This excerpt taken from the VZ DEF 14A filed Mar 23, 2009.
Approval of Amended and Restated Short-Term and Long-Term Incentive Plans
As discussed on pages 15-20 of this proxy statement, Verizon is requesting that its shareholders approve amended and restated short-term and long-term incentive plans. If these amended and restated plans are approved, management has advised the Committee that payments under those plans will qualify for the performance-based compensation exception and be deductible for federal income tax purposes under the current law until such time as subsequent shareholder approval is required by the federal tax laws. (Items 4 and 5 on the proxy card.)
The amended and restated Verizon Short-Term Plan will continue to:
The amended and restated Verizon Long-Term Plan will, among other things:
The proposed amended and restated Verizon Short-Term Plan and Verizon Long-Term Plan that are being submitted for shareholder approval are described in more detail beginning on page 15.