PREN14A
Table of Contents

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
SCHEDULE 14A
 
PROXY STATEMENT PURSUANT TO SECTION 14(a) OF THE SECURITIES
EXCHANGE ACT OF 1934 (Amendment No.     )
 
Filed by the Registrant  o
 
Filed by a Party other than the Registrant þ
 
Check the appropriate box:
 
þ  Preliminary Proxy Statement
o  Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2))
o  Definitive Proxy Statement
o  Definitive Additional Materials
o  Soliciting Material Pursuant to § 240.14a-12
 
Target Corporation
(Name of Registrant as Specified In Its Charter)
 
Pershing Square, L.P.
Pershing Square II, L.P.
Pershing Square IV Trade-Co, L.P.
Pershing Square IV-I Trade-Co, L.P.
Pershing Square International, Ltd.
Pershing Square International IV Trade-Co, Ltd.
Pershing Square International IV-I, Ltd.
William A. Ackman
Michael L. Ashner
James L. Donald
Ronald J. Gilson
Richard W. Vague
Ali Namvar
Roy J. Katzovicz
(Name of Person(s) Filing Proxy Statement, if other than the Registrant)
 
Payment of Filing Fee (Check the appropriate box):
 
þ   No fee required.
 
o   Fee computed on table below per Exchange Act Rule 14a-6(i)(4) and 0-11.
 
  (1)   Title of each class of securities to which transaction applies:
 
 
  (2)   Aggregate number of securities to which transaction applies:
 
 
o   Check box if any part of the fee is offset as provided by Exchange Act Rule 0-11(a)(2) and identify the filing for which the offsetting fee was paid previously. Identify the previous filing by registration statement number, or the Form or Schedule and the date of its filing.
 
  1)   Amount Previously Paid:
 
 
  2)   Form, Schedule or Registration Statement No.:
 
 
  3)   Filing Party:
 
 
  4)   Date Filed:
 


TABLE OF CONTENTS

Retail
Credit Cards
Real Estate
Shareholder Representation and Corporate Governance
Credit Ratings
Corporate Elections
PERSHING SQUARE FUNDS PROXY STATEMENT 2009 ANNUAL MEETING OF SHAREHOLDERS OF TARGET CORPORATION
BACKGROUND OF THE SOLICITATION
Proposal 1: Determination of the Size of the Board
Proposal 2A: Election of Four Class III Directors
Proposal 2B: Election of the Fifth Class III Director
Other Matters To Be Considered At The Annual Meeting
Proposal 3: Ratification of Independent Registered Public Accounting Firm
Proposal 4: Approval of the Performance Measures Available Under the Target Corporation Long-Term Incentive Plan
Proposal 5: Shareholder Proposal Regarding Annual Advisory Vote on Executive Compensation
Other Proposals
Voting Procedures
SOLICITATION OF PROXIES
PARTICIPANTS IN THE SOLICITATION
ADDITIONAL INFORMATION
APPENDIX A
IMPORTANT
PROXY CARD
VOTE BY TELEPHONE
VOTE BY INTERNET
VOTE BY MAIL


Table of Contents

(PERSHING SQUARE LETTERHEAD)
 
April   , 2009
 
Dear Fellow Target Shareholder:
 
The Pershing Square funds have been substantial shareholders of Target for more than two years. Recently, we nominated five independent director candidates for election at Target’s upcoming 2009 Annual Meeting of Shareholders. We did so because we believe that adding individuals with directly relevant experience to Target’s board of directors will help make Target a stronger, more profitable, and more valuable company.
 
Despite the fact that Target’s two principal business lines are retail and credit cards, Target currently has no independent directors with senior, executive-level experience in these two businesses. Similarly, despite the fact that Target is one of the largest owners of retail real estate in the country, there are no independent directors on the company’s board with substantial real estate expertise. The board also has no significant shareholder representation, with the current directors owning less than 0.3% of the company’s outstanding common stock. As such, we believe that the current board is suboptimal from a shareholder and corporate governance perspective.
 
Target’s board is comprised of business professionals with experience in a variety of industries. We believe, however, that an effective board should be comprised not only of high quality individuals with diverse experience, but also those with specifically relevant expertise in the company’s core business lines and major assets. In our opinion, even with the best management team, a company must have directors who can draw upon their own experience to challenge, help shape, or otherwise add value to management’s operating or strategic plans. We also think it is essential that major owners are represented on a board so that the shareholder’s voice is adequately heard.
 
From the beginning of the fourth quarter of 2007 to the day prior to our filing of our proposed slate, Target stock has declined by 51% to $28.83. Over the same period, Wal-Mart, Target’s principal competitor, stock has appreciated 11%, a 60 percentage point outperformance. We believe that Target’s substantial negative returns to shareholders are reflective of its operating underperformance compared with Wal-Mart. Since the fourth quarter of 2007, Wal-Mart, has outperformed Target on key operating metrics, including growth in retail revenues, same-store sales, and earnings per share.
 
While Wal-Mart has experienced strong results, Target has suffered same-store sales and profit declines. In addition, Target’s credit card performance has been poor with annual net write-offs rising to $811 million or approximately 9.3% of average receivables in 2008, compared to 5.9% of average receivables in 2007. In contrast, because Wal-Mart partnered with a financial institution for its store credit card years ago, it does not own credit card receivables, nor does it have the material credit and funding risks associated with these assets.
 
Despite our disappointment with the company’s results, we are shareholders of Target, not Wal-Mart, because we believe that Target has substantial unrealized potential. We believe the company has strong management, talented and hard-working employees, valuable assets, and one of the country’s greatest brands. We believe, however, that Target’s current board composition is suboptimal. On this point, Wal-Mart makes for an interesting comparison.
 
Wal-Mart operates in one principal line of business — general merchandise retailing. From the composition of Wal-Mart’s board, one can conclude that Wal-Mart believes that having independent directors with relevant experience is important. After being criticized for years for its apparel offering, in 2007 Wal-Mart appointed Allen Questrom, former CEO of JCPenney, to its board. Mr. Questrom is widely considered to be one of the country’s strongest apparel retail executives,


Table of Contents

having completed the successful turnarounds of JCPenney and Barney’s New York, as well as having served as Chairman and CEO of Federated Department Stores and Neiman Marcus. In 2006, Wal-Mart appointed Roger Corbett to its board. Mr. Corbett is the retired CEO and Group Managing Director of Woolworths Limited, the largest retail company in Australia whose principal business lines include food retailing, general merchandising, and consumer electronics.
 
While Wal-Mart owns a lower percentage of its stores than Target, its board includes an experienced real estate executive. Last year, Arne Sorenson, the EVP and CFO of Marriott International, became a director of Wal-Mart, bringing significant real estate expertise to Wal-Mart’s board.
 
