Progress Energy 2009 Annual Report Download - page 199

Progress Energy Proxy Statement
61
POTENTIAL PAYMENTS UPON TERMINATION
Mark F. Mulhern, Senior Vice President and Chief Financial Officer
Voluntary
Termination
($)
Early
Retirement
($)
Normal
Retirement
($)
Involuntary
Not for
Cause
Termination
($)
For Cause
Termination
($)
Involuntary
or Good
Reason
Termination
(CIC)
($)
Death or
Disability
($)
Compensation
Base Salary—$425,0001$0 $0 $0 $1,270,750 $0 $1,317,500 $0
Annual Incentive2$0 $0 $0 $0 $0 $233,750 $225,000
Long-term Incentives
Performance Shares (PSSP)3
2007 (performance period) $0 $0 $0 $0 $0 $429,734 $429,734
2008 (performance period) $0 $0 $0 $0 $0 $311,963 $198,522
2009 (performance period) $0 $0 $0 $0 $0 $487,199 $132,872
Restricted Stock Units4
±
(grant date vesting) $0 $0 $0 $0 $0 $335,831 $335,831
±
(grant date vesting) $0 $0 $0 $0 $0 $48,761 $48,761
±
(grant date vesting) $0 $0 $0 $0 $0 $48,720 $48,720
±
(grant date vesting) $0 $0 $0 $0 $0 $46,587 $46,587
±
(grant date vesting) $0 $0 $0 $0 $0 $46,587 $46,587
±
(grant date vesting) $0 $0 $0 $0 $0 $76,607 $0
±
(grant date vesting) $0 $0 $0 $0 $0 $76,607 $0
±
(grant date vesting) $0 $0 $0 $0 $0 $179,132 $0
Restricted Stock5
Unvested and Accelerated $0 $0 $0 $0 $0 $239,252 $239,252
Benefits and Perquisites
Incremental Nonqualified Pension6$0 $0 $0 $0 $0 $0 $0
Deferred Compensation7$325,876 $0 $0 $325,876 $325,876 $325,876 $325,876
Post-retirement Health Care8$0 $0 $0 $15,249 $0 $19,934 $0
Executive AD&D Proceeds9$0 $0 $0 $0 $0 $0 $500,000
280G Tax Gross-up10 $0 $0 $0 $0 $0 $1,459,661 $0
TOTAL $325,876 $0 $0 $1,611,875 $325,876 $5,683,701 $2,577,742
1 There is no provision for payment of salary under voluntary termination, for cause termination, death or disability.
Mr. Mulhern is not eligible for early retirement or normal retirement. In the event of involuntary not for cause termination,
salary continuation provision per Mr. Mulhern’s employment agreement requires a severance equal to 2.99 times his then current
base salary ($425,000) payable in equal installments over a period of 2.99 years. In the event of involuntary or good reason
termination (CIC), the maximum benefit allowed under the cash payment provision of the Management Change-in-Control
Plan equals the sum of annual salary times two plus annual target MICP award times two (($425,000 + $233,750) x 2). Does
not include impact of long-term disability. In the event of a long-term disability, Mr. Mulhern would receive 60% of base salary
during the period of his disability.
2 There is no provision for payment of annual incentive under voluntary termination, involuntary not for cause
termination, or for cause termination. Mr. Mulhern is not eligible for early retirement or normal retirement. In the event of
involuntary or good reason termination (CIC), Mr. Mulhern would receive 100% of his target award under the Annual Cash
Incentive Compensation Plan provisions of the Management Change-in-Control Plan, calculated as 55% times $425,000. In the
event of death or disability, Mr. Mulhern would receive a pro-rata incentive award for the period worked during the year. For
December 31, 2009, this is based on the full award. For 2009, Mr. Mulhern’s MICP award was $225,000.