Deferred Compensation Plan

The non-qualified Deferred Compensation Plan is offered to a select group of management partners. The plan allows you to defer a portion of your current compensation, so you can reduce your current income tax liability while focusing on tomorrow’s financial needs.

Your contributions

You can choose to defer:

• Up to 85% of base salary
• Up to 100% of your fiscal year bonus
• Up to 100% of 401(k) plan refund

Petco contributions

The annual discretionary Company match is based on the following:

If you are eligible to participate in the Petco 401(k) Plan:

• 50% of the first 3% of base salary deferrals
• 50% of the first 6% of bonus deferrals

If you are not eligible to participate in the Petco 401(k) Plan:

• 50% of the first 6% of base salary deferrals
• 50% of the first 6% of bonus deferrals

Vesting

You are always 100% vested in your deferrals, the Company match and any related earnings on your investments.

Investments

You can choose from a variety of investment options representing a broad range of asset classes. You may allocate your accounts among the available investment options, both with respect to existing balances and future deferrals, at any time.

Distribution Elections

Each year, you will have an opportunity to make a distribution election for the upcoming year’s deferral, company match and related earnings. If you don’t make a distribution election for a particular year, then that year’s distribution will be paid as a single lump sum.