SECURITIES AND EXCHANGE COMMISSION
Exchange Act of 1934 (Amendment No. )
Filed by a Party other than the Registrantoo Filed by the Registrant þFiled by a Party other than the Registrant oCheck the appropriate box:oPreliminary Proxy Statemento oConfidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)14a-6(e)(2))þ þDefinitive Proxy Statement o oDefinitive Additional Materials o oSoliciting Material Pursuant to §240.14a-12 KIRBY CORPORATIONþ þNo fee required.o oFee computed on table below per Exchange Act Rules 14a-6(i) (4)(1) and 0-11. 1) (1)Title of each class of securities to which transaction applies: 2) (2) Aggregate number of securities to which transaction applies: 3) (3) Per unit price or other underlying value of transaction computed pursuant to Exchange Act Rule 0-11 (set forth the amount on which the filing fee is calculated and state how it was determined): 4) (4) Proposed maximum aggregate value of transaction: 5) (5) Total fee paid: o Fee paid previously with preliminary materials. o Check box if any part of the fee is offset as provided by Exchange Act Rule 0-11(a)(2) and identify the filing for which the offsetting fee was paid previously. Identify the previous filing by registration statement number, or the Form or Schedule and the date of its filing. (1) Amount Previously Paid: 1) Amount Previously Paid: 2) (2)Form, Schedule or Registration Statement No.: 3) Filing Party: 4) Date Filed:SEC 1913 (02-02)Persons who are to respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB control number. (3) Filing Party: (4) Date Filed:
![]() | KIRBY CORPORATION |
5, 2009
2009.
Date: | Tuesday, April | |||
Time: | 10:00 a.m. CDT | |||
Place: | 55 Waugh Drive | |||
8th Floor | ||||
Houston, Texas 77007 |
on at the Kirby Corporation 2009 Annual Meeting of Stockholders are as follows:
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Item 1 | — | Election of three Class II directors | ||||||
Item 2 | — | Ratification of the selection of KPMG LLP as the Company’s independent registered public accounting firm for 2009 |
2012.
term if elected. If any nominee becomes unable to serve as a director, an event currently not anticipated, the persons named as proxies in the enclosed proxy card intend to vote for a nominee selected by the present Board to fill the vacancy.
Bob G. Gower | Director since 1998 | |
Houston, Texas | Age |
nanotubes.nanotubes, until 2007. Mr. Gower serves as Chairman of the Audit Committee, is a member of the Executive Committee and Compensation Committee, and has been chosen by the non-management directors to serve as the presiding director at executive sessions of the non-management directors. Monte J. Miller Kingwood, Texas Not currently a director
Director since 2006Durango, Colorado Age 6265
January 15, 2006. From 1999 to 2003, he was Senior Vice President of Koch Chemical Company, a predecessor company of Flint Hills.
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Joseph H. Pyne | Director since 1988 | |
Houston, Texas | Age |
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C. Sean Day | Director since 1996 | |
Greenwich, Connecticut | Age |
Shipping Corporation, a foreign flag tank vessel owner and operator. He serves as Chairman of the Governance Committee and is a member of the AuditCompensation Committee. He is also a directorChairman of Teekay GP L.L.C., the general partner of Teekay LNG Partners L.P. William M. Lamont, Jr. Dallas, Texas Director since 1979 Dallas, Texas Age 5760
C. Berdon Lawrence Houston, Texas Director since 1999 Houston, Texas Age 6366
Director since | ||
Fort Worth, Texas | Age |
Johnson is ChairmanClark served as President and Chief Operating Officer of Amegy Bank, N.A.Baker Hughes Incorporated (“Amegy Bank”Baker Hughes”), from 2004 until his retirement in January 2008. From 2003 to 2004, he served as Vice President, Marketing and Technology of Baker Hughes, and from 2001 to 2003, he served as President of Baker Petrolite Corporation, a subsidiary of Zions Bancorporation.David L. Lemmon Director since 2006 Las Vegas, Nevada Age 66 George A. Peterkin, Jr. Houston, Texas Director since 1973 Houston, Texas Age 7881
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Director since | ||
Houston, Texas | Age |
Mr. Stewart is also a director of Eagle Materials Inc.
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James R. Clark | David L. Lemmon | |
C. Sean Day | Monte J. Miller | |
Bob G. Gower | George A. Peterkin, Jr. | |
William M. Lamont, Jr. | Richard R. Stewart |
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Composition; Charter
Principal Functions | Members | |
• Monitor the Company’s financial reporting, accounting procedures and systems of internal control | Bob G. Gower (Chairman) | |
• Select the independent auditors for the Company | George A. Peterkin, Jr. | |
• Review the Company’s audited annual and unaudited quarterly financial statements with management and the independent auditors | Richard R. Stewart | |
• Monitor the independence and performance of the Company’s independent auditors and internal audit function | ||
• Monitor the Company’s compliance with legal and regulatory requirements |
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Composition; Charter
Principal Functions | Members | |
• Determine the | William M. Lamont, Jr. (Chairman) | |
• Administer the Company’s annual incentive bonus program | C. Sean Day | |
• Administer the Company’s stock option, restricted stock and incentive plans and grant stock options, restricted stock and performance awards under such plans | Bob G. Gower |
Composition; Charter
Principal Functions | Members | |
• Perform the function of a nominating committee in recommending candidates for election to the Board | C. Sean Day (Chairman) James R. Clark | |
• Review all related party transactions | William M. Lamont, Jr. | |
• Oversee the operation and effectiveness of the Board |
A copyThe criteria address compliance with SEC and NYSE requirements relating to the composition of the Board and its committees, as well as character, integrity, experience, understanding of the Company’s business and willingness to commit sufficient time to the Company’s business. The criteria is attached to this Proxy Statement asExhibit Aand is alsoare available on the Company’s web site at www.kirbycorp.com in the Investor Relations section under Corporate Governance. In addition to the criteria, the Governance Committee and the Board will consider diversity in business experience, professional expertise, gender and ethnic background in evaluating potential nominees for director.
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Fees Earned | ||||||||||||||||
Name | or Paid in Cash | Stock Awards(1)(2) | Option Awards(1)(2) | Total | ||||||||||||
James R. Clark | $ | 32,000 | $ | 55,998 | $ | 357,600 | $ | 445,598 | ||||||||
C. Sean Day | 63,750 | 85,002 | 134,100 | 282,852 | ||||||||||||
Bob G. Gower | 76,750 | 63,204 | 155,862 | 295,816 | ||||||||||||
Walter E. Johnson(3) | 12,750 | — | — | 12,750 | ||||||||||||
William M. Lamont, Jr. | 78,750 | 55,998 | 134,100 | 268,848 | ||||||||||||
David L. Lemmon | 59,750 | 55,998 | 134,100 | 249,848 | ||||||||||||
Monte J. Miller | 32,750 | 85,002 | 134,100 | 251,852 | ||||||||||||
George A. Peterkin, Jr. | 35,750 | 85,002 | 134,100 | 254,852 | ||||||||||||
Richard R. Stewart | 35,000 | 55,998 | 357,600 | 448,598 |
(1) | The amounts included in the “Stock Awards” and “Option Awards” columns represent the compensation cost recognized by the Company in 2008 related to restricted stock awards and stock option grants to directors, computed in accordance with Statement of Financial Accounting Standards No. 123R (“SFAS No. 123R”). For a discussion of valuation assumptions, see Note 7, Stock Award Plans, in the Company’s consolidated financial statements included in the Annual Report onForm 10-K for the year ended December 31, 2008. | |
(2) | Each director was granted 1,000 shares of restricted stock on April 22, 2008 at a value of $56.00 per share. Each director was granted stock options for 6,000 shares on April 22, 2008 at an exercise price of $55.49 per share. Mr. Day, Mr. Miller and Mr. Peterkin were granted 519 shares of restricted stock on April 22, 2008 at a value of $56.00, as they elected to receive their annual director fee in the form of restricted stock awards. Mr. Gower was granted stock options for 1,298 shares on April 22, 2008 at an exercise price of $55.49 per share as he elected to receive his annual director fee in the form of stock options. The following table shows the aggregate number of shares of restricted stock and stock options outstanding for each director as of December 31, 2008, as well as the grant date fair value of restricted stock and stock option grants made during 2008: |
Aggregate Shares | Aggregate | Grant Date | ||||||||||
of Restricted Stock | Stock Options | Fair Value of | ||||||||||
Outstanding | Outstanding | Restricted Stock and | ||||||||||
as of | as of | Stock Options | ||||||||||
Name | December 31, 2008 | December 31, 2008 | Awarded during 2008 | |||||||||
James R. Clark | — | 16,000 | $ | 413,598 | ||||||||
C. Sean Day | 130 | 73,068 | 219,162 | |||||||||
Bob G. Gower | — | 19,298 | 219,108 | |||||||||
Walter E. Johnson(3) | — | 12,000 | — | |||||||||
William M. Lamont, Jr. | — | 54,000 | 190,098 | |||||||||
David L. Lemmon | — | 28,000 | 190,098 | |||||||||
Monte J. Miller | 130 | 29,988 | 219,162 | |||||||||
George A. Peterkin, Jr. | 130 | 61,218 | 219,162 | |||||||||
Richard R. Stewart | — | 16,000 | 413,598 |
(3) | Mr. Johnson retired from the Board on April 22, 2008. |
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2009.
