This excerpt taken from the HAS DEF 14A filed Apr 17, 2006.
2005 Compensation of the Chief Executive Officer
Mr. Verrecchia served as the Companys Chief Executive Officer throughout fiscal 2005. Mr. Verrecchias annualized base salary was increased from $776,240 to $1,000,000 effective upon his promotion to Chief Executive Officer of the Company in May 2003. Mr. Verrecchias base salary has not been increased since that time. Mr. Verrecchia received a management incentive bonus for fiscal 2005 amounting to $1,500,000. The Companys performance in 2005 represented approximately 107% achievement of the corporate performance goals set under the Annual Performance Plan, which is the plan under which Mr. Verrecchias management incentive bonus is determined. The Committee set Mr. Verrecchias base salary and management incentive bonus award for 2005 at a level it believed appropriately and competitively compensated Mr. Verrecchia in respect to his responsibilities, experience, performance and contributions to the Company and its shareholders.
In fiscal 2005, Mr. Verrecchia was granted an option to purchase 280,000 shares of Common Stock. This option was granted with an exercise price equal to the market price of the Common Stock on the date of grant and vests in three equal installments over the three-year period following the date of grant. The Committee believes that the option granted in fiscal 2005 provides an appropriate incentive to Mr. Verrecchia to improve the Companys future performance, further aligns Mr. Verrecchias interests with those of the Companys shareholders and fairly compensates Mr. Verrecchia for his work for the Company and its shareholders and his contributions to the long-term value of the Company to its shareholders.
All compensation decisions regarding Mr. Verrecchia were made by the Committee, without the participation of Mr. Verrecchia or any other executive officers of the Company, and were reviewed and approved by the Companys Board of Directors.