This excerpt taken from the SIRI DEF 14A filed Apr 23, 2007.
In making decisions with respect to any element of a named executive officers compensation, the Compensation Committee considers the total compensation that may be awarded to the officer, including salary, annual bonus, long-term incentives, and perquisites and other benefits. In addition, the Compensation Committee considers the other benefits to which the officer is entitled by the employment agreement, including compensation payable upon termination of employment under a variety of circumstances. In 2006, the Compensation Committee reviewed tally sheets showing the total compensation potentially payable to, and the benefits accruing to, each named executive officer. The Compensation Committees goal is to award compensation that is reasonable when all elements of potential compensation are considered.