2009.
He also received income in 2008 of $55,965 from the vesting of restricted stock.
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Connie C. Valerius, the wife
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• | Audit Committee Charter | |
• | Compensation Committee Charter | |
• | Governance Committee Charter | |
• | Criteria for the Selection of Directors |
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• | Business Ethics Guidelines | |
• | Corporate Governance Guidelines | |
• | Communication with Directors |
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Shares of Common Stock | |||||||||||||||||||||
Beneficially Owned on March 1, 2006 | |||||||||||||||||||||
Voting or | Percent of | ||||||||||||||||||||
Investment | Right to | Common | |||||||||||||||||||
Direct(1) | Power(2) | Acquire(3) | Total | Stock(3)(4) | |||||||||||||||||
DIRECTORS/NOMINEES | |||||||||||||||||||||
C. Sean Day | 1,881 | 29,034 | 30,915 | ||||||||||||||||||
Bob G. Gower | 27,210 | 34,034 | 61,244 | ||||||||||||||||||
Walter E. Johnson | 8,210 | 24,814 | 33,024 | ||||||||||||||||||
William M. Lamont, Jr. | 10,142 | (5) | 22,500 | 32,642 | |||||||||||||||||
C. Berdon Lawrence | 1,247,284 | 392,615 | 1,639,899 | 6.2 | % | ||||||||||||||||
Monte J. Miller | |||||||||||||||||||||
George A. Peterkin, Jr. | 164,887 | (6) | 44,685 | (6) | 20,585 | 230,157 | |||||||||||||||
Joseph H. Pyne | 350,922 | 80,517 | 413,439 | 1.6 | % | ||||||||||||||||
Robert G. Stone, Jr. | 105,102 | (7) | 28,500 | (7) | 35,487 | 169,089 | |||||||||||||||
Richard C. Webb | 2,881 | 2,881 | |||||||||||||||||||
NAMED EXECUTIVES | |||||||||||||||||||||
Mark R. Buese | 10,578 | 31,333 | 41,911 | ||||||||||||||||||
Norman W. Nolen | 68,882 | 2,766 | 71,648 | ||||||||||||||||||
Steven P. Valerius | 25,271 | (8) | 46,843 | (9) | 72,114 | ||||||||||||||||
Directors and Executive Officers as a group (17 in number) | 2,060,882 | 73,185 | 800,507 | 2,934,574 | 11.0 | % |
Except as otherwise indicated, the persons named have sole voting and investment power over the shares shown.
Shares of Common Stock | ||||||||||||||||||||
Beneficially Owned on March 2, 2009 | Percent of | |||||||||||||||||||
Right to | Common | |||||||||||||||||||
Direct(1) | Indirect | Acquire(2) | Total | Stock(3) | ||||||||||||||||
DIRECTORS | ||||||||||||||||||||
James R. Clark | 1,000 | — | 16,000 | 17,000 | ||||||||||||||||
C. Sean Day | 2,500 | 14,883(4 | ) | 70,068 | 87,451 | |||||||||||||||
Bob G. Gower | 40,922 | — | 19,298 | 60,220 | ||||||||||||||||
William M. Lamont, Jr. | 32,284 | (5) | — | 54,000 | 86,284 | |||||||||||||||
C. Berdon Lawrence | 914,429 | 234,227 | (6) | 65,454 | 1,214,110 | 2.3 | % | |||||||||||||
David L. Lemmon | 3,000 | — | 28,000 | 31,000 | ||||||||||||||||
Monte J. Miller | 4,301 | — | 29,988 | 34,289 | ||||||||||||||||
George A. Peterkin, Jr. | 211,540 | (7) | 59,040 | (8) | 61,218 | 331,798 | ||||||||||||||
Joseph H. Pyne | 385,695 | — | 59,839 | 445,534 | ||||||||||||||||
Richard R. Stewart | 1,000 | — | 16,000 | 17,000 | ||||||||||||||||
NAMED EXECUTIVES | ||||||||||||||||||||
Norman W. Nolen | 55,027 | — | 28,903 | 83,930 | ||||||||||||||||
Dorman L. Strahan | 43,007 | — | 12,659 | 55,666 | ||||||||||||||||
Steven P. Valerius | 64,060 | (9) | — | 32,994 | 97,054 | |||||||||||||||
Directors and Executive Officers as a group (19 in number) | 1,881,950 | 308,150 | 523,020 | 2,713,120 | 5.0 | % |
(1) | Shares owned as of March 2, 2009 and held individually or jointly with others, or in the name of a bank, broker or nominee for the individual’s account. Also includes shares held under the Company’s 401(k) Plan. | |
(2) | Shares with respect to which | |
(3) | No percent of | |
(4) | Shares owned by a grantor retained annuity trust for the benefit of | |
(5) | Does not include |
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(6) | Owned by a limited partnership of which entities wholly owned by Mr. Lawrence and his wife are the general partners, and of which Mr. Lawrence’s children and three trusts for his children are the limited partners. | |
(7) | Does not include | |
(8) | Shares owned by trusts of which Mr. Peterkin is trustee, the beneficiaries of which are relatives of his or his wife’s. Mr. Peterkin disclaims beneficial ownership of these shares. | |
Does not include | ||
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Number of Shares | Percent | |||||||
Name and Address | Beneficially Owned(1) | of Class | ||||||
PRIMECAP Management Company | 2,034,688 | (2) | 7.7% | |||||
225 South Lake Avenue, Suite 400 | ||||||||
Pasadena, California 91101 | ||||||||
C. Berdon Lawrence | 1,639,899 | (3) | 6.2% | |||||
55 Waugh Drive, Suite 1000 | ||||||||
Houston, Texas 77007 |
stock, based on filings with the SEC:
Number of Shares | Percent | |||||||
Name and Address | Beneficially Owned | of Class(1) | ||||||
Barclays Global Investors, NA | 5,715,139 | (2) | 10.63 | % | ||||
45 Fremont Street, 17th Floor San Francisco, California 94105 | ||||||||
Select Equity Group, Inc. and Select Offshore Advisors, LLC | 4,280,980 | (3) | 7.96 | % | ||||
380 Lafayette Street, 6th Floor New York, New York 10003 | ||||||||
PRIMECAP Management Company | 3,268,544 | (4) | 6.08 | % | ||||
225 South Lake Avenue, Suite 400 Pasadena, California 91101 | ||||||||
Harris Associates, Inc. | 2,786,450 | (5) | 5.18 | % | ||||
Two North LaSalle Street, Suite 500 Chicago, Illinois 60602-3790 |
(1) | Based on the Company’s | |
(2) | Based on Schedule | |
(3) | Based on Schedule 13G, dated February 17, 2009, filed by Select Offshore Advisors, LLC and Select Equity Group, Inc. with the SEC. | |
(4) | Based on Schedule 13G, dated February 5, 2009, filed by PRIMECAP Management Company with the SEC. | |
Based on |
Theof the Board of Directors of the Company has a standing Compensation Committee whose functions arethe authority and responsibility to (1) determine the salaries for executive officers of the Company, (2) administer the Company’s annual incentive bonus program, (3) administer all of the Company’s stock option and incentive compensation plans and grant stock options and other awards under the plans (except those plans under which grants of options are automatic) and (4) review and make recommendations to the Board of Directors with respect to incentive and equity-based compensation plans and any other forms of compensation for executive officers of the Company. The Compensation Committee held five meetings in 2005. In 2005, the Board of Directors did not reject or modify in any material way any action or recommendation of the Compensation Committee. The
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• | perform a marketplace compensation analysis for senior executives; | |
• | perform a wealth-accumulation analysis for senior executives based on the Company’s long-term incentive compensation and retirement programs; and | |
• | update the Committee on current and anticipated trends in executive compensation. |
• | to attract and retain senior executives with competitive compensation opportunities; | |
• | to achieve consistent performance over time; and | |
• | to achieve performance that results in increased profitability and stockholder value. |
• | performance that contributes to the long-term growth and stability of the Company and the effectiveness of management in carrying out strategic objectives identified for the Company (through the base salary); | |
• | the financial and operational success of the Company for the current year (through the annual incentive plan); and | |
• | the future growth and profitability of the Company (through long-term incentive compensation awards). |
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There was one extraordinary element The Company has no employment agreements with any of compensation in 2005. The Chief Executive Officer realized approximately $13.1 millionits executive officers.