While Wal-Mart has a number of independent directors with a wealth of retail and real estate knowledge, we believe that comparable expertise is notably absent on the Target board. In light of the difficult economic and competitive environment and the important strategic decisions the company will face in ensuing years, we believe that it is essential for Target’s board to include directors with relevant expertise. To that end, we have identified a number of independent directors to serve on Target’s board with expertise in each of the company’s principal business lines and assets.
 
Retail
 
Food retailing represents a critical strategic growth initiative for Target. In our view, Target’s more limited food offering partially explains why Target’s same-store-sales growth rate has been considerably weaker than Wal-Mart’s in every quarter since the fourth quarter of 2007. We and the company believe that an expanded food presence can help Target increase the frequency of visits from its customers and generate higher and more predictable sales.
 
Our nominee, Jim Donald, has over 30 years of experience in food retailing. Prior to becoming the CEO of Starbucks, Jim served as the Chairman and CEO of Pathmark and President and Manager of Safeway’s Eastern division. Jim began his grocery career from the ground floor, joining Albertson’s in 1976 where he quickly rose through its managerial ranks. In 1991, Jim was handpicked by Sam Walton to build out Wal-Mart’s presence in the grocery business. At Wal-Mart, Jim was a key executive in the development and expansion of the Wal-Mart Supercenter.
 
Given his leadership skills and his extensive career in food retailing, we believe that, if elected, Jim would be an ideal addition to Target’s board, particularly as the company expands its SuperTarget footprint and pursues its strategic objectives in the food category.
 
Credit Cards
 
In early August 2007, we met with Target to discuss our concerns regarding the credit and funding risks associated with its credit card segment. Despite Target’s previous publicly stated resistance to selling its credit card assets, we encouraged the company to pursue a credit card partnership transaction with a large financial institution and transfer the substantial majority of the credit and funding risks associated with these assets. While the company ultimately completed a sale of 47% of its credit card receivables to JPMorgan Chase in May 2008, the transaction was, in economic substance, a non-recourse financing. As a result, Target remains exposed to first-loss credit risk on these “sold” assets. In addition, the company retains 100% of the credit and funding risks of the 53% of receivables it continues to own in addition to the obligation to fund the future growth of these assets.
 
As such, we believe that credit risk and funding risk remain major concerns for the company. Despite these risks, there is no one on the Target board with directly relevant operating experience in the credit card business who can help the company assess these risks, develop alternative solutions to problems, and make suggestions to improve the operations of this segment.
 
Our nominee, Richard Vague, has over 30 years of experience in the credit card and payment processing business. Richard served as Chairman and CEO of First USA, a company that he co-founded in 1984, which grew from a start-up to the single largest Visa credit card issuer in the United States when it was sold to Bank One in 1997. Under his leadership, First USA grew from $200 million in loans and 250 employees to $70 billion in loans and 22,000 employees.
 
Richard also served as the CEO of Juniper Financial, a direct consumer credit card bank that he co-founded and later sold to Barclays Bank Delaware in 2004 where he served as CEO of the


Table of Contents

business subsequent to the sale. Both Juniper Financial and Barclays Bank Delaware became leaders in the credit card business under Richard’s leadership.
 
Based on his experience, we believe that Richard is one of the best credit card industry executives in the world. We are confident that, if elected, Richard’s extensive experience, judgment, and relationships would help Target navigate through the current financial crisis.
 
Real Estate
 
Target is one of the largest retail real estate owners in the country owning more than 200 million square feet of retail real estate. Compared with other major retailers, Target owns outright a substantially greater percentage of its stores. Because of the greater stability of the cash flows generated from real estate, real estate income typically receives a much higher valuation than retail income in the market.
 
We believe that the market does not assign Target a greater overall valuation than other retailers which own a much smaller percentage of their real estate. In our view, this presents a potential opportunity worthy of further exploration by the company, its board, and management. Target’s board’s ability to assess potential real estate strategic alternatives, however, is limited by the fact that no current member of the board has the critical real estate expertise necessary to analyze these potential opportunities.
 
Our nominee, Michael Ashner, is a senior executive in the real estate investment and management businesses. He is currently the Chairman and CEO of Winthrop Realty Trust, a NYSE-listed REIT. In addition, Michael is Chairman and CEO of Winthrop Realty Partners, L.P., a privately held property management firm which manages more than 20 million square feet of commercial real estate, including over 11 million square feet owned by Michael and his affiliates.
 
Since 1991, Michael and his team have acquired and/or managed more than $12 billion of real estate in 45 states, including more than 85,000 apartment units, 50 million square feet of office, retail and industrial space, and 10,000 hotel rooms. Michael and his team have managed more than 500 partnerships, at least 40 of which were public companies with over 100,000 investors, including five separate publicly-traded REITs.
 
Previously, Michael served as Executive Chairman of Lexington Realty Trust, a NYSE-listed REIT, and was Chairman and CEO of Shelbourne Properties family of REITs. In addition, since 1981, Michael has been the President and principal shareholder of Exeter Capital Corporation, a real estate investment banking firm.
 
We believe that, if elected, Michael’s wealth of real estate investment and operating experience would help provide Target’s board with the knowledge it needs to evaluate Target’s real estate operations and strategy.
 
Shareholder Representation and Corporate Governance
 
We believe that Pershing Square’s other two nominees including myself and Ronald Gilson would do much to improve Target’s governance. As the founder and manager of private investment funds whose largest investment is Target — Pershing Square is the third largest equity owner of the company with 7.8% — I will bring the perspective of a large owner that is currently absent from Target’s board. Pershing Square has a long-term track record of creating shareholder value in numerous public companies including Wendy’s International, McDonald’s Corporation, Ceridian Corporation, and, most recently, Longs Drugs.
 
In our view, Ron Gilson is one of our country’s preeminent thinkers on corporate governance. With a joint appointment at Stanford and Columbia University law schools, Ron has dedicated his career to the study and advancement of corporate governance. As a fellow of the American Academy of Arts and Sciences and the European Corporate Governance Institute, among other notable appointments, Ron has been recognized as a thought leader on corporate governance. Ron has significant board experience serving as the independent Chairman of the Boards of Directors for the American Century Mutual Funds, with funds under management of more than $20 billion.
 
We believe that, if elected, Ron’s extensive academic and real world experience as an independent board chair would ensure fair process, fair dealing, and diligent care for the benefit of all shareholders.


Table of Contents

Credit Ratings
 
We agree with management that Target’s strong investment grade credit ratings are an important strategic asset for the company. As such, if I am elected as a director, I do not intend to support any action that will impair the company’s credit ratings.
 
In our view, Target can be an enormously valuable company without the need to over-leverage its business. In fact, over the next several years, we believe that positioning the company so that it can increase its access to capital may allow it to take advantage of distressed real estate opportunities that could result from the current shakeout in the retail industry.
 
