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Investor Presentaiton

(4) The company does not pay above-market earnings on deferred compensation. Therefore, no amounts are reported in this column for deferred compensation. The amounts in this column represent the change in the actuarial value of the named executive officers' benefits under the qualified defined benefit pension plan (TI Employees Pension Plan) and the non-qualified defined benefit pension plans (TI Employees Non-Qualified Pension Plan and TI Employees Non-Qualified Pension Plan II) from December 31, 2015, through December 31, 2016. This "change in the actuarial value" is the difference between the 2015 and 2016 present value of the pension benefit accumulated as of year-end by the named executive officer, assuming that benefit is not paid until age 65. Mr. Templeton's and Mr. Crutcher's benefits under the company's pension plans were frozen as of December 31, 1997. Mr. Anderson does not participate in any of the company's defined benefit pension plans. (5) Consists of (i) the amounts in the table below, which result from programs available to all eligible U.S. employees, and (ii) perquisites and personal benefits that meet the disclosure thresholds established by the SEC and are detailed in the paragraph below. Name R. K. Templeton K. P. March B. T. Crutcher K. J. Ritchie S. A. Anderson 401(k) Contribution Defined Contribution Retirement Unused Vacation Plan (a) Time (b) $ 10,600 $265,320 $ 2,308 $ 5,300 $ N/A $ 10,600 $ 133,761 $ 5,300 N/A $ $ $ 10,600 $ 83,163 (a) Consists of (i) contributions under the company's enhanced defined contribution retirement plan of $5,300 and (ii) an additional amount of $260,020 for Mr. Templeton, $128,461 for Mr. Crutcher, and $77,863 for Mr. Anderson accrued by TI to offset IRC limitations on amounts that could be contributed to the enhanced defined contribution retirement plan, which amount is also shown in the 2016 non-qualified deferred compensation table. (b) Represents payments for unused vacation time that could not be carried forward. The perquisites and personal benefits are as follows: $47,282 for Mr. Templeton, consisting of financial counseling, an executive physical and personal use of company aircraft ($32,026), and $10,718 for Mr. Crutcher, consisting of financial counseling and an executive physical. Financial counseling and an executive physical were made available to the other named executive officers, but the amounts attributable to those officers were below the disclosure thresholds. Grants of plan-based awards in 2016 The following table shows the grants of plan-based awards to the named executive officers in 2016. PROXY STATEMENT Name Grant Date Date of Committee Action All Other Stock Awards: Number of Shares of Stock or Units All Other Option Exercise Awards: Number of or Base Price of Securities (#) (2) Underlying Options (#) (3) Option Awards ($/Sh) Grant Date Fair Value of Stock (4) and Option Awards (5) R. K. Templeton . 1/29/16 (1) 1/21/16 489,557 $ 52.93 $ 4,900,007 1/29/16 (1) 1/21/16 92,576 $ 4,900,048 K. P. March 1/29/16 (1) 1/21/16 134,878 $ 52.93 $ 1,350,002 1/29/16 (1) 1/21/16 25,506 $1,350,033 B. T. Crutcher 1/29/16 (1) 1/29/16 (1) 1/21/16 1/21/16 274,751 $ 52.93 $2,750,000 51,956 $2,750,031 K. J. Ritchie 1/29/16 (1) 1/21/16 199,819 $ 52.93 $2,000,001 1/29/16 (1) 1/21/16 37,786 $ 2,000,013 S. A. Anderson 1/29/16 (1) 1/21/16 189,828 $ 52.93 $1,900,000 1/29/16 (1) 1/21/16 35,897 $1,900,028 (1) In accordance with the grant policy of the Compensation Committee of the board (described under "Process for equity grants"), the grants became effective on the second trading day after the company released its financial results for the fourth- quarter and year 2015. The company released these results on January 27, 2016. 32 TEXAS INSTRUMENTS • 2017 PROXY STATEMENT
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