Symantec 2016 Annual Report Download - page 60

64% (Q1-Q3 Funding) x 75% + 35.2% (Q4 Funding) x 25% = 56.8% (Fiscal 2016 Funding)
For fiscal 2016, the individual performance payout level for our named executive officers reflected perform-
ance assessment as measured by the objectives for the key areas described above. Our named executive officers’
fiscal 2016 annual incentive payout level by performance metric, total payout as percentage of target opportunity
and total payout amounts are provided in the table below:
Weighted Average
Non-GAAP
Operating
Income Funding &
Non-GAAP
revenue Funding (%)
Individual
Performance Modifier
Funding (%)
Total Payout as % of
Target Opportunity (%) Payout Amount ($)
Michael A. Brown ..... 56.8 n/a 56.8 852,000
Thomas J. Seifert ...... 56.8 110 62.5 449,856
Balaji Yelamanchili .... 56.8 50 28.4 248,500
Scott C. Taylor ........ 56.8 120 62.5 283,380
Francis C. Rosch ...... 56.8 140 79.5 320,875
III. Equity Incentive Awards
The primary purpose of our equity incentive awards is to align the interests of our named executive officers
with those of our stockholders by rewarding the named executive officers for creating stockholder value over the
long term. By compensating our executives with equity incentive awards, our executives hold a stake in
Symantec’s financial future. The gains realized in the long term depend on our executives’ ability to drive the
financial performance of Symantec. Equity incentive awards are also a useful vehicle for attracting and retaining
executive talent in the highly competitive market for talent in which we compete.
Our 2013 Plan provides for the award of stock options, stock appreciation rights, restricted stock, and
restricted stock units (including PRUs). For fiscal 2016, the equity incentive component of our executive
compensation program consisted of PRUs and RSUs for all of our named executive officers. We also offer all
employees the opportunity to participate in the 2008 Employee Stock Purchase Plan, which allows for the pur-
chase of our stock at a discount to the fair market value through payroll deductions. This plan is designed to
comply with Section 423 of the Code. During fiscal 2016, two of the named executive officers participated in the
2008 Employee Stock Purchase Plan.
We seek to provide equity incentive awards that are competitive with companies in our peer group and the
other information technology companies that the Compensation Committee includes in its competitive market
assessment. As such, we establish target equity incentive award grant guideline levels for the named executive
officers based on competitive market assessments. When making annual equity awards to named executive offi-
cers, we consider corporate results during the past year, the role, responsibility and performance of the individual
named executive officer, the competitive market assessment described above, prior equity awards, and the level
of vested and unvested equity awards then held by each named executive officer. In making equity awards, we
also generally take into consideration gains recognizable by the executive from equity awards made in prior
years. Mercer provides the Compensation Committee with market data on these matters, as well as providing to
the Compensation Committee summaries of the prior grants made to the individual named executive officers.
As discussed below, the Compensation Committee believes that for fiscal 2016, a mix of PRUs and time-
vested RSUs is the appropriate long-term equity incentive for named executive officers. For fiscal 2016, approx-
imately 73% of our CEO’s equity incentive award value was granted in the form of PRUs and approximately
27% in the form of RSUs, reflecting our philosophy to allocate a significantly larger portion of the value of the
CEO’s target total long-term equity incentive award in the form of PRUs than time-vested RSUs. We maintained
our philosophy to allocate significantly larger portion of the value of the target total long-term equity incentive
award in the form of PRUs than time-vested RSUs with our other named executive officers as well. On average
63% of the other named executive officers’ equity incentive award value was granted in the form of PRUs and
approximately 37% in the form of RSUs.
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