Compensation
The Compensation Committee recognizesgroup, although the difficulties in establishing a peer groupbase salaries of companies for compensation comparison purposes because there are few publicly traded marine transportation companies of similar sizeMr. Pyne, the Company’s Chief Executive Officer, and none with a similar service mix. Some other marine transportation companies are limited partnerships or subsidiaries of larger public corporations, making comparisons difficult and resulting inMr. Nolen, the need to consider an expanded universe of companies for comparisons.
Company’s Chief Financial Officer were below the 25th percentile. In setting executive officer salariesthe Company’s overall salary budget for 2005,2008, management and the Compensation Committee considered the Company’s strong performance in 20042007 on financial, operational and strategic levels, and individual performance of the officers, as well as independent survey information indicatingfrom sources other than the Consultant that executiveprojected 3.7-4.0% increases in salary budgets for 2008 for all categories of employees at a broad range of companies, and increased the 2008 salary budget, which included both merit and promotional salary increases, for 2005 would generally beall shore-based employees by 4.5% over 2007. Salary increases for the named executive officers for 2008 were in the 3–3 1/2%4-5% range, except that Mr. Pyne’s salary was increased by 10.5% and decided to increaseMr. Nolen’s salary was increased by 20.8% over the previous year, in both cases because the Committee concluded that their base salaries for executive officers by 3% over 2004were below competitive levels.
achievement of those performance measures.
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Target | Actual | |||||||
EBITDA | $ | 338 | million | $ | 360 | million | ||
Return on total capital | 22.2 | % | 23.8 | % | ||||
Earnings per share | $ | 2.61 | $ | 2.91 |
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an amount up to 3% of an employee’s base salary.
Section 162(m)an automobile allowance that is given to approximately 60 executive and management employees, payment of the Internal Revenue Code generally disallowscost of club memberships that are used for both business and personal purposes and the payment of a tax deductionportion of the cost of financial planning services provided to public companies for compensation over $1 million paid tofour of the named executive officers during 2008. The Compensation Committee believes the personal benefits are reasonable in amount and help the Company attract and retain key employees.
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A.O. Smith | Cooper Tire & Rubber | IDEX | Powerwave Technologies | |||
A.T. Cross | Crown Castle | Insituform Technologies | Proquest | |||
Advanced Medical Optics | Covance | InterContinental Hotels Group* | Purdue Pharma | |||
Aerojet* | Cubic | International Flavors & Fragrances | Quintiles | |||
Alexander & Baldwin | Dade Behring | International Game Technology | Respironics | |||
Allergan | Dentsply | Invitrogen | Rich Products | |||
American Greetings | Discovery Communications | Iron Mountain | RISO* | |||
Amplifon USA* | Dollar Thrifty Automotive Group | Irving Oil* | Scotts Miracle-Gro | |||
Angiotech Phamaceuticals | Donaldson | J.M. Smucker | SENCORP | |||
Ann Taylor Stores | Dow Jones | J.R. Simplot | Sensata Technologies | |||
APAC Customer Service | Dynea USA* | Jack in the Box | Sirius Satellite Radio | |||
Applera | EDO | Kaman Industrial Technologies* | Sports Authority | |||
Appleton Papers | eFunds | Kennametal | St. Joe Company | |||
Arctic Cat | Equifax | King Pharmaceuticals | Steelcase | |||
Armstrong World Industries | Essilor of America* | Level 3 Communications | Tektronix | |||
Arysta LifeScience North America* | Experian Americas* | Louisiana-Pacific | TeleTech Holdings | |||
Bar Laboratories | FANUC Robotica Americal* | Magellan Midstream Partners | Terra Industries | |||
Beckman Coulter | Fleetwood Enterprises | Makino* | Thomas & Betts | |||
BIC | Forest Laboratories | Martin Marietta Materials | Tiffany | |||
Bob Evans Farms | G&K Services | Mary Kay | Toro | |||
Bracco Diagnostics* | GATX | MDS Pharma Services* | Trinity Industries | |||
Brady | Genzyme | Media General | Tupperware | |||
Burger King | Getty Images | Medimmune | UCB* | |||
Callaway Golf | Gilead Sciences | Milacron | Valmont Industries | |||
Carestream Health | Global Crossing | Millennium Pharmaceuticals | Viad | |||
Carpenter Technology | GTECH | Millipore | Vistar | |||
Celgene | H Enterprises International | MSC Industrial Direct | Vulcan Materials | |||
Cephalon | H.B. Fuller | National Semiconductor | W.R. Grace | |||
Ceridian | Harman International Industries | New York Times | Watson Pharmaceuticals | |||
Chesapeake | Harsco | Norcal Waste Systems | Wayne Farms* | |||
Cincinnati Bell | Hasbro | Omnova Solutions | Wendy’s International | |||
Clarke American Checks* | Hayes-Lemmerz | Parsons | Westinghouse Savannah River* | |||
COACH | Hercules | PerkinElmer | Winnebago Industries | |||
Combe | High Liner Foods USA* | Pharmion | ||||
Comfort Systems USA | HNI | Plexus | ||||
Connell | HNTB | Plum Creek Timber | ||||
Constar International | Hospira | PolyOne |
* | ||
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Summary Annual and Long-Term Compensation
The following table summarizes compensation earned by or paid to the Chief Executive Officer and the four other highest paid executive officers (the “named executive officers”) for the last three fiscal years:
Long Term Compensation | |||||||||||||||||||||||||||||
Awards | |||||||||||||||||||||||||||||
Annual Compensation | Restricted | ||||||||||||||||||||||||||||
Name and | Stock | Shares Subject | LTIP | All Other | |||||||||||||||||||||||||
Principal Position | Year | Salary | Bonus | Awards(1) | to Options | Payouts(2) | Compensation(3) | ||||||||||||||||||||||
Joseph H. Pyne | 2005 | $ | 577,160 | $ | 861,069 | $ | 881,800 | 33,300 | $ | 571,865 | $ | — | |||||||||||||||||
President, Director and | 2004 | 560,560 | 605,714 | 848,125 | 26,032 | — | 35,206 | ||||||||||||||||||||||
Chief Executive Officer | 2003 | 539,360 | 485,109 | 494,750 | 52,063 | — | 33,623 | ||||||||||||||||||||||
C. Berdon Lawrence | 2005 | $ | 443,860 | $ | 658,919 | 396,810 | 30,000 | $ | — | $ | — | ||||||||||||||||||
Chairman of the Board | 2004 | 431,160 | 463,516 | 55,000 | — | 35,206 | |||||||||||||||||||||||
2003 | 414,960 | 371,246 | 55,000 | — | 33,623 | ||||||||||||||||||||||||
Steven P. Valerius | 2005 | $ | 330,760 | $ | 387,416 | $ | 251,313 | 9,500 | $ | 222,586 | $ | — | |||||||||||||||||
President of Kirby Inland | 2004 | 321,360 | 273,874 | 224,109 | 8,879 | — | 35,206 | ||||||||||||||||||||||
Marine, LP | 2003 | 309,360 | 209,370 | 168,783 | 17,758 | — | 33,623 | ||||||||||||||||||||||
Norman W. Nolen | 2005 | $ | 277,160 | $ | 315,870 | $ | 220,450 | 8,300 | $ | 176,601 | $ | — | |||||||||||||||||
Executive Vice President | 2004 | 269,360 | 222,222 | 209,860 | 8,315 | — | 35,206 | ||||||||||||||||||||||
and Chief Financial Officer | 2003 | 259,360 | 177,975 | 158,052 | 16,630 | — | 33,623 | ||||||||||||||||||||||
Mark R. Buese | 2005 | $ | 215,360 | $ | 242,977 | $ | 94,005 | 2,500 | $ | — | $ | — | |||||||||||||||||
Senior Vice President- | 2004 | 202,960 | 165,470 | 27,140 | 6,000 | — | 33,249 | ||||||||||||||||||||||
Administration | 2003 | 177,060 | 119,386 | 8,000 | — | 28,193 |
Change in | ||||||||||||||||||||||||||||||||
Pension Value and | ||||||||||||||||||||||||||||||||
