Annual Performance Factor definition

Annual Performance Factor has the meaning set forth in Section 6.

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Annual Performance Factor means the average Load Relief actually achieved by a Participating Customer in a Capability Period compared to its Portfolio Quantity for such Capability Period.

Annual Performance Factor for each Subject Year shall be determined based on the Actual SRE Performance Metric for such Subject Year relative to the Budget SRE Performance Metric for such Subject Year as set forth on and in accordance with the Annual Performance Factor Table; provided, that if the Actual SRE Performance Metric relative to the Budget SRE Performance Metric falls between the performance metrics outlined above, then the Annual Performance Factor shall be adjusted proportionately; provided, further, that, for the avoidance of doubt, the Annual Performance Factor shall in no event be greater than 200% or less than 0%. The parties will review the Annual Performance Factor in connection with the AHL Budget Review Process each year and may, no more than once during any three-year period, modify the Annual Performance Factor with respect to subsequent Subject Years. Any such modification of the Annual Performance Factor that is mutually agreed in writing by the parties shall become effective automatically upon such mutual agreement, without any further action required by the parties hereunder.

Examples of Annual Performance Factor in a sentence

Once the three annual performance factors (the Annual Corporate Performance Factor, the Annual Tier 1 Risk-Based Performance Factor and the Annual Risk Review Performance Factor) have been determined for a Tranche in accordance with the applicable provisions of this Section 6, the overall Annual Performance Factor for that Tranche will be calculated as follows.
If either risk performance factor for an applicable performance year is 0.00%, the overall Annual Performance Factor with respect to that same performance year will be 0.00% and the Tranche that relates to that performance year, including all outstanding Performance RSUs in that Tranche together with the Dividend Equivalents related to such Performance RSUs, will be forfeited by Grantee to PNC and cancelled without payment of any consideration by PNC.
If the applicable Annual Tier 1 Risk-Based Performance Factor is 0.00%, the overall Annual Performance Factor with respect to that same performance year will be 0.00% and the Tranche that relates to that performance year will be cancelled.
If both risk performance factors are 100.00%, there would be no downward adjustment to the corporate performance factor for risk performance and the overall Annual Performance Factor would be the same percentage as the Annual Corporate Performance Factor for that Tranche.
For example, if for a given Tranche the Annual Corporate Performance Factor is 105.00%, the Annual Tier 1 Risk-Based Performance Factor is 100.00%, and the Annual Risk Review Performance Factor is 95.00%, the overall Annual Performance Factor for the Tranche would be 99.75%.
Assuming that the overall Annual Performance Factor is not determined to be 0.00% as a result of application of the first risk performance factor, the Annual Risk Review Performance Factor for the performance year (determined in accordance with Section 6.3 and Section 6.4, if applicable), which can range from 0.00% to 100.00%, will then be applied as a percentage of the Annual Corporate Performance Factor for the same performance year to generate the overall Annual Performance Factor for the Tranche.
In no event will the Annual Performance Factor be greater than 200.00% or less than 0.00%.
Assuming that the overall Annual Performance Factor is not determined to be 0.00% as a result of application of the first risk performance factor, the Annual Risk Review Performance Factor for the Performance Year, which can range from 0.00% to 100.00%, will then be applied as a percentage of the overall Annual Corporate Performance Factor for the same Performance Year to generate the overall Annual Performance Factor for that Performance Year.
The Annual Performance Factor for the given Performance Year is the applicable payout percentage in the table, using interpolation for performance between the points indicated on that table, and rounded to the nearest one-hundredth, with 0.005% being rounded upward to 0.01%.
If, however, the Change of Control occurs prior to the end of the first quarter of such Performance Year, no Annual Performance Factor will be calculated for the Performance Year in which the Change of Control occurs for purposes of calculating the Pre-Change-of-Control Factor.

More Definitions of Annual Performance Factor

Annual Performance Factor means the factor determined annually with respect to the Performance Measures as established by the Committee pursuant to Section 8(a) and used to compute the Final Performance Factor.