Corporate Elections
 
I have always found it astonishing that in the most democratic nation in the world, elections for the boards of U.S. public companies are generally uncontested. Shareholders are offered the opportunity to vote for one director for each seat handpicked by the incumbent board or by company management. Shareholders can typically vote only in favor of the selected director or withhold their vote.
 
In the political realm, we see analogous elections only in the Third World and in dictatorships. We are not going solve this problem today, but at Pershing Square’s expense we have created the opportunity for shareholders to choose between the company’s incumbent directors and a new independent slate that we have identified.
 
I ask that you compare the relative merits of each of our proposed directors with the incumbents that are up for election. Please ask yourself whether the company will be best served with the incumbent directors, or with the fresh perspectives of five new independent directors with extensive expertise in each of Target’s main business lines and assets, or who otherwise bring a strong shareholder and corporate governance perspective to the company.
 
Target’s board has 13 seats of which 12 are currently occupied. At the upcoming meeting, the company is asking shareholders to vote to reduce the size of the board from 13 to 12 seats. If shareholders were to accept management’s recommendation and reduce the size of the board, only four directors can be elected at this election. If the size of the board is reduced, shareholder votes for one of our nominees will not be counted, nor can this candidate be elected. We cannot conceive of a good reason to reduce the size of the board, for it will curtail the ability of shareholders to add strong board candidates of their choosing to the current board. As such, we urge you to vote against Target’s board reduction proposal.
 
To assist you in assessing our candidates, we are offering you the opportunity to meet our proposed directors in person and ask them any questions that you may have. On Monday, May 11, 2009, we intend to hold a Town Hall Meeting at [          ], at [          ], where you can meet each of our nominees. We will also have a live webcast for those who can not join us in person. We will broadcast details of the event as soon as they are available.
 
I look forward to seeing you on May 11th as well as on May 28th at the 2009 Annual Meeting in Wisconsin. Please make sure to complete, sign and return the enclosed GOLD proxy card so that your support for the Pershing Square Nominees can be counted.
 
If you have questions about any of the above, please contact me at (212) 813-3700.
 
PERSHING SQUARE CAPITAL MANAGEMENT, L.P.
 
Sincerely,
 
-s- William A. Ackman
William A. Ackman
 


Table of Contents

 
PRELIMINARY PROXY STATEMENT; SUBJECT TO COMPLETION
 
DATED APRIL  , 2009
 
PERSHING SQUARE FUNDS PROXY STATEMENT
2009 ANNUAL MEETING OF SHAREHOLDERS OF TARGET CORPORATION
 
This proxy statement is being furnished to the shareholders of Target Corporation, a Minnesota corporation, with its principal executive offices at 1000 Nicollet Mall, Minneapolis, Minnesota 55403, which we sometimes refer to as Target or the company, in connection with the solicitation of GOLD proxies by the Pershing Square Funds for use at the 2009 Annual Meeting of Shareholders of Target (including any adjournments, continuations or postponements thereof and any meeting held in lieu thereof), which we refer to as the 2009 Annual Meeting, which is scheduled to be held at the Target Store, 1250 West Sunset Drive, Waukesha, Wisconsin on Thursday, May 28, 2009, at 1:00 p.m. Central Daylight Time.
 
We are soliciting your proxy for the 2009 Annual Meeting regarding the following proposals:
 
                 1.  To vote against Target’s proposal to determine that the number of director’s constituting the board of directors of Target, which we refer to as the board, is 12, rather than 13 (we refer to this proposal as the board reduction proposal);
 
                 2A.  To elect our nominees William A. Ackman, Michael L. Ashner, James L. Donald and Richard W. Vague as directors of Target, whether or not the company’s board reduction proposal passes;
 
                 2B.  To elect our fifth nominee, Ronald J. Gilson, as a director of Target if the company’s board reduction proposal is rejected by the shareholders (we refer to the nominees identified in Proposals 2A & 2B collectively as the Pershing Square Nominees);
 
                 3.  To ratify the appointment of Ernst & Young LLP as Target’s independent registered public accounting firm;
 
                 4.  To vote for Target’s proposal to approve the performance measures available under the Target Corporation Long-Term Incentive Plan;
 
                 5.  To abstain on a vote on a shareholder proposal regarding an annual advisory vote on executive compensation; and
 
                 6.  To transact such other business as may properly come before the meeting.
 
More information about the Pershing Square Nominees can be found under “PROPOSAL 2A — ELECTION OF FOUR CLASS III DIRECTORS — The Pershing Square Nominees” and “PROPOSAL 2B — ELECTION OF THE FIFTH CLASS III DIRECTOR” beginning on page 5 of this proxy statement. Approximately 7.8% of the outstanding shares of Target common stock are held for the account of the Pershing Square Funds and their affiliates, through a combination of common stock and options. Details of the Target shares held for the account of the Pershing Square Funds can be found under “PARTICIPANTS IN THE SOLICITATION — Certain Information About the Pershing Square Funds” beginning on page 12 of this proxy statement.
 
YOUR VOTE IS EXTREMELY IMPORTANT.  WE URGE YOU TO VOTE AGAINST THE BOARD REDUCTION PROPOSAL AND VOTE FOR THE PERSHING SQUARE NOMINEES BY SIGNING, DATING AND RETURNING THE GOLD PROXY CARD. YOU MAY ALSO VOTE BY TELEPHONE USING THE TOLL-FREE NUMBER ON THE GOLD PROXY CARD OR VIA THE INTERNET USING THE INTERNET ADDRESS ON THE GOLD PROXY CARD.
 
The 2009 Annual Meeting is scheduled to be held on May 28, 2009 and only holders of record as of March 30, 2009 will be entitled to notice of, and be permitted to vote at, the 2009 Annual Meeting. A majority of the outstanding shares of Target common stock must be represented at the 2009 Annual Meeting in person or by proxy in order to satisfy applicable quorum requirements.


Table of Contents

This Proxy Statement and the GOLD proxy card are first being furnished to shareholders on or about April   , 2009. We are providing this proxy statement in definitive form to all Target shareholders to whom GOLD proxies are furnished by the Pershing Square Funds, or from whom GOLD proxies are requested by the Pershing Square Funds, no later than the time that GOLD proxies are furnished or such requests are made.
 