Non-Qualified | ||||||||||||||||||||||||||||||||
Non-Equity | Deferred | |||||||||||||||||||||||||||||||
Stock | Option | Incentive Plan | Compensation | All Other | ||||||||||||||||||||||||||||
Name and Principal Position | Salary | Awards(1) | Awards(1) | Compensation(2) | Earnings(3) | Compensation(4) | Total | |||||||||||||||||||||||||
Joseph H. Pyne | 2008 | $ | 680,000 | $ | 1,042,853 | $ | 621,576 | $ | 2,563,466 | $ | 33,293 | $ | 37,668 | $ | 4,978,856 | |||||||||||||||||
President, Director and | 2007 | 615,600 | 894,208 | 557,407 | 2,169,513 | 11,082 | 36,919 | 4,284,729 | ||||||||||||||||||||||||
Chief Executive Officer | 2006 | 590,600 | 707,569 | 436,334 | 1,418,007 | 15,391 | 136,655 | 3,304,556 | ||||||||||||||||||||||||
Norman W. Nolen | 2008 | 350,000 | 239,673 | 139,785 | 701,711 | — | 28,597 | 1,459,766 | ||||||||||||||||||||||||
Executive Vice President | 2007 | 289,700 | 216,468 | 129,906 | 640,375 | — | 25,689 | 1,302,138 | ||||||||||||||||||||||||
and Chief Financial Officer | 2006 | 278,500 | 180,645 | 110,995 | 482,404 | — | 80,535 | 1,133,079 | ||||||||||||||||||||||||
C. Berdon Lawrence | 2008 | 495,000 | 379,813 | 516,465 | 685,625 | 75,252 | 31,060 | 2,183,215 | ||||||||||||||||||||||||
Chairman of the Board | 2007 | 471,900 | 274,048 | 476,481 | 651,080 | 36,036 | 29,837 | 1,939,382 | ||||||||||||||||||||||||
2006 | 451,900 | 170,450 | 483,553 | 588,103 | 30,540 | 100,895 | 1,825,441 | |||||||||||||||||||||||||
Steven P. Valerius | 2008 | 361,600 | 266,072 | 159,023 | 798,168 | 21,780 | 26,474 | 1,633,117 | ||||||||||||||||||||||||
Executive Vice | 2007 | 347,700 | 238,552 | 148,510 | 768,067 | — | 34,089 | 1,536,918 | ||||||||||||||||||||||||
President and Chief Administrative Officer | 2006 | 334,300 | 198,059 | 124,673 | 584,333 | 4,645 | 72,869 | 1,318,879 | ||||||||||||||||||||||||
Dorman L. Strahan | 2008 | 248,800 | 85,777 | 46,061 | 324,775 | — | 25,874 | 731,287 | ||||||||||||||||||||||||
President of Kirby | 2007 | 239,200 | 69,489 | 35,263 | 348,727 | — | 33,260 | 725,939 | ||||||||||||||||||||||||
Engine Systems, Inc. | 2006 | 211,275 | 48,667 | 29,115 | 293,726 | — | 57,626 | 640,409 |
(1) | The amounts included in the |
20
(2) | Amounts include payments under the | |
(3) | The amounts for Mr. Pyne reflect the aggregate change during 2008, 2007 and 2006 in the present value of his accumulated benefit under a Deferred Compensation Agreement with Kirby Inland Marine, LP. The amounts for Mr. Lawrence reflect the change in the present value of his accumulated benefits during 2008, 2007 and 2006 under the Kirby Pension Plan. The amounts for Mr. Valerius in 2006 and 2008 reflect the change in present value of accumulated benefits during 2006 and 2008 from the Kirby Pension Plan and an unfunded defined benefit executive retirement plan (“SERP”) that was assumed in the Company’s acquisition of Hollywood in 1999. Mr. Valerius’ December 31, 2007 pension value dropped by $3,899 when compared with his December 31, 2006 pension value primarily due to an increase in the discount rate assumption from 5.7% to 6.1%. The change in pension value of $3,899 represents a drop in the Kirby Pension Plan benefit of $1,402 and a drop in the SERP benefit of $2,497. Since Mr. Lawrence is past the actuarial normal retirement date, an actuarial increase from the normal retirement age of 65 to his current age has been reflected in a annuity payable increase from $6,436 per month to $7,345 per month as of December 31, 2008. Since Mr. Lawrence’s and Mr. Valerius’ benefits in both plans were frozen as of December 31, 1999, the changes in present value are due only to changes in assumptions and the passage of time. | |
(4) | Amounts for 2008 and 2007 include an automobile allowance, club memberships, group life insurance and personal financial planning services for Mr. Pyne, Mr. Nolen, Mr. Valerius and Mr. Strahan, and an automobile allowance, group life insurance and club memberships for Mr. Lawrence. Amounts for 2006 include an automobile allowance, club memberships, group life insurance and personal financial planning services for Mr. Pyne and Mr. Nolen, and an automobile allowance, group life insurance and club memberships for Mr. Lawrence, Mr. Valerius and Mr. Strahan. The Company’s contributions under the Company’s Profit Sharing Plan |
All Other | All Other | |||||||||||||||||||||||||||||||||||||||
Stock | Option | Exercise | Grant Date | |||||||||||||||||||||||||||||||||||||
Awards: | Awards: | or Base | Fair Value | |||||||||||||||||||||||||||||||||||||
Estimated Future Payouts | Number of | Number of | Price of | of Stock | ||||||||||||||||||||||||||||||||||||
Under Non-Equity Incentive | Shares of | Securities | Option | and | ||||||||||||||||||||||||||||||||||||
Grant | Plan Awards(1) | Stock or | Underlying | Awards | Option | |||||||||||||||||||||||||||||||||||
Name | Date | Threshold | Target | Maximum | Units(2) | Options(3) | ($/sh) | Awards(4) | ||||||||||||||||||||||||||||||||
Joseph H. Pyne | 02/08/08 | $ | 240,000 | $ | 1,200,000 | $ | 2,400,000 | |||||||||||||||||||||||||||||||||
02/08/08 | 25,000 | $ | 1,222,380 | |||||||||||||||||||||||||||||||||||||
02/08/08 | 47,022 | $ | 48.00 | 580,722 | ||||||||||||||||||||||||||||||||||||
Norman W. Nolen | 02/08/08 | 52,800 | 264,000 | 528,000 | ||||||||||||||||||||||||||||||||||||
02/08/08 | 5,500 | 268,920 | ||||||||||||||||||||||||||||||||||||||
02/08/08 | 10,345 | 48.00 | 127,761 | |||||||||||||||||||||||||||||||||||||
C. Berdon Lawrence | 02/08/08 | 10,832 | 529,620 | |||||||||||||||||||||||||||||||||||||
02/08/08 | 40,364 | 48.00 | 498,495 | |||||||||||||||||||||||||||||||||||||
Dorman L. Strahan | 02/08/08 | 24,400 | 122,000 | 244,000 | ||||||||||||||||||||||||||||||||||||
02/08/08 | 2,542 | 124,320 | ||||||||||||||||||||||||||||||||||||||
02/08/08 | 4,781 | 48.00 | 59,045 | |||||||||||||||||||||||||||||||||||||
Steven P. Valerius | 02/08/08 | 59,120 | 295,600 | 591,200 | ||||||||||||||||||||||||||||||||||||
02/08/08 | 6,158 | 301,080 | ||||||||||||||||||||||||||||||||||||||
02/08/08 | 11,583 | 48.00 | 143,050 |
21
(1) | Amounts shown represent long-term performance awards made to four of the five named executive officers in 2008 for the2008-2010 performance period under the Company’s long-term incentive compensation program. The performance awards are based on a three-year performance period beginning January 1, 2008. The percentage of the target award paid at the end of the performance period will be based on the achievement by the Company (in the case of Mr. Pyne and Mr. Nolen) or by the Company and its business groups (in the case of Mr. Valerius and Mr. |
14
Stock Options Granted, Option Exercises and Year End Value
The following table includes information on grants of stock options during 2005 to the five named executive officers. The amounts shown for the named executive officers as potential realizable value for such options are based on assumed annual rates of stock price appreciation of 0%, 5% and 10% over the full five-year terms of the options granted. The amounts shown as potential realizable value for all stockholders as a group represent the corresponding increases in the market value of 25,970,766 outstanding shares of common stock held by all stockholders as of December 31, 2005. The potential realizable values are based solely on arbitrarily assumed rates of appreciation required by applicable SEC regulations. Actual gains, if any, on stock option exercises are dependent on the future performance of the common stock and overall market conditions. There can be no assurance that the amounts reflected in this table will be achieved.
