iRobot 2012 Annual Report Download - page 29

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employees. We also maintain insurance and other benefit plans for our employees. Other than as described below, we offer no
perquisites that are not otherwise available to all of our employees.
Prior to Mr. Dyer's retirement and because Mr. Dyer maintained a personal residence in Maryland, we maintained a
corporate apartment at which Mr. Dyer resided when working at our corporate headquarters in Bedford, Massachusetts, and we
paid all travel expenses to and from our corporate headquarters. While we do not consider the corporate apartment or travel
expenses for Mr. Dyer as perquisites for purposes of determining his overall compensation package, the incremental costs of
the corporate apartment and travel expenses are reflected in the Summary Compensation Table as additional compensation for
this named executive officer in accordance with SEC executive compensation disclosure regulations relating to perquisites.
Cash Incentive Compensation
The compensation committee believes that a portion of overall cash compensation for executive officers should be “at
risk,” i.e., contingent upon successful achievement of significant financial and business objectives and implementation of our
business strategy. For our named executive officers, including our chief executive officer, the granting of cash incentive
payments is based on an evaluation of achievement against predetermined financial and operational metrics in accordance with
our Senior Executive Incentive Compensation Plan that was adopted by the compensation committee. Target cash incentives for
named executive officers are generally targeted between the 40th and 60th percentiles of similar cash incentives provided to
officers in peer companies reviewed by the compensation committee in the technology and robotics industries. The amount of
cash incentives paid to the named executive officers, however, is subject to the assessment of the compensation committee of
our performance in general and the achievement of specific goals.
For fiscal 2012, the target bonus awards under our Senior Executive Incentive Compensation Plan for each of our named
executive officers, as a percentage of base salary earned during the fiscal year, are summarized in the table below. These target
bonus amounts were set at levels the compensation committee determined were appropriate in order to achieve our objective of
retaining those executives who perform at or above the levels necessary for us to achieve our business plan, which, among
other things, involved growing our company in a cost-effective way.
Incentive Bonus Award Opportunity (% of base salary)
Threshold
(30% of target opportunity) Target (100%)
Maximum
(162.5% of target opportunity)
Colin M. Angle 30.0% 100% 162.500%
John J. Leahy 22.5% 75% 121.875%
Jeffrey A. Beck 19.5% 65% 105.625%
Joseph W. Dyer 19.5% 65% 105.625%
Glen D. Weinstein 18.0% 60% 97.500%
Russell J. Campanello 18.0% 60% 97.500%
We designed our Senior Executive Incentive Compensation Plan to focus our executives on achieving key corporate
financial objectives and strategic milestones, and to reward for substantial achievement of these company objectives. The 2012
performance goals and cash incentive payment criteria established by the compensation committee under our Senior Executive
Incentive Compensation Plan were designed to require significant effort and operational success on the part of our named
executive officers for achievement.
While the Senior Executive Incentive Compensation Plan is designed to provide cash incentive payments based upon
objectively determinable formulas that tie cash incentive payments to specific financial goals and strategic milestones, the
compensation committee retains the discretion to adjust cash incentive payments under the Senior Executive Incentive
Compensation Plan based upon additional factors.
For each named executive officer, 100% of his target cash incentive compensation in 2012 was tied to key financial and
operating performance measures.
Proxy Statement