As used in this proxy statement, the terms “we”, “us” and “our” refer to Pershing Square, L.P., Pershing Square II, L.P., Pershing Square IV Trade-Co, L.P., Pershing Square IV-I Trade-Co, L.P., Pershing Square International, Ltd., Pershing Square International IV Trade-Co, Ltd. and Pershing Square International IV-I Trade-Co, Ltd. (which we collectively refer to as the Pershing Square Funds or simply Pershing Square), William A. Ackman, Ali Namvar and Roy J. Katzovicz. The Pershing Square Funds are research-intensive, fundamental investors in the public markets which seek to identify investments where market prices exhibit significant valuation discrepancies compared to our assessment of intrinsic value. Additional information about the Pershing Square Funds and the Pershing Square Nominees, who are also participants in this solicitation, can be found below in the section titled “CERTAIN INFORMATION CONCERNING THE PERSHING SQUARE FUNDS AND THE OTHER PARTICIPANTS IN THE SOLICITATION”.
 
THIS SOLICITATION IS BEING MADE BY THE PERSHING SQUARE ENTITIES AND NOT ON BEHALF OF THE BOARD OR THE MANAGEMENT OF TARGET.
 
Voting Methods
 
  •  Voting by Mail.   A GOLD card is enclosed for your use. Whether or not you expect to attend the 2009 Annual Meeting, please sign, date and mail your proxy card promptly in the enclosed postage paid envelope.
 
  •  Voting by Telephone.  If you live in the United States, you may vote your proxy toll-free 24 hours a day, 7 days a week up until 11:59 P.M. Eastern Daylight Savings Time on May 27, 2009 by calling the toll-free telephone number on the GOLD proxy card. Please refer to the voting instructions on the GOLD proxy card. If you vote by telephone, please do not return your proxy card by mail.
 
  •  Voting via the Internet.  If you wish to vote via the Internet, you may submit your proxy from any location in the world 24 hours a day, 7 days a week, up until 11:59 P.M. Eastern Daylight Savings Time on May 27, 2009 by visiting the website provided on the GOLD proxy card. Please refer to the voting instructions on the GOLD proxy card. If you vote through the Internet, please do not return your proxy card by mail.
 
  •  Vote in person by attending the Annual Meeting.  Written ballots will be distributed to shareholders who wish to vote in person at the 2009 Annual Meeting. If you hold your shares through a bank, broker or other custodian, you must obtain a legal proxy from such custodian in order to vote in person at the 2009 Annual Meeting.
 
If you hold your shares through a bank, broker or other nominee holder and you do not intend to vote in person at the 2009 Annual Meeting, only that nominee holder can vote your shares, and only after receiving specific voting instructions from you. Please contact your bank, broker or nominee holder and instruct them to vote a GOLD proxy card “AGAINST” the board reduction proposal and “FOR” the Pershing Square Nominees.
 
If the Pershing Square Funds receive GOLD proxies that have no explicit voting instructions, the Pershing Square Funds intend to vote such proxies (i) “AGAINST” the company’s proposal to determine that the number of directors constituting the board is 12, rather than 13, (ii) “FOR” the election of William A. Ackman, Michael L. Ashner, James L. Donald and Richard W. Vague as directors of the company, (iii) “FOR” the election of Ronald J. Gilson as a director of the company, (iv) “FOR” the ratification of the appointment of Ernst & Young LLP and (v) “FOR” the company’s proposal to approve the performance measures available under the Target Corporation Long-Term Incentive Plan, and to “ABSTAIN” from voting such proxies on the shareholder proposal regarding annual advisory vote on executive compensation.
 
If elected, consistent with their fiduciary duties, the Pershing Square Nominees are committed to acting in the best interest of the shareholders of Target. We strongly urge you to vote “AGAINST” the board reduction proposal and vote “FOR” the election of William A. Ackman, Michael L. Ashner, James L. Donald, Richard W. Vague and Ronald J. Gilson.


2


Table of Contents

Revocation of Proxies
 
Shareholders who have executed and delivered a proxy card may revoke it at any time before the proxy is exercised by:
 
  •  delivering an instrument revoking the earlier proxy, or a duly executed later dated proxy for the same shares, to D.F. King & Co., Inc., our proxy solicitor, at 48 Wall Street, New York, New York 10005; or
 
  •  filing with the company’s Corporate Secretary at least two business days prior to the 2009 Annual Meeting either a notice of revocation or a duly executed proxy bearing a later date for the same shares; or
 
  •  if you have voted by telephone or through the Internet, by calling the same toll-free number or by accessing the web site and following the instructions provided on the GOLD proxy card; or
 
  •  By voting in person at the 2009 Annual Meeting Written ballots will be distributed to shareholders who wish to vote in person at the 2009 Annual Meeting. If you hold your shares through a bank, broker or other custodian, you must obtain a legal proxy from such custodian in order to vote in person at the 2009 Annual Meeting (the power of the proxy holders will be suspended if you attend the 2009 Annual Meeting in person, although attendance at the meeting will not by itself revoke a previously granted proxy).
 
We strongly urge you not to sign any proxy card sent to you by Target. If you have already voted for the board reduction proposal and/or the company’s nominees, you can change your vote by signing, dating and returning the GOLD proxy card to D.F. King & Co., Inc. at its address set forth below or by making use of the Internet and telephone voting facilities described above. If you hold your shares through a bank, broker or other nominee holder, you will need to contact your bank, broker or nominee and follow their instructions if you want to revoke a proxy or change your vote. Only your latest signed and dated proxy will count at the 2009 Annual Meeting.
 
If you have any questions, require assistance in voting your GOLD proxy card, or need additional copies of our proxy material, please contact our proxy solicitor at:
 
D.F. King & Co., Inc.
48 Wall Street
New York, NY 10005
Toll-free: (800) 290-6427
Banks and brokers: (212) 269-5550


3


Table of Contents

 
BACKGROUND OF THE SOLICITATION
 
In February of 2009, Pershing Square discussed with Mr. Gregg W. Steinhafel, Chairman, President and Chief Executive Officer of Target, the possibility of appointing certain individuals nominated by Pershing Square as directors of the company. In response, Mr. Steinhafel asked us to schedule a meeting with the Nominating Committee of the board, which we did promptly. On March 3, 2009, Mr. William A. Ackman, the founder and managing member of the general partner of Pershing Square Capital Management, L.P., and one other individual suggested by Pershing Square for consideration met with the Nominating Committee at the company’s headquarters in Minneapolis. Subsequent to the March 3rd meeting, Pershing Square proposed three additional individuals for consideration by the Nominating Committee. On March 12, 2009, Target informed us that its board had declined to extend an invitation to any of the individuals identified by us as candidates for board membership.
 
On March 16, 2009, we delivered a notice of nomination to the company in accordance with the procedures set forth in the company’s Restated Articles of Incorporation, proposing to nominate the following five individuals for election as directors at the 2009 Annual Meeting: Messrs. William A. Ackman, Michael L. Ashner, James L. Donald, Ronald J. Gilson and Richard W. Vague.
 
