Appendix A - Outline

Appendix A

EXAMINING THE GRASSO COMPENSATION CALCULATION
“A Matter of Principle”

A.	Introduction

	1)	comparator firms
	2)	incentive programs
	3)	total compensation figures 1995-2002
	4)	compensation last year (2003)
	5)	target/actual performance on ICP criteria
	6)	the validity of "performance v. target"

B.	The Webb Report conclusions

	1)	excessive compensation
	2)	excessive benefits
	3)	total excessive annual compensation and accumulated pension (estimate)

C.	Benchmarking Grasso’s compensation

	1)	Comparator Lists, by year
	2)	Postscript: targeted and actual medians?
	3)	Alternative comparator groups

D.	Benefits
	1)	annual performance bonuses
		a)	ICP
		b)	Chairman's Award (35% of ICP)
	2)	Capital Accumulation Plan
		a)	CAP
		b)	Vesting for CAP
	3)	401(k) savings plan
	4)	SESP savings plan

E.	Sample compensation calculations
	1)	The four steps of the 1999 compensation
	2)	Grasso's compensation for 2001
	3)	"special payments" for Grasso

F.	Compensation levels of executives other than CEO Grasso
	1)	NYSE Vice Presidents
	2)	Compensation for NYSE Compensation Committee members

G.	Conclusions
	1)	Flawed procedures
	2)	Summary of Webb conclusions
	3)	Names of Compensation Committee and Board of Directors, 2003
	3)	Recommendations (by the author)