Stock Options Granted in 2005
Potential Realized Value at Assumed | ||||||||||||||||||||||||||||
Annual Rates of Stock Price | ||||||||||||||||||||||||||||
Individual Grants | Appreciation for Option Term(3) | |||||||||||||||||||||||||||
% of Total | ||||||||||||||||||||||||||||
Options | 0% | 5% | 10% | |||||||||||||||||||||||||
Granted to | Exercise | Annual | Annual | Annual | ||||||||||||||||||||||||
Options | Employees | or Base | Expiration | Growth | Growth | Growth | ||||||||||||||||||||||
Name | Granted(1) | in 2005 | Price | Date | Rate(2) | Rate(2) | Rate(2) | |||||||||||||||||||||
Mark R. Buese | 2,500 | 2.31 | % | $ | 41.78 | 01/24/10 | $ | 0 | $ | 28,858 | $ | 63,768 | ||||||||||||||||
C. Berdon Lawrence | 30,000 | 27.73 | % | 44.09 | 03/02/10 | 0 | 365,439 | 807,522 | ||||||||||||||||||||
Norman W. Nolen | 8,300 | 7.67 | % | 44.09 | 03/02/10 | 0 | 101,105 | 223,414 | ||||||||||||||||||||
Joseph H. Pyne | 33,300 | 30.78 | % | 44.09 | 03/02/10 | 0 | 405,637 | 896,349 | ||||||||||||||||||||
Steven P. Valerius | 9,500 | 8.78 | % | 44.09 | 03/02/10 | 0 | 115,722 | 255,715 | ||||||||||||||||||||
All stockholders as a group | N/A | N/A | 52.17 | (4) | N/A | 0 | 374,332,233 | (4) | 827,176,688 | (4) |
the participating executive officers cannot be determined until the remaining two years of the performance period are completed. | ||
(2) | Represents the number of shares awarded in 2008 for restricted stock awards under the Company’s 2005 Stock and Incentive Plan. The restricted stock awards vest 20% on January 24th of each year following the original award date. | |
(3) | Represents the number of stock options awarded in 2008 under the Company’s 2005 Stock and Incentive Plan. These options become one-third exercisable | |
The grant date fair values are calculated based on the |
Option Awards | Stock Awards | |||||||||||||||||||||||
Number of | Number of | |||||||||||||||||||||||
Securities | Securities | Number of | Market Value of | |||||||||||||||||||||
Underlying | Underlying | Shares or Units | Shares or Units | |||||||||||||||||||||
Unexercised | Unexercised | Option | Option | of Stock That | of Stock That | |||||||||||||||||||
Options | Options | Exercise | Expiration | Have Not | Have Not | |||||||||||||||||||
Name | Exercisable | Unexercisable(1) | Price | Date | Vested(2) | Vested(3) | ||||||||||||||||||
Joseph H. Pyne | — | 24,536 | $ | 27.60 | 02/15/11 | 101,988 | $ | 2,790,392 | ||||||||||||||||
— | 39,258 | $ | 35.66 | 01/26/12 | ||||||||||||||||||||
— | 47,022 | $ | 48.00 | 02/08/13 | ||||||||||||||||||||
Norman W. Nolen | 5,534 | — | $ | 22.05 | 03/02/10 | 23,134 | $ | 632,946 | ||||||||||||||||
5,534 | 5,534 | $ | 27.60 | 02/15/11 | ||||||||||||||||||||
4,426 | 8,854 | $ | 35.66 | 01/26/12 | ||||||||||||||||||||
— | 10,345 | $ | 48.00 | 02/08/13 | ||||||||||||||||||||
C. Berdon Lawrence | — | 20,000 | $ | 27.60 | 02/15/11 | 40,352 | $ | 1,104,031 | ||||||||||||||||
16,000 | 32,000 | $ | 35.66 | 01/26/12 | ||||||||||||||||||||
— | 40,364 | $ | 48.00 | 02/08/13 | ||||||||||||||||||||
Dorman L. Strahan | 4,200 | — | $ | 22.05 | 03/02/10 | 8,492 | $ | 232,341 | ||||||||||||||||
2,800 | 1,400 | $ | 27.60 | 02/15/11 | ||||||||||||||||||||
1,333 | 2,667 | �� | $ | 36.94 | 02/15/12 | |||||||||||||||||||
— | 4,781 | $ | 48.00 | 02/08/13 | ||||||||||||||||||||
Steven P. Valerius | 12,666 | 6,334 | $ | 27.60 | 02/15/11 | 25,760 | $ | 704,794 | ||||||||||||||||
5,066 | 10,134 | $ | 35.66 | 01/26/12 | ||||||||||||||||||||
— | 11,583 | $ | 48.00 | 02/08/13 |
22
(1) | The unexercisable options held by the named executive officers are exercisable or become exercisable, as follows: |
Vesting Dates | ||||||||||||||||||||||||||||||||
Name | 01/26/09 | 02/08/09 | 02/15/09 | 01/26/10 | 02/08/10 | 02/15/10 | 02/08/11 | Total | ||||||||||||||||||||||||
Joseph H. Pyne | 15,674 | 24,536 | 19,629 | 19,629 | 15,674 | — | 15,674 | 110,816 | ||||||||||||||||||||||||
Norman W. Nolen | 4,427 | 3,448 | 5,534 | 4,427 | 3,448 | — | 3,449 | 24,733 | ||||||||||||||||||||||||
C. Berdon Lawrence | 16,000 | 13,454 | 20,000 | 16,000 | 13,455 | — | 13,455 | 92,364 | ||||||||||||||||||||||||
Dorman L. Strahan | — | 1,593 | 2,733 | — | 1,594 | 1,334 | 1,594 | 8,848 | ||||||||||||||||||||||||
Steven P. Valerius | 5,067 | 3,861 | 6,334 | 5,067 | 3,861 | — | 3,861 | 28,051 |
The vesting dates of the restricted stock awards for the named executive officers |
Vesting | Award Dates | |||||||||||||||||||||||||||||
Name | Dates | 01/26/04 | 03/02/05 | 02/15/06 | 1/22/07 | 02/15/07 | 02/08/08 | Total | ||||||||||||||||||||||
Joseph H. Pyne | 01/26/09 | 10,000 | 6,579 | 5,000 | 21,579 | |||||||||||||||||||||||||
02/17/09 | 8,224 | 8,224 | ||||||||||||||||||||||||||||
03/02/09 | 8,000 | 8,000 | ||||||||||||||||||||||||||||
01/24/10 | 6,579 | 5,000 | 11,579 | |||||||||||||||||||||||||||
02/15/10 | 8,224 | 8,224 | ||||||||||||||||||||||||||||
03/02/10 | 8,000 | 8,000 | ||||||||||||||||||||||||||||
01/24/11 | 6,579 | 5,000 | 11,579 | |||||||||||||||||||||||||||
02/15/11 | 8,224 | 8,224 | ||||||||||||||||||||||||||||
01/24/12 | 6,579 | 5,000 | 11,579 | |||||||||||||||||||||||||||
01/24/13 | 5,000 | 5,000 | ||||||||||||||||||||||||||||
101,988 | ||||||||||||||||||||||||||||||
Norman W. Nolen | 01/26/09 | 2,474 | 1,440 | 1,100 | 5,014 | |||||||||||||||||||||||||
02/17/09 | 1,800 | 1,800 | ||||||||||||||||||||||||||||
03/02/09 | 2,000 | 2,000 | ||||||||||||||||||||||||||||
01/24/10 | 1,440 | 1,100 | 2,540 | |||||||||||||||||||||||||||
02/15/10 | 1,800 | 1,800 | ||||||||||||||||||||||||||||
03/02/10 | 2,000 | 2,000 | ||||||||||||||||||||||||||||
01/24/11 | 1,440 | 1,100 | 2,540 | |||||||||||||||||||||||||||
02/15/11 | 1,800 | 1,800 | ||||||||||||||||||||||||||||
01/24/12 | 1,440 | 1,100 | 2,540 | |||||||||||||||||||||||||||
01/24/13 | 1,100 | 1,100 | ||||||||||||||||||||||||||||
23,134 | ||||||||||||||||||||||||||||||
C. Berdon Lawrence | 01/26/09 | 2,880 | 2,166 | 5,046 | ||||||||||||||||||||||||||
02/17/09 | 3,600 | 3,600 | ||||||||||||||||||||||||||||
03/02/09 | 3,600 | 3,600 | ||||||||||||||||||||||||||||
