Exhibit 99.1
Lockheed Martin Corporation
Salary and Incentive Compensation Information for Named Executive Officers
Named Executive Officer1 | Base Salary effective as | 2005 MICP Bonus | 2006 Stock (# | 2006 RSU (# | LTIP Target 2006-2008 Performance | LTIP 2003-2005 | |||||||||
Robert J. Stevens | $ | 1,480,000 | $ | 3,250,000 | 300,000 | 132,000 | $ | 4,300,000 | $0 | ||||||
Robert B. Coutts | 825,000 | 1,102,700 | 43,500 | 7,000 | 850,000 | 0 | |||||||||
Christopher E. Kubasik | 745,000 | 954,300 | 36,000 | 8,500 | 700,000 | 0 | |||||||||
Michael F. Camardo | 702,000 | 913,500 | 36,000 | 5,500 | 750,000 | 0 | |||||||||
G. Thomas Marsh | 679,000 | 896,300 | 0 | 0 | 850,000 | 0 | |||||||||
Frank H. Menaker6 | N/A | 893,500 | N/A | N/A | N/A | 0 |
1 | Consistent with SEC rules, the named executive officers reflected include: (i) the individuals serving as Chief Executive Officer of the Corporation during 2005; (ii) the four most highly compensated executive officers other than the CEO; and (iii) up to two additional individuals for whom disclosures would have been provided but for the fact that the person was not serving as an executive officer of the Corporation at the end of 2005. |
2 | The percentage increase in base salary (rounded to the nearest whole percentage) over the prior base salary for each of the named executive officers was: Mr. Stevens (7%); Mr. Coutts (6%); Mr. Kubasik (10%); Mr. Camardo (5%); and Mr. Marsh (7%). |
3 | Stock options have an exercise price equal to the closing market price of our common stock on the date of grant (February 1, 2006) and are subject to a three-year vesting schedule. |
4 | RSUs are payable in shares of the Corporation’s stock on the third anniversary of the grant, subject to reduction based on the Corporation’s cash from operations performance in the year of grant.Of the RSUs awarded to Mr. Stevens, 92,000 have an extended vesting schedule for retention purposes. |
5 | LTIP award payments may range from 0 percent to 200 percent of the Target Award, based on performance factors over the 2006-2008 performance period. To the extent any payment is made at the end of the performance period, 50 percent is payable in cash and 50 percent is deferred automatically as stock units that track the performance of the Corporation’s common stock for a period of two years. |
6 | Mr. Menaker served as Senior Vice President and General Counsel until October 1, 2005 and retired on February 1, 2006. |