Board Policy on Pension Benefits for Executives
In December 2005, the Pfizer Board approved the adoption of a policy relating to the payment of pension benefits for senior executives.
Pfizer Board Policy on Pension Benefits for Executives
The Board will seek shareholder approval prior to the payment to any senior executive from the Company's defined benefit pension plans if his or her benefit, computed as a single life annuity, will exceed 100% of the senior executive's final average salary, as calculated at the discretion of the Company's Compensation Committee. This policy will apply prospectively, for all benefit accruals after January 1, 2006. For purposes of this policy, "final average salary" means the average of the highest five calendar years' earnings, where earnings includes salary earned during the year and annual cash incentives (or bonus) earned for the year.