Symantec 2016 Annual Report Download - page 59

Non-GAAP operating income and non-GAAP revenue performance targets were established based on a
range of inputs without giving effect to the then-proposed spinoff of Veritas, including external market economic
conditions, growth outlooks for our product portfolio, the competitive environment, our internal budgets, and
market expectations.
The individual award is determined based on an assessment of individual performance results and impact
against both quantitative and qualitative expectations for the executive’s role. The individual performance modi-
fier does not apply to the CEO’s payout opportunity.
An executive’s performance is evaluated based on both quantitative and qualitative results in the following
key areas:
‰financial and operational goals for their area of responsibility and the entire company;
‰leadership qualities as well as functional competencies and knowledge for their area of responsibility; and
‰development and management of their team of employees.
Leadership skills are a common component to each of these objectives and are a significant factor in the
assessment of individual performance. The executive’s willingness to contribute to cross-functional initiatives
outside his or her primary area of responsibility, and the executive’s contribution to our company’s performance-
based culture, are also extremely important aspects of the individual performance assessment.
The CEO evaluates the level of each named executive officer’s performance against the pre-determined
goals following the end of fiscal year and then makes a recommendation to the Compensation Committee. The
Compensation Committee then reviews the CEO’s compensation recommendations for the other named execu-
tive officers, makes any appropriate adjustments, and approves their compensation, if warranted.
Achievement of Fiscal 2016 Performance Metrics:
As presented in the tables below, the Compensation Committee designed and established the operating met-
ric under the FY16 Executive Annual Incentive Plans to take into account the then-anticipated Veritas spinoff.
Although the planned spinoff of Veritas instead became the Veritas Sale in fiscal 2016, the general timing of the
separation remained the same and no change was made to the original design and the Compensation Committee
assessed achievement thereunder accordingly. For the first three fiscal quarters of fiscal 2016, achievement was
based on the combined Symantec and discontinued operations (Veritas) results, as legal separation of Veritas
occurred on January 29, 2016. For the fourth quarter of fiscal 2016, achievement was based only on Symantec’s
performance.
Fiscal 2016 Q1-Q3 Period (Symantec + Veritas)
Target
(in millions)
Actual
(in millions) Achievement Funding
Operating Income .................................. $1,397 $1,276 91.4% 48.2%
Revenue ..........................................
................................................. $4,690 $4,532 96.6% 79.8%
Q1-Q3 Funding .................................... 64.0%
Fiscal 2016 Q4 Period (Symantec Only)
Target
(in millions)
Actual
(in millions) Achievement Funding
Operating Income .................................. $244 $219 89.4% 0.0%
Revenue .......................................... $926 $880 95.1% 70.4%
Q4 Funding ....................................... 35.2%
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