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Table 6 Group New Business Incentive Plan
Date of
award/
grant
As at
27 February
2010
Shares
awarded
in year
Options
exercised/
shares
released
in year
As at
26 February
2011 Date from which exercisable Expiry date
Sir Terry Leahy 14.11.2007 2,773,919 112,819 – 2,886,738 Four tranches 2011-2014 14.11.2017
Group New Business Incentive Plan
 J^[WmWhZcWZ[kdZ[hj^_ifbWdm_bbdehcWbbol[ij_d\ekhjhWdY^[i1\ekh"\_l["i_nWdZi[l[do[WhiW\j[hj^[ZWj[e\WmWhZ\ehd_bYedi_Z[hWj_ed$J^[WmWhZ_i_dj^[\ehce\Wd_bYeijefj_ed$
Awards may be adjusted to take account of any dividends paid or that are payable in respect of the number of shares earned. The former CEO, Sir Terry Leahy, retired on 2 March 2011 and
his interest in this award will continue until the normal vesting dates.
Performance against targets
 J^[l[ij_d]e\j^[WmWhZcWZ[jej^[\ehc[h=hekf9;EI_hJ[hhoB[W^okdZ[hj^_ifbWd_iYedZ_j_edWbedWY^_[l[c[djW]W_dij=hekfWdZ?dj[hdWj_edWbf[h\ehcWdY[YedZ_j_edi$EdY[
performance against the Group and International targets has been determined, the extent to which the award made to the former Group CEO under this plan is capable of vesting will
be conditional on the financial performance of the US business venture. The targets are set out below.
The second tranche (2011/12) of the award was subject to testing against US Return on Capital Employed (‘ROCE’) and Earnings Before Interest and Tax (‘EBIT’) targets and the targets
were not met. The 2010/11 targets were also not met so no part of this award has vested to date. The next assessment of performance will be in respect of 2012/13. It is currently
considered unlikely that any portion of these awards will vest.
Target s
 J^[[nj[djjem^_Y^j^[WmWhZim_bbl[ij_iYedZ_j_edWbedj^[\_dWdY_Wbf[h\ehcWdY[e\j^[KIXki_d[iiXWi[Zedj^[WY^_[l[c[dje\ijh[jY^_d];8?JWdZHE9;jWh][ji$7f[hY[djW][
e\j^[;8?Je\j^[KIXki_d[ii\ehj^[h[b[lWdjo[WhicWoX[WbbeYWj[ZjeWd;8?Jfeebm^_Y^m_bbX[YWff[ZWj'&_dWdoed[o[Wh$J^[fehj_ede\j^[WmWhZm^_Y^cWol[ijm_bbX[
determined by reference to the value of the EBIT pool as well as the ROCE targets.
Summary of US business performance conditions
ROCE hurdle 2010/11 2011/12 2012/13 2013/14
Maximum ,HE9; /HE9; ''HE9; '(HE9;
Target performance *HE9; ,HE9; .HE9; '&HE9;
L[ij_d]f[hY[djW][e\cWn_ckcWmWhZ
Vesting levels at maximum performance Kfje(+ Kfje+& Kfje-+ Kfje'&&
Vesting levels at target performance Kfje,$(+ Kfje'& Kfje'($+ Kfje'.$-+
Table 7 US Long Term Incentive Plan
Date of award
As at
26 February
2011
Shares
awarded
in year
Shares lapsed
in year
As at
25 February
2012
Tim Mason 14.11.2007 2,219,133 – 2,219,133 –
 J^[KI9;Edebed][hfWhj_Y_fWj[i_dj^_ifbWdWdZ^_i[dj_h[WmWhZbWfi[Zed*@kbo(&''$
Remuneration report
84 Tesco PLC Annual Report and Financial Statements 2012