01/24/10 | 2,880 | 2,166 | 5,046 | |||||||||||||||||||||||||||
02/15/10 | 3,600 | 3,600 | ||||||||||||||||||||||||||||
03/02/10 | 3,600 | 3,600 | ||||||||||||||||||||||||||||
01/24/11 | 2,880 | 2,166 | 5,046 | |||||||||||||||||||||||||||
02/15/11 | 3,600 | 3,600 | ||||||||||||||||||||||||||||
01/24/12 | 2,880 | 2,167 | 5,047 | |||||||||||||||||||||||||||
01/24/13 | 2,167 | 2,167 | ||||||||||||||||||||||||||||
40,352 | ||||||||||||||||||||||||||||||
Dorman L. Strahan | 01/26/09 | 710 | 720 | 508 | 1,938 | |||||||||||||||||||||||||
02/17/09 | 440 | 440 | ||||||||||||||||||||||||||||
03/02/09 | 520 | 520 | ||||||||||||||||||||||||||||
01/24/10 | 720 | 508 | 1,228 | |||||||||||||||||||||||||||
02/15/10 | 440 | 440 | ||||||||||||||||||||||||||||
03/02/10 | 520 | 520 | ||||||||||||||||||||||||||||
01/24/11 | 720 | 508 | 1,228 | |||||||||||||||||||||||||||
02/15/11 | 440 | 440 | ||||||||||||||||||||||||||||
01/24/12 | 720 | 509 | 1,229 | |||||||||||||||||||||||||||
01/24/13 | 509 | 509 | ||||||||||||||||||||||||||||
8,492 | ||||||||||||||||||||||||||||||
23
Vesting | Award Dates | |||||||||||||||||||||||||||||
Name | Dates | 01/26/04 | 03/02/05 | 02/15/06 | 1/22/07 | 02/15/07 | 02/08/08 | Total | ||||||||||||||||||||||
Steven P. Valerius | 01/26/09 | 2,642 | 1,600 | 1,231 | 5,473 | |||||||||||||||||||||||||
02/17/09 | 2,000 | 2,000 | ||||||||||||||||||||||||||||
03/02/09 | 2,280 | 2,280 | ||||||||||||||||||||||||||||
01/24/10 | 1,600 | 1,231 | 2,831 | |||||||||||||||||||||||||||
02/15/10 | 2,000 | 2,000 | ||||||||||||||||||||||||||||
03/02/10 | 2,280 | 2,280 | ||||||||||||||||||||||||||||
01/24/11 | 1,600 | 1,232 | 2,832 | |||||||||||||||||||||||||||
02/15/11 | 2,000 | 2,000 | ||||||||||||||||||||||||||||
01/24/12 | 1,600 | 1,232 | 2,832 | |||||||||||||||||||||||||||
01/24/13 | 1,232 | 1,232 | ||||||||||||||||||||||||||||
25,760 | ||||||||||||||||||||||||||||||
(3) | The market value of the | |
15
The following table summarizes for each of the named executive officers their option exercises in 2005 and the value of their options at December 31, 2005:
Number of Shares | ||||||||||||||||||||||||
Underlying Unexercised | Value of Unexercised | |||||||||||||||||||||||
Options at | In-The-Money Options at | |||||||||||||||||||||||
Shares | December 31, 2005 | December 31, 2005(2) | ||||||||||||||||||||||
Acquired on | Value | |||||||||||||||||||||||
Name | Exercise | Realized(1) | Exercisable | Unexercisable | Exercisable | Unexercisable | ||||||||||||||||||
Mark R. Buese | 13,000 | $ | 411,688 | 66,833 | 9,167 | $ | 2,063,257 | $ | 169,942 | |||||||||||||||
C. Berdon Lawrence | 165,000 | 4,265,634 | — | 85,000 | — | 1,399,422 | ||||||||||||||||||
Norman W. Nolen | 137,716 | 4,509,832 | 2,771 | 19,388 | 50,564 | 315,788 | ||||||||||||||||||
Joseph H. Pyne | 498,000 | 15,229,363 | 95,448 | 68,010 | 2,331,499 | 1,047,688 | ||||||||||||||||||
Steven P. Valerius | 17,758 | 437,823 | 34,797 | 21,340 | 1,031,265 | 342,361 |
Option Awards | Stock Awards | |||||||||||||||
Number of Shares | Number of Shares | |||||||||||||||
Acquired on | Value Realized | Acquired on | Value Realized | |||||||||||||
Name | Exercise | on Exercise(1) | Vesting | on Vesting(2) | ||||||||||||
Joseph H. Pyne | 187,364 | $ | 6,144,690 | 40,548 | $ | 1,797,007 | ||||||||||
Norman W. Nolen | — | — | 10,190 | 449,894 | ||||||||||||
C. Berdon Lawrence | 210,000 | 3,234,848 | 10,080 | 461,880 | ||||||||||||
Dorman L. Strahan | 4,764 | 184,450 | 3,100 | 135,901 | ||||||||||||
Steven P. Valerius | 36,758 | 1,237,077 | 11,166 | 493,454 |
(1) | Based on the average of the high and low | |
(2) | Based on |
Years of | Present Value of | |||||||||
Credited | Accumulated | |||||||||
Name | Plan Name | Service | Benefit | |||||||
Joseph H. Pyne | Kirby Inland Marine LP — | — | $ | 447,575 | ||||||
Deferred Compensation Plan(1) | ||||||||||
C. Berdon Lawrence | Kirby Pension Plan(2) | 29 | 957,855 | |||||||
Steven P. Valerius | Kirby Pension Plan(2) | 21 | 132,070 | |||||||
Supplemental Executive | 21 | 235,197 | ||||||||
Retirement Plan(3) |
(1) | Kirby Inland Marine, LP has an unfunded Deferred Compensation Agreement with Mr. Pyne in connection with his previous employment as its President. Mr. Pyne has enough years of service to qualify for the maximum payment of $4,175 per month under the agreement. The agreement provides for benefits to Mr. Pyne of $4,175 per month commencing upon the later of his severance from the employment of the Company or his 65th birthday and continuing until the month of his death. If Mr. Pyne should die prior to receiving such deferred compensation, the agreement provides for monthly payments to his beneficiary for a period of not less than 60 nor more than 120 months, depending on the circumstances. The agreement also provides that no benefits will be paid if Mr. Pyne is terminated for a “wrongful action” (as defined in the agreement). | |
(2) | The Company sponsors a defined benefit plan, the Kirby Pension Plan, for vessel personnel and shore based tankermen employed by certain subsidiaries of the Company. Shoreside personnel employed by Hollywood prior to its merger with a subsidiary of the Company in 1999, including Mr. Lawrence and Mr. Valerius, also are participants in the Kirby Pension Plan, but ceased to accrue additional benefits effective December 31, |
24
The following table provides information as of December 31, 2005 with respect to shares of the Company’s common stock that may be issued under the existing equity compensation plans, including the Company’s 1989 Employee Stock Option Plan, the 1994 Employee Stock Option Plan, the 1996 Employee Stock Option Plan, the 2001 Employee Stock Option Plan, the 2002 Stock and Incentive Plan, the 2005 Stock and Incentive Plan, the 1989 Director Stock Option Plan, the 1994 Nonemployee Director Stock Option Plan and the 2000 Nonemployee Director Stock Option Plan:
The Company contributes such amounts as are necessary on an actuarial basis to provide the Kirby Pension Plan with assets sufficient to meet the benefits paid to participants. | ||