On the same day, Target issued a press release indicating that the board is comprised of 12 directors and that the company is nominating four candidates for election at the 2009 Annual Meeting. We believe that while there are 12 sitting directors, the board consists of 13 seats with five Class III seats up for election at the 2009 Annual Meeting. When Target’s former Chairman and CEO resigned early this year, a vacancy was created, and the board was not subsequently decreased in the manner mandated by the company’s charter — which provides that any decrease of the size of the board to below 13 members requires the affirmative vote of its shareholders.
 
On March 24, 2009, the company filed a preliminary proxy statement with the Securities and Exchange Commission, which we refer to as the SEC, setting forth four specific proposals to be voted on by shareholders of the company at the 2009 Annual Meeting, including the election of four Class III directors.
 
On March 26, 2009, Mr. Ackman sent a letter to Mr. Steinhafel, setting forth the basis for our understanding that the board currently consists of 13 members and that five seats are up for election at the 2009 Annual Meeting. In the letter, Mr. Ackman suggested that Target could resolve this issue through a binding arbitration if it disagrees with our view.
 
On March 30, 2009, the company filed an amended preliminary proxy statement with the SEC, setting forth a new proposal to be voted on by shareholders of the company at the 2009 Annual Meeting. The new proposal would have the effect of reducing the size of the board to 12, resulting in only four seats being up for election at the 2009 Annual Meeting.
 
On April 6, 2009, Pershing Square filed a preliminary form of this proxy statement with the SEC.


4


Table of Contents

 
Proposal 1: Determination of the Size of the Board
 
The company is soliciting proxies to determine that the number of directors constituting the Target board is 12, rather than 13. In our view the proposal appears to be aimed more at preserving the incumbency of existing directors and less at attracting and electing the most qualified directors. We believe that each of the Pershing Square Nominees is highly qualified and should be elected to the board, and we believe that shareholders should have the opportunity to elect each of them.
 
Accordingly, we strongly urge you to vote “AGAINST” Proposal 1 by signing, dating and returning the enclosed GOLD proxy card in the enclosed postage paid envelope. You may also vote by telephone using the toll-free number on the GOLD proxy card or via the Internet using the Internet address on the GOLD proxy card.
 
The company has indicated that if the board reduction proposal is rejected by its shareholders, it will interpret the rejection as the shareholders’ decision to accept our position that the board currently consists of 13 directors and that five seats are up for election at the 2009 Annual Meeting.
 
The accompanying GOLD proxy card will be voted in accordance with your instruction on such card. You may vote for or vote against, or abstain from voting on Proposal 1 described above by marking the proper box on the GOLD proxy card. If you return a signed GOLD proxy card without providing voting instructions, your shares will be voted “AGAINST” the determination that the number of directors constituting the board is 12, rather than 13.
 
Proposal 2A: Election of Four Class III Directors
 
We intend to nominate William A. Ackman, Michael L. Ashner, James L. Donald and Richard W. Vague for election as Class III directors of Target at the 2009 Annual Meeting, regardless of whether the board reduction proposal described above is passed. If the board reduction proposal is rejected by the shareholders and all of the Pershing Square Nominees (including Professor Ronald J. Gilson described in Proposal 2B below) are elected to the board, the Pershing Square Nominees will hold five of 13 seats on the Target board.
 
The Pershing Square Nominees
 
The Pershing Square Nominees named in this Proposal 2A include business leaders of national and international standing. These are highly qualified individuals with extensive experience in key areas of Target’s business, including retail, credit cards and real estate. In contrast to the Pershing Square Nominees, the incumbent non-executive directors of Target do not have comparable executive experience in the company’s main lines of business.
 
We believe that, if elected, these Pershing Square Nominees will bring significant operational experience, new insight and fresh and relevant perspectives to the Target board. If elected, we believe they will substantially improve Target’s ability to navigate through the current economic environment while increasing shareholder value over the long-term.
 
All four of the Pershing Square Nominees named in this Proposal 2A are independent under Target’s board of director independence guidelines, the applicable rules of the New York Stock Exchange, referred to as the NYSE, and the independence standards applicable to Target under paragraph (a)(1) of Item 407 of Regulation S-K under the Securities Exchange Act of 1934, as amended. Furthermore, three of the four candidates — those other than Mr. Ackman — are independent of and unaffiliated with the Pershing Square Funds.
 
Each Pershing Square Nominee named in this Proposal 2A has consented to be named in this proxy statement for the 2009 Annual Meeting and to serve as a director of Target, if elected. If these Pershing Square Nominees are elected, they intend to discharge their duties as directors of the company consistent with all applicable legal requirements, including the general fiduciary obligations imposed upon corporate directors. If elected, each of these Pershing Square Nominees would serve as a Class III director for a three-year term expiring in 2012 and until a successor has been duly elected.
 


5


Table of Contents

         
Pershing Square Nominee
  Age  
Background Information
 
William A. Ackman
  42  
Bill Ackman is the founder and managing member of the general partner of Pershing Square Capital Management, L.P., an investment adviser founded in 2003 and registered with the SEC. Pershing Square is a concentrated research-intensive fundamental value investor in long and occasionally short investments in the public markets, typically focusing on large-cap and mid-cap companies.
         
       
Bill is a member of the Board of Dean’s Advisors of Harvard Business School and a Trustee of the Pershing Square Foundation which has funded grants in areas including inner city education, global health care delivery, poverty, human rights, venture philanthropy, urban planning and beautification and the arts.
         
       
Bill received an MBA from Harvard Business School and a Bachelor of Arts magna cum laude from Harvard College.
         
Michael L. Ashner
  56  
Michael Ashner has served as the CEO of Winthrop Realty Trust, Inc. since December 31, 2003 and Chairman of the board of directors since April 2004. Michael has served as the Executive Chairman of Lexington Realty Trust, a REIT since December 31, 2006. He has also served as the Chairman, President and CEO of Winthrop Realty Partners, L.P. (a real estate investment and management company) since 1996. Michael has served as the Managing Director of AP-USX LLC, which owns a 2.4 million square foot office tower, since 1998. Since 1981, Michael has been the President and principal shareholder of Exeter Capital Corporation, a privately held real estate investment banking firm.
         
       
Michael has served as a director and on the Audit Committee as Chair of NBTY, Inc., a manufacturers and distributor of nutritional supplements, since 1998.
         
       
Michael served as a director and CEO of Shelbourne Properties I, Inc., Shelbourne Properties II, Inc. and Shelbourne Properties III, Inc. (each a REIT) from August 2002 until their liquidation in April 2004.
         
       
Previously, Michael served on as a director for Great Bay Hotel and Casino, Inc. (a publicly traded hotel and gaming company), Interstate Hotel Corporation (a publicly traded hotel management company acquired by Meristar Hospitality), Nexthealth, Inc. (a publicly traded resort company acquired by a management-investor group), Burnham Pacific Properties, Inc. (publicly traded REIT, since liquidated) and Sizeler Property Investors, Inc. (an NYSE publicly traded REIT).
         
