2.2.0.25falsefalse11401 - Disclosure - Transactions with Officers and Directorstruefalsefalse1falsefalseUSDfalsefalse1/1/2010 - 12/31/2010 USD ($) $Duration_1_1_2010_To_12_31_2010http://www.sec.gov/CIK0001355096duration2010-01-01T00:00:002010-12-31T00:00:00Unit12Standardhttp://www.xbrl.org/2003/iso4217USDiso42170Unit13Standardhttp://www.xbrl.org/2003/instancepurexbrli0USDUSD$2true0lcapa_TransactionsWithOfficersAndDirectorsAbstractlcapafalsenadurationTransactions with Officers and Directorsfalsefalsefalsefalsefalsefalsefalsefalsefalsefalse1falsefalsefalse00falsefalsefalsefalsefalseOtherxbrli:stringItemTypestringTransactions with Officers and DirectorsfalsefalseTransactions with Officers and Directors3false0lcapa_TransactionsWithOfficersAndDirectorsTextBlocklcapafalsenadurationTransactions with Officers and Directorsfalsefalsefalsefalsefalsefalsefalsefalsefalsefalseterselabel1falsefalsefalse00<div> (14)      Transactions with Officers and Directors Chief Executive Officer Compensation Arrangement On December 17, 2009, the Compensation Committee (the "Committee") of Liberty approved a new compensation arrangement for its President and Chief Executive Officer (the "CEO").  The arrangement provides for a five year employment term beginning January 1, 2010 and ending December 31, 2014, with an annual base salary of $1.5 million, increasing annually by 5% of the prior year's base salary, and an annual target cash bonus equal to 200% of the applicable year's annual base salary.  The arrangement also provides that, in the event the CEO is terminated for "cause" or terminates his employment without "good reason," he will be entitled only to his accrued base salary and any amounts due under applicable law, and he will forfeit all rights to his unvested restricted shares and unvested options.  If, however, the CEO is terminated by Liberty without cause or if he terminates his employment for good reason, the arrangement provides for him to receive $7.8 million and for his unvested restricted shares and unvested options to vest pro rata based on the portion of the term elapsed through the termination date plus 18 months and for all vested and accelerated options to remain exercisable until their respective expiration dates.  Lastly, in the case of the CEO's death or his disability, the arrangement provides for a payment of $7.8 million, for his unvested restricted shares and unvested options to fully vest and for his vested and accelerated options to remain exercisable until their respective expiration dates.   Also, on December 17, 2009, in connection with the approval of his compensation arrangement, the CEO received a one-time grant of options to purchase the following shares of Liberty with exercise prices equal to the closing sale prices of the applicable series of stock on the grant date:  8,743,000 shares of Series A Liberty Interactive common stock, 760,000 shares of Series A Liberty Starz common stock and 1,353,000 shares of Series A Liberty Capital common stock.  One-half of the options will vest on the fourth anniversary of the grant date with the remaining options vesting on the fifth anniversary of the grant date, in each case, subject to the CEO being employed by Liberty on the applicable vesting date.  The options will have a term of 10 years.   Chief Executive Officer Investment in Subsidiary During 2009 and 2010, the CEO invested $3.5 million cash in Lockerz, LLC, an equity method affiliate of Liberty, which resulted in an approximate 21% ownership interest at December 31, 2010.   Chairman's Employment Agreement On December 12, 2008, the Committee determined to modify its employment arrangements with its Chairman of the Board, to permit the Chairman to begin receiving payments in 2009 in satisfaction of Liberty's obligations to him under two deferred compensation plans and a salary continuation plan.  Under one of the deferred compensation plans (the "8% Plan"), compensation has been deferred by the Chairman since January 1, 1993 and accrues interest at the rate of 8% per annum compounded annually from the applicable date of deferral.  The amount owed to the Chairman under the 8% Plan aggregated approximately $2.4 million at December 31, 2008.  Under the second plan (the "13% Plan"), compensation was deferred by the Chairman from 1982 until December 31, 1992 and accrues interest at the rate of 13% per annum compounded annually from the applicable date of deferral.  The amount owed to the Chairman under the 13% Plan aggregated approximately $20 million at December 31, 2008.  Both deferred compensation plans had provided for payment of the amounts owed to him in 240 monthly installments beginning upon termination of his employment.  Under his salary continuation plan, the Chairman would have been entitled to receive $15,000 (increased at the rate of 12% per annum compounded annually from January 1, 1998 to the date of the first payment, (the "Base Amount") per month for 240 months beginning upon termination of his employment.  The amount owed to the Chairman under the salary continuation plan aggregated approximately $39 million at December 31, 2008.  There is no further accrual of interest under the salary continuation plan once payments have begun.   The Committee determined to modify all three plans to begin making payments to the Chairman in 2009, while he remains employed by the company.  By commencing payments under the salary continuation plan, interest ceased to accrue on the Base Amount.  As a result of these modifications, the Chairman will receive 240 equal monthly installments as follows:  (1) approximately $20,000 under the 8% Plan; (2) approximately $237,000 under the 13% Plan; and (3) approximately $164,000 under the salary continuation plan.   The Committee also approved certain immaterial amendments to the Chairman's employment agreement intended to comply with Section 409A of the Internal Revenue Code.   Stock Purchases from Chairman In October 2008, the Company purchased 4.5 million shares of Series A Liberty Capital common stock from its Chairman for $11 per share in cash pursuant to the Company's stock repurchase program.   Liberty is party to a call agreement with the Company's Chairman, which grants Liberty a right to acquire all of the Series B Liberty Capital, Liberty Starz and Liberty Interactive common stock held by the Chairman in certain circumstances.  The price of acquiring such shares is generally limited to the market price of the respective Series A common stock, plus a 10% premium.       </div>(14)      Transactions with Officers and Directors Chief Executive Officer Compensation Arrangement On December 17, 2009, thefalsefalsefalsefalsefalseOtherus-types:textBlockItemTypestringTransactions with Officers and DirectorsNo authoritative reference available.falsefalseTransactions with Officers and Directors12Transactions with Officers and DirectorsUnKnownUnKnownUnKnownUnKnownfalsetrue