(3) | The Company also has an unfunded SERP that was assumed in the Hollywood acquisition in which Mr. Valerius is a participant. That plan ceased to accrue additional benefits effective December 31, 1999. |
Registrant | ||||||||||||
Contributions in | Aggregate | Aggregate | ||||||||||
Last Fiscal | Earnings (Loss) in | Balance at | ||||||||||
Name | Year(1) | Last Fiscal Year(2) | Last Fiscal Year End | |||||||||
Joseph H. Pyne | $ | — | $ | (253,104 | ) | $ | 1,070,827 | |||||
Norman W. Nolen | — | (33,499 | ) | 73,557 | ||||||||
C. Berdon Lawrence | — | (120,816 | ) | 265,748 | ||||||||
Dorman L. Strahan | — | (791 | ) | 2,269 | ||||||||
Steven P. Valerius | — | (40,652 | ) | 355,676 |
(1) | The Company has an unfunded, nonqualified Deferred Compensation Plan for Key Employees which was adopted in October 1994, effective January 1, 1992. The Plan is designed primarily to provide additional benefits to eligible employees to restore benefits to which they would be entitled under the Company’s Profit Sharing Plan and 401(k) Plan were it not for certain limits imposed by the Internal Revenue Code. The benefits under the Deferred Compensation Plan are designed to restore benefits for employees with base salary in excess of a certain level ($230,000 for 2008). Contributions for 2008, which would otherwise be included in this column, have not been determined as of the date of this Proxy Statement. For 2007, the Company’s contributions under the Deferred Compensation Plan for Key Employees were as follows: $68,511 to Mr. Pyne, $11,348 to Mr. Nolen, $43,306 to Mr. Lawrence, $21,522 to Mr. Valerius and $2,975 to Mr. Strahan. | |
(2) | Earnings on deferred compensation under the Deferred Compensation Plan for Key Employees are calculated in the same manner and at the same rate as earnings on externally managed investments of salaried employees participating in the Company’s Profit Sharing Plan. |
Number of Securities | |||||||||||||
Remaining Available | |||||||||||||
for Future Issuance | |||||||||||||
Number of | Under Equity | ||||||||||||
Securities to be | Compensation Plans | ||||||||||||
Issued Upon | Weighted-Average | (Excluding Securities | |||||||||||
Exercise of | Exercise Price of | Reflected in First | |||||||||||
Plan Category | Outstanding Options | Outstanding Options | Column) | ||||||||||
Equity compensation plans approved by stockholders | 928,106 | $ | 28.85 | 1,133,325 | |||||||||
Equity compensation plans not approved by stockholders(1) | 148,361 | $ | 29.46 | 124,593 | |||||||||
Total | 1,076,467 | $ | 28.93 | 1,257,918 | |||||||||
Number of Securities | ||||||||||||
Remaining Available | ||||||||||||
for Future Issuance | ||||||||||||
Number of | Under Equity | |||||||||||
Securities to be | Compensation Plans | |||||||||||
Issued Upon | Weighted-Avereage | (Excluding Securities | ||||||||||
Exercise of | Exercise Price of | Reflected in First | ||||||||||
Plan Category | Outstanding Options | Outstanding Options | Column) | |||||||||
Equity compensation plans approved by stockholders | 526,181 | $ | 34.71 | 2,146,723 | ||||||||
Equity compensation plans not approved by stockholders(1) | 297,572 | $ | 31.78 | 442,707 | ||||||||
Total | 823,753 | $ | 33.65 | 2,589,430 | ||||||||
(1) | The only plan included in the table that was adopted without stockholder approval was the 2000 Nonemployee Director Stock Option Plan, the material features of which are summarized under |
16
The following table summarizes long-term incentive compensation
Performance or Other | ||||||||||||||||||||
Period Until | ||||||||||||||||||||
Number of Shares, | Maturation or | |||||||||||||||||||
Name | Units or Other Rights | Payout | Threshold(1) | Target | Maximum | |||||||||||||||
Norman W. Nolen | 3 years | $ | 48,420 | $ | 242,100 | $ | 484,200 | |||||||||||||
Joseph H. Pyne | 3 years | 194,000 | 970,000 | 1,940,000 | ||||||||||||||||
Steven P. Valerius | 3 years | 55,240 | 276,200 | 552,400 |
25
26
Compensation Agreements
Kirby Inland Marine, LPfinancial reporting process and internal controls. The Company’s independent auditors are responsible for performing an audit of the Company’s financial statements and issuing a report on the conformity of the financial statements with generally accepted accounting principles. The Company’s independent auditors are also responsible for performing an audit of the Company’s internal control over financial reporting. The Audit Committee is responsible for overseeing those processes.
The Company has an unfunded, nonqualified Deferred Compensation Plan for Key Employees which was adopted in October 1994, effective January 1, 1992. The Plan is designed primarily to provide additional benefits to eligible employees to restore benefits to which they would be entitled under the Company’s Profit Sharing Plan and 401(k) Plan were it not for certain limits imposed by the Internal Revenue Code. The benefits under the Deferred Compensation Plan are designed to restore benefits for employees being compensated in excess of a certain level ($220,000 per year under current rules). The following table disclosesAnnual Report onForm 10-K for the named executive officersyear ended December 31, 2008, which has been filed with the amount of contributions to the Deferred Compensation Plan for 2003Securities and 2004. Contributions for 2005 have not been determined as of the date of this Proxy Statement.
Deferred | ||||||||
Compensation Plan | ||||||||
2004 | 2003 | |||||||
C. Berdon Lawrence | $ | 37,217 | $ | 34,558 | ||||
Norman W. Nolen | 9,436 | 8,401 | ||||||
Joseph H. Pyne | 59,435 | 55,469 | ||||||
Steven P. Valerius | 18,364 | 16,806 |
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Common Stock Performance Graph
The performance graph below shows the cumulative total return on the Company’s common stock compared to the Russell 2000 Index and the Dow Jones Marine Transportation Index over the five-year period beginning December 31, 2000. The results are based on an assumed $100 invested on December 31, 2000, and reinvestment of dividends.
