Document:

Exhibit10-4SummaryTermsandConditionsforthe2013Bonus

Exhibit 10.4

2013 Elected Officer
Cash Bonus Plan Overview
February 2013

This is a summary of the terms and conditions of the Plan. The full terms and conditions of the DIRECTV Executive Officer Cash Bonus Plan govern the Bonuses.
                                                                                                                                           
	
		
	TERM/CONCEPT
	EXPLANATION

	Eligibility
	Executives of DIRECTV who may become subject to Internal Revenue Code, or IRC, Section 162(m) and the CFO are eligible to participate in the Plan.

	Plan Year
	January 1 – December 31

	Administration
	The Compensation Committee of the Board of Directors, or Committee, administers the Plan. The Plan and its administration are intended to comply with IRC Section 162(m). In the beginning of the Plan Year, the Committee: 
§    Selects one or more annual performance measures for the Plan, 
§    Sets individual executive target bonuses as a percentage of base salary or as a dollar amount, and
§    Establishes the maximum funding for each executive in the Plan, 
At the end of the Plan Year, the Committee determines final bonuses. 

	Company Performance Measures
	For 2013, the Committee has selected growth in cash flow before interest and taxes (“CFBIT”) as the performance measure. If the Company’s CFBIT exceeds [TBD], the available bonus fund will be equal to or greater than the target bonus.

	Bonus Determination
	§    Following the end of the Plan Year, the Committee will review Company and individual performance and determine bonuses. 
§    Typically, when determining bonuses the Committee will reduce bonuses from the funded amounts to align the bonuses with Company and individual performance. Company performance will be evaluated on delivering financial and operating results and individual performance for winning customer loyalty for life and building talent & teamwork. The Committee may also consider other performance factors in its sole discretion as it determines the actual bonuses. For example, these factors may include net subscriber growth, churn, ARPU growth, SAC, margin improvement, customer satisfaction, revenue growth, cash flow growth and basic EPS growth. 

	Timing of Payments
	Bonuses, if any, are paid by March 15 following the end of the Plan Year.

	Pro-Rated Bonuses
	An executive who participates in the Plan for less than a full year may be eligible for a pro-rated target bonus. A pro rata calculation may also apply to changes in base salary or target bonus percentage that occur during the year.

	Taxation
	Bonuses are subject to applicable income and employment tax withholding. The Company will also withhold contributions for the savings benefit plans.

	
		
	TERM/CONCEPT
	EXPLANATION

	Employment Status:
§    Resignation or Termination for Cause
	§    A voluntary resignation during the Plan Year will result in the forfeiture of the bonus.
§    A termination for cause during the Plan Year or at any time before payment of the bonus will result in the forfeiture of the bonus.

	• Retire, Layoff, Death or Disability 
	Executives who terminate for these reasons are eligible to receive a pro-rated bonus during the usual payout cycle. Individual employment agreements may have other terms and conditions. The Committee may use daily, monthly or other methods to pro rate the bonuses.

	• Leave of Absence During the Year
	Executives who are on an unpaid Company-approved leave of absence during the Plan Year are eligible to receive a bonus (pro-rated to exclude the period of their absence) during the usual payout cycle.

	Employee Benefits
	Bonuses are Covered Compensation for purposes of determining 401K and pension benefits.

	Recovery of Bonus Awards

	If the financial or operating results used to determine the payout of bonuses are subsequently restated or revised such that smaller bonuses would have been awarded using such restated or revised results, the Company will be entitled to recover the portion of the bonuses that should not have been awarded. See the policy statement in the 2012 Proxy Statement section “Compensation Discussion and Analysis.”Exhibit10-5SummaryTermsandConditionsforthe2013StockOptionGrants

Exhibit 10.5
2013 Stock Option Grant Overview
February 2013
This is a summary of the material terms and conditions of the 2013 Stock Option Grants for DIRECTV. The 2013 Stock Option Terms and Conditions and the DIRECTV 2010 Stock Plan (the “Plan”) and Prospectus govern the stock options. Capitalized terms not defined herein shall have the meaning assigned to them in the 2013 Stock Option Terms and Conditions or the Plan.
                                                                                                                                           
	
			
	TERM/CONCEPT
	EXPLANATION

	Company
	DIRECTV and its Subsidiaries

	Eligibility
	Executives who are direct reports to the CEO are eligible

	Stock Options and Grant Date
	Non-qualified stock options on DIRECTV Common stock were granted on February 15, 2013, without dividend equivalents

	10-Year Term
	The stock options will expire at the close of business 10 years after the grant date (the “Term” of the option), unless exercised or cancelled at an earlier date as provided below.