       
Michael has an AB in Philosophy and Government from Cornell University and a JD from the University of Miami School of Law.
         
James L. Donald
  55  
Jim Donald served as the CEO of Starbucks Corporation from April 2005 until January 2008. He joined Starbucks in October 2002 as President, North America. Jim served as Chairman, President and CEO of Pathmark Stores, Inc. from 1996 until joining Starbucks in 2005. Jim served as President and Manager of Safeway Inc.’s 130-store Eastern Division from 1994 to 1996. He was responsible for a $2.5 billion business, comprised of 10,000 employees working at 130 stores and two distribution centers. From 1991 until joining Pathmark in 1994, Jim was an executive at Wal-Mart Stores, Inc, were he worked on development and expansion of the Wal-Mart Super Center, supervising all merchandising, distribution, store design and real estate operations. Jim began his career in 1971 as a trainee with Publix Super Markets, Inc. He Joined Albertson’s in 1976 and quickly rose through its managerial ranks in the Florida, Alabama and Texas divisions. He was head of Albertson’s operations in Phoenix, Arizona.

6


Table of Contents

         
Pershing Square Nominee
  Age  
Background Information
 
       
Jim has served as a director for Rite Aid Corporation, a position that he will resign if elected to Target’s board, since June 2008. He has also served as a director for Barry Callebaut AG since December 2008. Jim is a member of the Compensation Committee at each of Rite Aid and Barry Callebaut. In the past he has served as a director on the Boards of Nash Finch Co., Pathmark Stores Inc., Plainbridge LLC, Starbucks and Supermarkets General Holdings Corp.
         
       
Jim earned his Bachelor’s Degree in Business Administration from Century University.
         
Richard W. Vague
  53  
Richard Vague has served as CEO and co-founder of Energy Plus Holdings LLC, a Philadelphia-based, progressive, independent Energy Service Company (ESCO) since 2007. From December 2004 until 2007, Richard served as the Chairman and CEO of Barclays Bank Delaware, a financial institution and credit card issuer. From 2000 until its sale to Barclays PLC in 2007, Richard was CEO of Juniper Financial, a direct consumer credit card bank that he co-founded. From 1985 until 2000, Richard was Chairman and CEO of First USA and Chairman of Paymentech, the merchant processing subsidiary of First USA. Richard co-founded First USA. In 1997, Bank One acquired First USA.
         
       
Richard has served as a director of Heartland Payment Systems, Inc., the fifth largest provider of bank card payment processing services to merchants in the United States processing over $80 billion in transactions a year, since May 2007. Richard has served as a director of Marlton Technologies Inc., a company engaged in the custom design, production and sale of tradeshow exhibits, integrated marketing programs and corporate briefing centers, where he has been the Chairman of the Compensation Committee and a member of the Audit Committee, since 2001.
         
       
Richard also serves as a Director of Agora Marketing and the University of Pennsylvania Press. He is a Member of the Dean’s Advisory Council, Tisch School, New York University and serves on the Foreign Policy Advisory Board—New America Foundation and the U.S. State Department Advisory Committee on International Economic Policy. Richard is a Director of the Philadelphia Live Arts and Fringe Festival.
         
       
Richard received a B.S. in communication from the University of Texas at Austin.
 
We strongly urge you to vote “FOR” the election of the Pershing Square Nominees named in this Proposal 2A by signing, dating and returning the enclosed GOLD proxy card in the enclosed postage paid envelope. You may also vote by telephone using the toll-free number on the GOLD proxy card or over the Internet using the Internet address on the GOLD proxy card.
 
Proposal 2B: Election of the Fifth Class III Director
 
We intend to nominate a fifth nominee, Ronald J. Gilson, for election as a Class III director of Target at the 2009 Annual Meeting assuming the board reduction proposal described above is rejected by the shareholders.
 
Ron is a leading scholar in the law of corporate acquisitions, finance and governance. We believe that, if elected, Ron will bring new ideas to the Target board and improve the company’s corporate governance.
 
Ron is independent under Target’s board of director independence guidelines, the applicable rules of the NYSE, and the independence standards applicable to Target under paragraph (a)(1) of Item 407 of Regulation S-K under the Exchange Act. Furthermore, Ron is independent of and unaffiliated with the Pershing Square Funds.
 
Ron has consented to be named in this proxy statement for the 2009 Annual Meeting and to serve as a director of Target, if elected. If Ron is elected, he intends to discharge his duties as a director of the company consistent with

7


Table of Contents

all applicable legal requirements, including the general fiduciary obligations imposed upon corporate directors. If elected, Ron would serve as a Class III director for a three-year term expiring in 2012 and until a successor has been duly elected.
 
         
Pershing Square Nominee
  Age  
Background Information
 
Ronald J. Gilson
  63   Ron Gilson is the Meyers Professor of Law and Business, Stanford Law School (1979 to present) and the Marc and Eva Stern Professor of Law and Business, Columbia University School of Law (1992 to present).
         
        Ron is a fellow of the American Academy of Arts and Sciences and the European Corporate Governance Institute. Ron has served on the board of directors of American Century Mutual Funds, managing over $26 billion in assets, since 1995 and has been the Chairman of the board of directors since 2005.
         
        Ron was an experienced practitioner of corporate and securities law before entering academia. He is the author of major casebooks on corporate law and the law and finance of corporate acquisitions. He has written and published numerous articles and books on U.S. and comparative corporate governance and on venture capital. Ron served as a member of the California State Senate Commission on Corporate Governance, Shareholder Rights, and Securities Transactions. Ron was also a reporter of the American Law Institute’s Corporate Governance Project.
         
        Ron served on editorial boards for several publications, including Mergers and Acquisitions Law Reporter, the American Law Institute, and the American Academy of Arts and Sciences.
         
        Before joining the Stanford Law School faculty in 1979, Ron was a partner at a San Francisco corporate law firm, Steinhart, Goldberg, Feigenbaum & Ladar. He clerked for Chief Judge David L. Bazelon of the U.S. Court of Appeals for the District of Columbia Circuit.
         
        Ron has an A.B. from Washington University and a J.D. from Yale Law School.
 
We strongly urge you to vote “FOR” the election of Ronald J. Gilson by signing, dating and returning the enclosed GOLD proxy card in the enclosed postage paid envelop. You may also vote by telephone using the toll-free number on the GOLD proxy card or via the Internet using the Internet address on the GOLD proxy card.
 
Certain Additional Information Concerning Proposals 2A & 2B
 
Pershing Square does not intend to compensate the Pershing Square Nominees in connection with this proxy solicitation. If elected, the Pershing Square Nominees will be entitled to such compensation from Target as may be determined by the company for non-employee directors, and which is described in company’s proxy statement.
 
