Windstream 2008 Annual Report Download - page 29

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(5) Performance-based shares vest ratably in annual one-third (1/3) increments over the three-year period
ending February 15, 2011 if Windstream also achieves the performance objectives for three annual performance
periods for the calendar years 2008, 2009 and 2010.
(6) Shares vest ratably in annual one-third (1/3) increments over the three-year period ending August 1, 2009.
(7) Shares vest in full August 1, 2009.
(8) Shares vest ratably in annual one-third (1/3) increments over the three-year period ending February 15,
2010.
(9) Shares vest ratably in annual one-third (1/3) increments over the three-year period ending February 15,
2011.
(10) Shares vest in full on November 15, 2010.
The following table shows information regarding the exercise or vesting of equity-based awards of
Windstream during 2008 by the individuals named below.
OPTION EXERCISES AND STOCK VESTED
Stock Awards (1)
Name
Number of Shares
Acquired on Vesting
(#)
Value Realized on
Vesting
($)
Jeffery R. Gardner 56,268(2) 680,843
200,102(3) 2,367,207
Brent Whittington 14,630(2) 177,023
16,120(3) 190,700
John P. Fletcher 11,254(2) 136,173
12,566(3) 148,656
Richard J. Crane 5,628(2) 68,099
7,669(3) 90,724
Robert G. Clancy 5,064(2) 61,274
6,976(3) 82,526
(1) Windstream does not grant stock options and had no exercises in 2008.
(2) Shares vested on February 15, 2008 with a closing price of $12.10.
(3) Shares vested on August 1, 2008 with a closing price of $11.83.
Pension Benefits
The following is a brief summary of the material terms of the retirement plans maintained by Windstream.
Windstream Pension Plan. Windstream maintains the Windstream Pension Plan (“Pension Plan”), which is
a tax-qualified defined benefit plan. The Pension Plan generally covers salaried and non-salaried employees of
Windstream and those subsidiary companies that have adopted the Pension Plan. Accruals are frozen for
non-bargaining employees except for those employees who attained age 40 with two years of vesting service as
of December 31, 2005, which will end on December 31, 2010. Of our named executive officers, only Messrs.
Gardner, Clancy and Crane were eligible for continuing accruals under the Pension Plan as of the end of 2008.
The Pension Plan’s accrued benefit is payable in the form of a monthly life annuity following normal
retirement at age 65 (or, if later, at five years of service or at the fifth anniversary of participation). The accrued
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