to Non-GAAP revenues and 60% to Non-GAAP operating income.
The Incentive Multiple increases 2.2% for each 1% improvement in the Weighted Achievement Ratio from 0.80 to 0.95; 7.4% for
each 1% improvement from 0.95 to 1.10; and 1.9% for each 1% improvement from 1.10 to 1.50. The maximum Incentive Multiple
is 2.50 and applies to a Weighted Achievement Ratio of 1.5 or above.
Base Salary Bonus Target as a Percent of Base Salary
Threshold Award Amount
(30% of
Target Award Amount) Target Award Amount
Maximum Award Amount
(250% of Target Award
Amount)
1. The Company fiscal 2012 fiscal 2012 financial Performance Measures and Performance Targets for purposes of determining the
amount payable under this Award are as follows:
Performance Measures
Performance Targets
• Non-GAAP revenues:
$
18,566,639
• Non-GAAP operating income:
$
6,967,868
2. The weighted achievement ratio for Non-GAAP revenues will be the result of 0.40 multiplied by a fraction, the numerator of which
is the reported Non-GAAP revenues for fiscal 2012, and the denominator of which is the fiscal 2012 Non-GAAP revenues
objective stated above.
3. The weighted achievement ratio for Non-GAAP operating income will be the result of 0.60 multiplied by a fraction, the numerator
of which is the reported Non-GAAP operating income for fiscal 2012, and the denominator of which is the fiscal 2012 Non-GAAP
operating income objective stated above.
4. The resulting weighted achievement ratios for Non-GAAP revenues and Non-GAAP operating income will then be summed (the “
Weighted Achievement Ratio ”) and the “ Incentive Multiple ” will be calculated according to the schedule set forth below:
Potential Payout Level Weighted Achievement Ratio Incentive Multiple
Maximum 1.50 and above 2.50
1.10 1.74
Target 1.00 1.00
0.95 0.63
Threshold 0.80 0.30
Below 0.80 0.00
5. The amount payable under this Award shall be the result of the Target Award Amount multiplied by the Incentive Multiple
determined in step 4 above.