Except as disclosed in this proxy statement, (i) no Pershing Square Nominee or any associate of a Pershing Square Nominee is a party adverse to the company or any of its subsidiaries or has a material interest adverse to the company or any of its subsidiaries in any material proceeding and (ii) there is no event that occurred during the past five years with respect to any of the Pershing Square Nominees that is required to be described under Item 401(f) of Regulation S-K. The information in this proxy statement regarding a particular Pershing Square Nominee has been furnished to Pershing Square by such Pershing Square Nominee.
 
We reserve the right to nominate replacement or additional persons as nominees for any reason, including in the event that any of the Pershing Square Nominees is unable to stand for election or to serve for any reason, to the extent permitted by applicable law, including by reason of the taking or announcement of any action by the company that has, or if consummated would have, the effect of disqualifying any such Pershing Square Nominee to serve as a director.
 
Approximately 7.8% of the outstanding shares of Target’s common stock are held for the account of the Pershing Square Funds and their affiliates, through a combination of common stock and options. Details of the


8


Table of Contents

shares held for the account of the Pershing Square Funds can be found under “PARTICIPANTS IN THE SOLICITATION — Certain Information About the Pershing Square Funds” beginning on page 12 of this proxy statement. All of the shares held for the account of the Pershing Square Funds will be voted “FOR” the election of the Pershing Square Nominees. None of the Pershing Square Nominees (other than William A. Ackman) beneficially owns any interest in securities of Target.
 
Unless otherwise indicated, percentages of the outstanding shares of common stock reported in this proxy statement were computed based upon the           shares of common stock outstanding as of          , as disclosed in the company’s proxy statement for the 2009 Annual Meeting.
 
Agreements with Pershing Square Nominees
 
In connection with the proxy solicitation contemplated hereby, the Pershing Funds have entered into customary indemnification agreements with each Pershing Square Nominee with respect to the nomination of such individual as a director of Target at the 2009 Annual Meeting. Additionally, each Pershing Square Nominee has delivered a consent to Target, consenting to be named as a Pershing Square Nominee and to serve as a director of Target, if elected. The indemnification agreement provides, among other things, that:
 
  •  Pershing Square will reimburse each Pershing Square Nominee for reasonable out of pocket expenses arising from or in connection with such person’s participation in the proxy solicitation described in this proxy statement;
 
  •  Pershing Square will, subject to limited exceptions and to the extent permitted by applicable law, indemnify and hold each Pershing Square Nominee harmless from and against all losses, claims, damages, liabilities and expenses (including, without limitation, attorneys’ fees) incurred by such Pershing Square Nominee and also advance expenses in the event he becomes a party to litigation arising out of or relating to this proxy solicitation (but not in such Pershing Square Nominee’s capacity as a director of the company if elected).
 
Other Matters To Be Considered At The Annual Meeting
 
According to the company’s proxy statement, Target is soliciting proxies with respect to three proposals other than the board reduction proposal and the election of directors. Please refer to the company’s proxy statement for a detailed discussion of these proposals, including various arguments in favor of and against such proposals. These proposals are outlined below.
 
If you have signed the GOLD proxy card and no marking is made, you will be deemed to have given a direction to vote (i) “FOR” Proposal 3 below all shares represented by your GOLD proxy card, (ii) “FOR” Proposal 4 below all shares represented by your GOLD proxy card, and (iii) vote “FOR” Proposal 5 below all shares presented by your GOLD proxy card. In addition, if you have signed the GOLD proxy card and no marking is made, you will be deemed to have given a direction to the proxy holders named on the enclosed GOLD proxy card to vote all shares represented by your GOLD proxy card on such other matters in accordance with their judgment.
 
Proposal 3: Ratification of Independent Registered Public Accounting Firm
 
The company is soliciting proxies to ratify the company’s independent registered public accounting firm for the 2009 fiscal year. We support the ratification of the company’s Audit Committee’s appointment of Ernst & Young LLP as the Company’s independent registered public accounting firm.
 
The accompanying GOLD proxy card will be voted in accordance with your instruction on such card. You may vote for or vote against, or abstain from voting on Proposal 3 described above by marking the proper box on the GOLD proxy card. If you return a signed GOLD proxy card without providing voting instructions, your shares will be voted “FOR” the ratification of the Audit Committee’s appointment of Ernst & Young LLP as Target’s independent registered public accounting firm for the fiscal year ending January 30, 2010.


9


Table of Contents

 
Proposal 4: Approval of the Performance Measures Available Under
the Target Corporation Long-Term Incentive Plan
 
As discussed in further detail in the company’s proxy statement, in March 2009 the board approved an amendment to the list of the performance measures for performance-based awards under the Target Corporation Long-Term Incentive Plan, subject to further approval by shareholders. According to the company’s proxy statement, if this proposal is not adopted, the Compensation Committee of the board intends to continue to grant awards under the plan, but certain awards to executive officers would no longer be fully tax deductible by Target.
 
The accompanying GOLD proxy card will be voted in accordance with your instruction on such card. You may vote for or vote against, or abstain from voting on Proposal 4 described above by marking the proper box on the GOLD proxy card. If you return a signed GOLD proxy card without providing voting instructions, your shares will be voted “FOR” the company’s proposal to approve the performance measures available under the Target Corporation Long-Term Incentive Plan.
 
Proposal 5: Shareholder Proposal Regarding
Annual Advisory Vote on Executive Compensation
 
As discussed in further detail in the company’s proxy statement, Allen Edward Hancock, trustee of Allen Edward Hancock Revocable Living Trust, 2244 Alder Street, Eugene, Oregon 97405, has proposed that the shareholders of the company request that the board adopt a policy that provides shareholders the opportunity at each annual shareholder meeting to vote on an advisory resolution, proposed by management, to ratify the compensation of the company’s named executive officers. The vote by the shareholders will be non-binding and would not affect any compensation paid or awarded to any named executive officer.
 
The accompanying GOLD proxy card will be voted in accordance with your instruction on such card. You may vote for or vote against, or abstain from voting on Proposal 5 described above by marking the proper box on the GOLD proxy card. If you return a signed GOLD proxy card without providing voting instructions, the Pershing Square Funds intend to “ABSTAIN” from voting your shares on the shareholder proposal described above.
 
Other Proposals
 
We are not aware of any other business to be presented at the 2009 Annual Meeting. If any other matters should properly come before the 2009 Annual Meeting, it is intended that the proxy holders named on the enclosed GOLD proxy card will vote the proxies on such other matters in accordance with their judgment.
 
Voting Procedures
 
Record Date; Vote Per Share
 
Target has one class of voting shares outstanding. Only shareholders of record at the close of business on March 30, 2009, the record date, are entitled to receive notice of the 2009 Annual Meeting and to vote the shares of common stock that they held on the record date. Each share of common stock will have one vote on each matter to be voted on.
 
