Retirement and Other Benefits
Executive officers are eligible to participate in our 401(k) plan and other benefit programs as described below. The Compensation
Committee reviews the overall cost to us of these various programs generally on an annual basis or when changes are proposed. The Compensation Committee believes that the benefits provided by these programs have been important factors in attracting
and retaining the overall executive officer group, including the Named Executive Officers.
Our 401(k) plan allows for
discretionary employer matching funds of the employee contribution. During 2011, the employer match portion was 12%. We do not provide any other retirement benefits or tax-qualified deferred compensation plans or programs for our executive officers.
Executive officers also receive benefit of life insurance policies, which provide coverage in varying amounts up to
Executive officers are also entitled to participate in the various other group health, term life and
similar benefit plans available to all of our employees and on the same terms as such employees.
Perquisites and Other Personal
We provide Named Executive Officers with perquisites and other personal benefits that we and the Compensation
Committee believe are reasonable and consistent with our overall compensation program to better enable us to attract and retain superior employees for key positions.
Tax and Accounting Implications
Deductibility of Executive Compensation
As part of its role, the Compensation Committee reviews and considers the deductibility of executive compensation
under Section 162(m) of the Code, which provides that we may not deduct compensation of more than $1 million that is paid to certain individuals, subject to certain exceptions. We believe that compensation paid under our Plan is generally
fully deductible for federal income tax purposes. However, the Compensation Committee may approve compensation that will not meet these requirements in order to ensure competitive levels of total compensation for its executive officers.