Logitech 2015 Annual Report Download - page 61

51 | – Proxy Statement
Security Ownership
2015 Annual General Meeting Invitation, Proxy Statement
• the Chief Financial Officer to hold a number of Logitech
shares with a market value equal to 3 time his annual
base salary;
• executive officers, other than the Chief Executive
Officer and Chief Financial Officer, to hold a number
of Logitech shares with a market value equal to 2 times
their respective annual base salaries; and
• remaining officers who report directly to the Chief
Executive Officer to hold a number of Logitech shares
with a market value equal to their respective annual
base salaries.
Officers subject to the guidelines are required to achieve
the guideline within five years of being appointed to the
position making them subject to the guideline, or, in the
case of such officers serving at the time the guidelines
were originally adopted, within five years of the effective
date of adoption of the guidelines. The guidelines will be
adjusted to reflect any capital adjustments, and will be
re-evaluated by the Compensation Committee from time
to time. Up to 50% of the guideline may be met through
the net value of vested, unexercised stock options. If the
guideline is not met within five years, the Chief Executive
Officer must hold 100% of his after-tax shares resulting
from option exercises or other equity incentive awards
until the guideline is reached, and all other executive
officers and Chief Executive Officer direct reports must
hold at least 50% of the net shares resulting from option
exercises or other equity incentive awards until the
guideline is reached. In addition, if the guideline is not
met, the officer will have 50% of the after-tax value of
any earned bonuses under the Leadership Team Bonus
Program paid in fully vested Logitech shares. This
provision was enforced for two officers in connection
with the fiscal year 2014 bonuses. As of June 30, 2015,
all of the executive officers and other officers who report
directly to Chief Executive Officer had either satisfied
these ownership guidelines or had time remaining to
do so.