Seagate 2010 Annual Report Download - page 114

Table of Contents
SEAGATE TECHNOLOGY PLC
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
Performance Unit Activity
The following is a summary of performance unit activities:
At July 1, 2011, the total compensation cost related to performance units granted to employees but not yet recognized was approximately
$2 million. This cost is being amortized on a straight-line basis over a weighted-average remaining term of 2.2 years.
ESPP
During fiscal years 2011 and 2010, the aggregate intrinsic value of shares purchased under the Company's ESPP was approximately
$7 million and $31 million, respectively. At July 1, 2011, the total compensation cost related to options to purchase the Company's ordinary
shares under the ESPP but not yet recognized was approximately $1 million. This cost will be amortized on a straight-line basis over a weighted-
average period of approximately one month.
The following table shows the shares issued, and their respective weighted-average purchase price, pursuant to the ESPP during fiscal year
2011.
Tax-Deferred Savings Plan
The Company has a tax-deferred savings plan, the Seagate 401(k) Plan (the "40l(k) plan"), for the benefit of qualified employees. The 40l
(k) plan is designed to provide employees with an accumulation of funds at retirement. Qualified employees may elect to make contributions to
the 401(k) plan on a monthly basis. Pursuant to the 401(k) plan, the Company matches 50% of employee contributions, up to 6% of
compensation, subject to maximum annual contributions of $3,500 per participating employee. During fiscal years 2011, 2010 and 2009, the
Company made matching contributions of $13 million, $12 million and $13 million, respectively.
Deferred Compensation Plan
On January 1, 2001, the Company adopted the SDCP for the benefit of eligible employees. This plan is designed to permit certain
discretionary employer contributions, in excess of the tax limits applicable to the 401(k) plan and to permit employee deferrals in excess of
certain tax limits. The Company's assets designated to pay benefits under the plan are held by a rabbi trust. The assets and liabilities of a rabbi
trust are accounted for as assets and liabilities of the Company. At July 1, 2011 and July 2, 2010, the assets held
107
Performance Units Number of Shares
Weighted-
Average
Grant-
Date
Fair Value
(In millions)
Performance units at July 2, 2010
—
$
—
Granted
0.3
$
12.13
Forfeitures
—
$
—
Performance units at July 1, 2011
0.3
$
12.13
July 30, 2010
January 31, 2011
Shares issued (in millions)
1.5
1.5
Weighted-average purchase price
per share
$
10.67
$
10.99