Summary
E. I. du Pont de Nemours and Company (the "Company") announced the adoption of the E. I. du Pont de Nemours Management Deferred Compensation Plan (the "Plan") on April 30, 2008, approved by its Board of Directors. This plan allows a select group of management and highly compensated employees to defer a portion of their compensation, including base salary (up to 60%), short-term incentive (STIP) awards (up to 60%), and long-term incentive (LTI) awards (up to 100%). The deferral provisions for base salary and LTI awards are effective January 1, 2009, while STIP award deferrals apply to awards earned in 2008 and paid in 2009. The Plan offers participants flexibility in managing their deferred compensation. They can allocate deferrals into up to five "Directed Investment Subaccounts" for salary and STIP awards, with options for investment elections and distribution methods. For LTI awards, participants can allocate deferrals into up to five "Stock Unit Subaccounts," which will consist of the Company's common stock units, with no separate investment elections allowed for these. The Plan is unfunded, meaning participants have the status of unsecured creditors.
Key Highlights
- 1E. I. du Pont de Nemours and Company has adopted a new Management Deferred Compensation Plan.
- 2The plan allows select management and highly compensated employees to defer compensation.
- 3Deferral limits include up to 60% of base salary, up to 60% of STIP awards, and up to 100% of LTI awards.
- 4Effective dates vary: January 1, 2009 for base salary and LTI, and for 2008 STIP awards payable in 2009.
- 5Participants can direct investments for deferred salary and STIP awards into subaccounts.
- 6Deferred LTI awards will be held as Company common stock units, with no investment elections for these.
- 7The plan is unfunded, and participants are unsecured creditors of the company.