	3-Year Vesting Period
	Vesting refers to the right to exercise the stock option and purchase the underlying stock from the Company. The options will vest and become exercisable at the rate of one-third per year on each of December 31, 2013, 2014 and 2015 (each a “vesting date”). Your rights to exercise the stock option expire at the end of the 10-year term of the options (the “Term”) or earlier as noted below.

	Exercise Price
	The options are granted at [TBD] per share, which is the stock market closing price on February 15, 2013. This is the price per share you would pay to the Company to exercise the option and acquire the underlying shares of DIRECTV Common stock.

	Taxes
	Generally, the value of your stock option is taxable at the time you elect to exercise the stock options. The applicable withholding taxes are due upon exercise, whether or not you sell your shares at that time. The Company may withhold shares of stock to satisfy the stock option exercise (purchase) price and applicable tax withholdings, so you may receive shares net of the exercise (purchase) price and tax withholdings. 
Please consult with your personal tax or financial advisor for specific information regarding the tax consequences of your stock option.

	Continued Employment
	Except as noted below, continued employment or Service through the date you exercise the stock option is required as a condition of exercising your stock option and obtaining certain rights and benefits under the Plan. Partial employment or Service, even if substantial, prior to the vesting and exercise dates will not entitle you to any proportionate stock option vesting or exercise rights, or avoid or mitigate a termination of rights and benefits upon or following a termination of employment or Service, except as otherwise provided below.
	 

	Impact of Termination
	If you leave the Company for any reason before the first vesting date, your stock option is forfeited.
	 

	
		
	TERM/CONCEPT
	EXPLANATION

	Resignation or Termination for Cause
	If you resign from the Company or are terminated for Cause at any time during the Term, you forfeit all non-exercised stock options on your termination date.

	• Retirement*
• Long-Term Disability
• Death
	After the first vesting date and before the third vesting date (when the option is vested 100%), if your Service terminates due to a Retirement, a Long-Term Disability or your 
death, you will vest as follows:
•    You are eligible for pro-rated vesting of the stock option based on the number of full calendar months of Service completed after the first vesting date and prior to your termination, including the month of termination. 
•    After the vesting calculation above, any remaining unvested stock options will be cancelled at the close of business on your termination date.
•    Your vested stock options will be exercisable until the earlier of the third anniversary of your termination date or the end of the Term of the option. 

	• Involuntary Termination Without Cause (e.g., Layoff)
	If your Service terminates due to an Involuntary Termination without Cause, you will vest as follows:
•    You will vest in the additional number of shares that would have vested had you remained in Service until the next vesting date immediately following your termination date.
•    In addition to the above, if your termination date occurs in a December, you will vest in the additional number of shares that would have vested had you remained in Service until the second vesting date immediately following your termination date.
•    After the vesting calculation above, any remaining unvested stock options will be cancelled at the close of business on your termination date.
•    Your vested stock options will be exercisable until the earlier of the first anniversary of your termination date or the end of the Term of the option. 
•    If your Involuntary Termination without Cause also qualifies as a Retirement, your vested stock options will be exercisable until the earlier of the third anniversary of your termination date or (2) the end of the Term of the option.

	Impact of Leave of Absence
	Absence from work caused by military service, authorized sick leave, or other leave approved by the Company will not be considered a termination of employment by the Company if reemployment upon the expiration of the leave is required by contract or law, or if the leave is for a period of not more than 90 days. The Company reserves the right to adjust stock option vesting for employees on leave in excess of 90 days during the vesting period.

* Retirement means termination of employment at age 55 or older and with 5 or more years of Continuous Service as defined by the Pension Plan.

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