This excerpt taken from the LMT PRE 14A filed Feb 29, 2008.
Grant of Awards for the 2007-2009 Cycle
Our 2007-2009 LTIP measures corporate performance over a three-year cycle from January 1, 2007 through December 31, 2009. It rewards performance during this period against pre-established internal and external metrics and continued tenure.
The amount earned at the end of the 2007-2009 performance cycle will be assessed against an external performance metric and an internal performance metric.
The chart below shows the percentage assigned to the External Performance Factor for the 2007-2009 cycle.