Apple 2014 Annual Report Download - page 111

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Performance-Based Awards
If you hold performance-based awards, your awards are amended to provide for additional vestin
g
at the time of your death o
r
termination of employment due to disability.
Previously, if an employee with performance-based awards died or terminated employment due to disability, a pro-rata portion of the
RSUs related to the next vestin
g
date would have vested. The remainin
g
unvested RSUs were cancelled. Dependin
g
on the specific
award terms, this pro-rata calculation was determined based either on the period between the
g
rant date and the end of the
performance period or the period between the precedin
g
vestin
g
date and the next vestin
g
date, and it was based on the number of
whole calendar months in the applicable period.
The Compensation Committee hereby amends your performance-based awards to provide that, if you die or terminate employment
due to disability while employed by Apple or its subsidiaries, the fraction used to determine the number of shares that vest will be
calculated based on the total number of days in any performance period then in pro
g
ress. The fraction will be determined by
subtractin
g
the number of days remainin
g
in the performance period on the termination date from the total number of days in the
performance period, and dividin
g
the result by the total number of days in the performance period. The shares continue to vest at the
end of the performance period, based on actual performance. This revised calculation will typically result in the vestin
g
of additional
shares upon a termination of employment due to death or disability.