Symantec 2010 Annual Report Download - page 59

executive officers are eligible to participate in the deferred compensation plan, and to receive other benefits
described below.
Deferred Compensation: Symantec’s named executive officers are eligible to participate in a nonqualified
deferred compensation plan that provides U.S. employees (including our named executive officers) the opportunity
to defer up to 75% of base salary and 100% of cash bonuses for payment at a future date. This plan is provided to be
competitive in the executive talent market, and to provide executives with a tax-efficient alternative for receiving
earnings. One of our named executive officers participated in this plan during fiscal 2010. The plan is described
further under “Non-Qualified Deferred Compensation in Fiscal 2010,” beginning on page 56.
Additional Benefits: Symantec’s named executive officers typically do not receive perquisites, except in
limited circumstances when deemed appropriate by the Compensation Committee. For example, an additional
benefit available to named executive officers is reimbursement for up to $10,000 for financial planning services.
The Compensation Committee provides certain perquisites because it believes they are for business-related
purposes or are prevalent in the marketplace for executive talent. The value of the perquisites we provide are
taxable to the named executive officers and the incremental cost to us for providing these perquisites is reflected in
the Summary Compensation Table. (These benefits are disclosed in the All Other Compensation column of the
Summary Compensation Table on page 51).
Change in Control and Severance Agreements: Our Executive Retention Plan provides participants with
double trigger acceleration of equity awards, where equity vesting is only accelerated in the event the individual’s
employment is terminated without cause, or is constructively terminated, within 12 months after a change in control
of the Company (as defined in the plan). We believe that the double trigger acceleration provision appropriately
achieves the intent of the plan without providing an undue benefit to executives who continue to be employed
following a change in control transaction. The intent of the plan is to enable named executive officers to have a
balanced perspective in making overall business decisions in the context of a potential acquisition of the Company,
as well as to be competitive with market practices. The Compensation Committee believes that change in control
benefits, if structured appropriately, serve to minimize the distraction caused by a potential transaction and reduce
the risk that key talent would leave the Company before a transaction closes. In September 2009, we entered into an
employment agreement with Enrique Salem, in connection with his promotion to CEO in April 2009, to provide
him certain benefits upon the involuntary termination of his employment under certain circumstances, including
acceleration of vesting and severance payments in connection with a change of control. We believe that providing
these protections to Mr. Salem is competitively prudent and reasonable within our industry. We do not provide for
gross-ups of excise tax values under Section 4999 of the Internal Revenue Code. Rather, we allow the named
executive officer to reduce the benefit received or waive the accelerated vesting of options to avoid excess payment
penalties. Details of each individual named executive officer’s benefits, including estimates of amounts payable in
specified circumstances, are disclosed under “Potential Payments Upon Termination or Change in Control”
beginning on page 56 below.
SUPPLEMENTARY POLICIES AND CONSIDERATIONS
We use several additional policies to ensure that the overall compensation structure is responsive to
stockholder interests and competitive with the market. Specific policies include:
Stock Ownership Requirements
To ensure that our executive management team’s interests are aligned with our stockholders, we instituted
stock ownership requirements in October 2005. Minimum ownership levels are based on the executive’s salary
grade:
• CEO: 150,000 shares
• CFO: 85,000 shares
• Group Presidents and Executive Vice Presidents: 35,000 shares
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