SanDisk 2014 Annual Report Download - page 26

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(3) The following table presents the number of outstanding and unexercised option awards and the number of
unvested stock awards held by each of the Company’s Non-Employee Directors as of December 28, 2014:
Number of Shares Subject to Number of Unvested
Outstanding Option Awards Shares or Units
Director as of December 28, 2014 as of December 28, 2014
Michael E. Marks ................. 6,250 1,230
Kevin DeNuccio ................... — —
Irwin Federman ................... 12,500 1,230
Steven J. Gomo ................... 31,250 1,230
Eddy W. Hartenstein ............... 18,750 1,230
Dr. Chenming Hu ................. 31,250 1,230
Catherine P. Lego ................. 37,500 1,230
D. Scott Mercer ................... 10,958 1,230
(4) Includes dividends accrued on unvested RSUs during fiscal year 2014.
(5) Mr. DeNuccio resigned from the Board, effective February 3, 2014.
(6) Includes pro rata fee of $350 which was earned by Mr. Hartenstein for his Compensation Committee service in
the fourth quarter of fiscal year 2014, which was paid to Mr. Hartenstein in January 2015.
(7) This amount includes $237,500 of compensation earned by Dr. Hu pursuant to a Consulting Services Agreement
with the Company, as discussed below in ‘‘Certain Transactions and Relationships.’’
(8) Includes pro rata fee of $1,051 which was earned by Mr. Mercer for his Compensation Committee service in the
first quarter of fiscal year 2014.
Elements of Director Compensation
Compensation for Non-Employee Directors during fiscal year 2014 generally consisted of annual
retainers and annual share-based awards. The Compensation Committee, consisting solely of independent
directors, has the primary responsibility for reviewing and considering any revisions to Non-Employee
Director compensation, and recommending any such revisions to the Board for review. The Compensation
Committee periodically reviews Non-Employee Director compensation. In such review, the Compensation
Committee may review and consider data regarding the competitiveness of the Company’s Non-Employee
Director compensation program relative to the Company’s peer companies and general industry trends,
which data may be compiled by the Company’s management and/or with the assistance of a compensation
consultant. The Board reviews the Compensation Committee’s recommendations and determines the
amount of director compensation.
Annual Retainers
The Company policy regarding Non-Employee Director compensation in place during fiscal year 2014
was as follows:
Type of Fee Fiscal Year 2014
Annual Board Retainer ................................................... $60,000
Additional Annual Retainer to Chairman of the Board .............................. $75,000
Additional Annual Retainer to Chair of Audit Committee ........................... $30,000
Additional Annual Retainer to Chairs of Compensation Committee and Nominating and
Governance Committee ................................................. $15,000
Additional Annual Retainer to non-Chair Members of Audit Committee ................. $20,000
Additional Annual Retainer to non-Chair Members of Compensation Committee and Nominating
and Governance Committee .............................................. $7,500
18