Electronic Arts 2014 Annual Report Download - page 48

For fiscal 2015, the Company will change the composition of the Annual Awards granted to our NEOs. The
Annual Award shall consist of three components: (a) 50% of the Annual Award will be granted as RSUs,
(b) 25% of the Annual Award will be granted as PRSUs, and (c) the remaining 25% of the Annual Award will be
granted in the form of stock options. The addition of stock options to the Annual Award mix will reward
executives for growth in our stock price over the long term and will complement the retentive value of time-
based RSU awards and the relative stock price performance rewards of our PRSUs.
Benefits and Retirement Plans
We provide a comprehensive benefits package to all of our regular, full-time employees, including our NEOs that
is consistent with the level of benefits offered by similar-sized companies; including medical, dental, prescription
drug, vision care, disability insurance, life insurance, accidental death and dismemberment (“AD&D”) insurance,
a flexible spending plan, business travel accident insurance, an educational reimbursement program, an adoption
assistance program, an employee assistance program, an employee stock purchase plan, certain paid holidays,
personal time-off or comparable vacation benefits in accordance with local requirements, a monthly car
allowance for employees in certain positions and locations, including Sweden where Mr. Söderlund resides, and
a sabbatical program for regular full-time employees who commenced employment prior to October 7, 2009.
During fiscal 2014, Mr. Söderlund received a payout of $12,246, in accordance with the terms of the sabbatical
program as he was unable to utilize his full sabbatical benefit within the eligibility period.
We offer retirement plans to our employees based upon their country of employment. In the United States our
NEOs are eligible to participate in a tax-qualified section 401(k) savings plan, with an annual Company
discretionary matching contribution of up to 6% of eligible compensation. The amount of the matching
contribution is determined each year based on the Company’s fiscal year performance. We also maintain a
nonqualified deferred compensation plan in which executive-level employees, including our NEOs and our
Directors, are eligible to participate. None of our NEOs participated in the deferred compensation plan during
fiscal 2014. In Sweden, where Mr. Söderlund resides, the Company contributes to supplementary ITP
occupational pension plans for eligible employees, which provide retirement, life insurance and disability
benefits. Eligible employees above certain income thresholds may also elect to participate in an alternative ITP
plan. The ITP plans are offered pursuant to the terms of a collective agreement between the Confederation of
Swedish Enterprise and the Council for Negotiation and Cooperation.
Perquisites and Other Personal Benefits
We consistently have taken a conservative approach with respect to providing perquisites and other personal
benefits to our NEOs. While our NEOs generally receive the same benefits that are available to our other regular,
full-time employees, they also receive certain additional benefits, including access to a Company-paid physical
examination program, and greater maximum benefit levels for life insurance, AD&D, and long-term disability
coverage. We consider these benefits to be standard components of a competitive executive compensation
package. Company-reimbursed air and ground transportation is limited to business travel.
Relocation Assistance
We provide relocation benefits to our executive officers, including our NEOs, in order to induce job candidates to
accept job offers for certain open positions that are critical to the Company’s business needs. These benefits may
include household goods and car shipment, travel, temporary housing, car rental, storage, miscellaneous
relocation allowance, home sale and purchase assistance, house-hunting trips, and tax protection to offset costs
incurred by our executive officers as a result of these relocations. Relocation benefits provided to NEOs are
reported in the “All Other Compensation” column of the “Fiscal 2014 Summary Compensation Table” below.
Post-Employment Arrangements
Change of Control Plan
Our executive officers, including our NEOs, are eligible to participate in the Electronic Arts Inc. Key Employee
Continuity Plan, which is a “double-trigger” change of control plan. We believe it is important to offer our
executive officers this type of severance benefit in order to attract executive talent by mitigating the harm they
would suffer if their employment is terminated by the Company for reasons beyond their control in connection
with a change of control of the Company. This type of severance benefit also allows existing executive officers to
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