2009.
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Audit Committee Report
The Audit Committee of the Board of Directors of the Company is responsible for monitoring the integrity of the Company’s financial reporting, accounting procedures and internal controls. The Audit Committee is composed of three directors, all of whom are independent within the meaning of SEC and NYSE rules. The Audit Committee operates under a written charter adopted by the Board.
Management is primarily responsible for the Company’s financial reporting process and internal controls. The Company’s independent auditors are responsible for performing an audit of the Company’s financial statements and issuing a report on the conformity of the financial statements with generally accepted accounting principles. The Company’s independent auditors are also responsible for performing an audit of the Company’s assessment of, and the effective operation of, internal control over financial reporting. The Audit Committee is responsible for overseeing those processes.
The Audit Committee has reviewed and discussed the audited financial statements of the Company for the year ended December 31, 2005 with management and the independent auditors. The Audit Committee also discussed with the independent auditors the matters required by Statement on Auditing Standards No. 61 (Communication with Audit Committees), received written disclosures from the independent auditors required by Independence Standards Board Standard No. 1 (Independence Discussions with Audit Committees) and discussed with the independent auditors their independence.
Based on the Audit Committee’s review of the audited financial statements for the year ended December 31, 2005 and the Audit Committee’s discussions with management and the independent auditors, the Audit Committee recommended to the Board of Directors of the Company that the audited financial statements be included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2005, which has been filed with the Securities and Exchange Commission.
2005 | 2004 | ||||||||
Audit Fees | $ | 810,000 | $ | 899,000 | |||||
Audit-Related Fees | 66,000 | 75,000 | |||||||
Tax Fees | 12,000 | 16,000 | |||||||
TOTAL | $ | 888,000 | $ | 990,000 | |||||
2008 | 2007 | |||||||
Audit Fees | $ | 900,000 | $ | 898,500 | ||||
Audit-Related Fees | �� | 108,936 | 85,500 | |||||
Tax Fees | 25,000 | 30,500 | ||||||
TOTAL | $ | 1,033,936 | $ | 1,014,500 | ||||
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(BAR CODE) (LOGO) (BAR CODE)C123456789 000004 000000000.000000 ext 000000000.000000 ext (BAR CODE)MR A SAMPLE 000000000.000000 ext 000000000.000000 ext DESIGNATION (IF ANY) 000000000.000000 ext 000000000.000000 ext ADD 1 ADD 2 ADD 3 ADD 4 ADD 5 ADD 6 (BAR CODE) Using a black ink pen, mark your votes with an X as shown in this example. Please do not write outside the designated areas. Annual Meeting Proxy Card 6 PLEASE FOLD ALONG THE PERFORATION, DETACH AND RETURN THE BOTTOM PORTION IN THE ENCLOSED ENVELOPE. 6 A Proposals — The Board of Directors recommends a vote FOR all the nominees listed and FOR Proposal 2. 1.Election of Directors: For Against Abstain For AgainstAbstain ForAgainst Abstain + 01 — Bob G. Gower 02 — Monte J. Miller 03 — Joseph H. Pyne For Against Abstain ForAgainstAbstain To ratify the selection of KPMG LLP as Kirby Corporation’s independent In their discretion, the Proxies are authorized to vote upon such 2.registered public accounting firm for 2009. 3. other business as may properly come before the meeting. BNon-Voting Items Change of Address — Please print new address below. C Authorized Signatures — This section must be completed for your vote to be counted. — Date and Sign Below Please sign exactly as name(s) appears hereon. Joint owners should each sign. When signing as attorney, executor, administrator, corporate officer, trustee, guardian, or custodian, please give full title. Date (mm/dd/yyyy) — Please print date below.Signature 1 — Please keep signature within the box. Signature 2 — Please keep signature within the box. MR A SAMPLE (THIS AREA IS SET UP TO ACCOMMODATE C 1234567890 J N T 140 CHARACTERS) MR A SAMPLE AND MR A SAMPLE AND 4 3 A M 0 1 6 9 3 0 MR A SAMPLE AND MR A SAMPLE AND MR A SAMPLE AND (BAR CODE)1 MR A SAMPLE AND MR A SAMPLE AND MR A SAMPLE AND+ <STOCK#> 00UPXB |
EXHIBIT A
KIRBY CORPORATION
CRITERIA FOR THE SELECTION OF DIRECTORS
Criteria Applicable to the Board of Directors and Committees:
1. The Board and its Committees must satisfy the independence requirements of applicable law and the New York Stock Exchange.
2. The Board should have diverse experience at management or policy-making levels in areas relevant to Kirby’s business.
3. A sufficient number of directors must have the requisite expertise to enable the Audit Committee as a whole to satisfy the requirements of applicable securities laws, rules and regulations and New York Stock Exchange standards.
Criteria to be Considered in Evaluating the Qualifications of Individual Director Candidates:
1. Reputation for character and integrity.
2. Business or professional experience.
3. Understanding of the marine transportation business, the chemical and refining business and corporate strategy and finance, particularly for public companies.
4. Understanding of the responsibilities of directors of public companies.
5. Willingness to commit sufficient time to Kirby’s business.
6. The number of other boards and board committees on which a person serves.
7. Independence of any particular constituency and the ability to represent the interests of all stockholders of Kirby rather than a particular interest group.
A-1
6 PLEASE FOLD ALONG THE PERFORATION, DETACH |
KIRBY CORPORATION55 Waugh Drive, Suite 1000P.O. Box 1745Houston, Texas 77251-1745
AND RETURN THE BOTTOM PORTION IN THE ENCLOSED ENVELOPE. 6 (LOGO) Proxy — Kirby Corporation 55 Waugh Drive, Suite 1000 P.O. Box 1745 Houston, Texas 77251-1745 This Proxy is solicited on behalf of the Board of Directors of Kirby Corporation.
![]() | The undersigned hereby appoints Joseph H. Pyne, Norman W. Nolen, G. Stephen Holcomb and Thomas G. Adler, and each of them, as Proxies, each with the power to appoint his substitute, and hereby authorizes each to represent and to vote, as designated below, all the shares of common stock, par value $0.10 per share, of Kirby Corporation (the “Company”) held of record by the undersigned as of the close of business on March | |
THIS PROXY, WHEN PROPERLY EXECUTED, WILL BE VOTED IN THE MANNER DIRECTED HEREIN BY THE UNDERSIGNED STOCKHOLDER(S). IF NO DIRECTION IS MADE, THIS PROXY WILL BE VOTED FOR THE PERSONS LISTED IN ITEM 1. SHOULD ANY OF THEM BECOME UNAVAILABLE FOR NOMINATION OR ELECTION OR REFUSE TO BE NOMINATED OR ACCEPT ELECTION AS A DIRECTOR OF THE COMPANY, THE PROXY WILL BE VOTED FOR THE ELECTION OF SUCH PERSON OR PERSONS AS MAY BE NOMINATED OR DESIGNATED BY THE BOARD OF DIRECTORS. IF NO DIRECTION IS MADE, THIS PROXY WILL BE VOTED FOR ITEM 2. THE PROXIES WILL USE THEIR DISCRETION WITH RESPECT TO ANY MATTER REFERRED TO IN ITEM 3. |
(Continued and to be signed on reverse side) |
THE BOARD OF DIRECTORS RECOMMENDS A VOTE “FOR” ALL OF THE FOLLOWING ITEMS:
PLEASE MARK, SIGN, DATE AND RETURN THIS PROXY PROMPTLY USING THE ENCLOSED ENVELOPE.
Please execute this Proxy as your name(s) appear(s) hereon. When shares are held by joint owners, both should sign. When signing as attorney, executor, administrator, trustee, guardian, or other fiduciary or representative capacity, please set forth the full title. If a corporation, please sign in full corporate name by president or other authorized officer. If a partnership, limited liability company or other entity, please sign in entity name by authorized person.