Quorum
 
The presence at the meeting, in person or by proxy, of the holders of a majority of the company’s common stock outstanding on the record date will constitute a quorum, permitting the meeting to conduct its business. According to Target, as of the record date,           shares of the company’s common stock were outstanding. Proxies received but marked as abstentions and broker non-votes will be included in the calculation of the number of shares considered to be present at the meeting for purposes of determining whether there is a quorum.


10


Table of Contents

Vote Required
 
Election of Directors — Because the number of director nominees exceeds the number of directors to be elected at the 2009 Annual Meeting, pursuant to Article VII of the company’s Restated Articles of Incorporation (as amended), directors shall be elected by a plurality of the votes present and entitled to vote on the election of directors at the Annual Meeting. This means that the director nominees who receive the highest number of “FOR” votes will be elected to fill the available seats on the Target board. A properly executed proxy marked “Abstain” with respect to the election of a director nominee will be counted for purposes of determining whether there is a quorum, but will not be considered to have been voted for or against a director nominee.
 
Other Items — For all other proposals described in this proxy statement and any other matters that properly come before the meeting, the affirmative vote of the greater of (i) a majority of the outstanding shares of Target’s common stock entitled to vote on the item and present in person or by proxy at the 2009 Annual Meeting and (ii) a majority of the minimum number of shares entitled to vote that would constitute a quorum for the transaction of business at the 2009 Annual Meeting, will be required for approval provided that a quorum is present in person or by proxy. A properly executed proxy marked “ABSTAIN” with respect to any such matter will be counted for purposes of determining whether there is a quorum and will be considered present in person or by proxy and entitled to vote. Accordingly, an abstention will have the effect of a negative vote.
 
Broker Non-Votes
 
If you hold your shares in street name and do not provide voting instructions to your broker, your shares will not be voted on any proposal on which your broker does not have discretionary authority to vote. In this case, a “broker non-vote” occurs. Shares constituting broker non-votes are not counted or deemed to be present or represented for the purpose of determining whether shareholders have approved a matter, but they are counted as present for the purpose of determining a quorum at the 2009 Annual Meeting.
 
For the 2009 Annual Meeting, because of the solicitation of proxies described in this proxy statement, the election of directors at the 2009 Annual Meeting is a “non-routine matter” and brokers do not have discretionary authority to vote your shares on “non-routine matters.” Therefore, unless you provide specific voting instructions to your broker, they would not have discretionary authority to vote your shares for the election of directors at the 2009 Annual Meeting and your shares would not be voted for any of the nominees. If your shares are held in street name, your broker or nominee has enclosed a voting instruction card with this proxy statement. We strongly encourage you to vote your shares by following the instructions provided on the voting instruction card.
 
Shares Held in the Target 401(k) Plan
 
This proxy statement is being used to solicit voting instructions from participants in the Target 401(k) Plan with respect to shares of Target common stock that are held by the trustee of the plan for the benefit of plan participants. If you are a plan participant and also own shares as a record holder, you will separately receive proxy materials to vote the shares you hold as a record holder. Shares held in the plan that are entitled to vote will be voted by the plan trustee in proportion to participant instructions. If you are a plan participant, you must instruct the plan trustee to vote your shares by utilizing one of the methods described on the voting-instruction form that you receive in connection with your shares held in the plan. If you do not give voting instructions, the trustee will vote the shares allocated to your personal account in proportion to the instructions actually received by the trustee from participants who give voting instructions.
 
SOLICITATION OF PROXIES
 
Pershing Square has retained D.F. King & Co., Inc. to conduct the solicitation, for which D.F. King is to receive a fee not to exceed $     , plus reimbursement for its reasonable out-of-pocket expenses. We have agreed to indemnify D.F. King against certain liabilities and expenses, including certain liabilities under the federal securities laws. Proxies may be solicited by mail, courier services, Internet, advertising, telephone or telecopier or in person. It is anticipated that D.F. King will employ approximately 100 persons to solicit proxies from Target shareholders for


11


Table of Contents

the 2009 Annual Meeting. The total expenditures in furtherance of, or in connection with, the solicitation of proxies is $      to date, and is estimated to be $      in total.
 
In addition, the Pershing Square Funds, certain members and employees of the Pershing Square Funds and the Pershing Square Nominees may solicit the GOLD proxies by mail, telephone, telecopier, the Internet and personal solicitation. For example, it is expected that Ali Namvar and/or Roy J. Katzovicz and/or one or more of the Pershing Square Nominees may attend in-person meetings with institutional shareholders and other significant shareholders. Any members or employees of the Pershing Square Funds and their affiliates who solicit GOLD proxies on behalf of the Pershing Square Funds will do so for no additional compensation, and none of the Pershing Square Nominees will receive any special compensation in connection with the solicitation. Banks, brokerage houses and other custodians, nominees and fiduciaries will be requested to forward the Pershing Square Funds’ solicitation materials to customers for whom such persons hold shares of Target common stock, and the Pershing Square Funds will reimburse them for their reasonable out-of-pocket expenses for doing so.
 
The entire expense of preparing, assembling, printing and mailing this proxy statement and related materials and soliciting GOLD proxies for the proposals endorsed by the Pershing Square Funds will be borne by the Pershing Square Funds. Although no precise estimate can be made at the present time, the Pershing Square Funds currently estimate such expenses to be $     (including professional fees and expenses, but excluding any costs represented by salaries and wages of regular employees of the Pershing Square Funds and its affiliates). The total expenditures incurred to date by the Pershing Square Funds have been approximately $     . To the extent legally permissible, the Pershing Square Funds retain the right to seek reimbursement of their expenses from Target if any of the Pershing Square Nominees is elected. The Pershing Square Funds do not currently intend to submit the question of such reimbursement to a vote of the shareholders.
 
PARTICIPANTS IN THE SOLICITATION
 
The participants in this solicitation of proxies from Target shareholders include the following: (i) Pershing Square, L.P., Pershing Square II, L.P., Pershing Square IV Trade-Co, L.P., Pershing Square IV-I Trade-Co, L.P., Pershing Square International, Ltd., Pershing Square International IV Trade-Co, Ltd. and Pershing Square International IV-I Trade-Co, Ltd., which we refer to, collectively, as the Pershing Square Funds or simply Pershing Square, (ii) William A. Ackman, Ali Namvar and Roy J. Katzovicz, as members or employees of certain of the Pershing Square Funds and (iii) William A. Ackman, Michael L. Ashner, James L. Donald, Ronald J. Gilson and Richard W. Vague, as director nominees, which we collectively refer to as the Pershing Square Nominees.
 
The business address of the Pershing Square Funds and Messrs. Ackman, Namvar and Katzovicz is 888 Seventh Avenue, 42nd Floor, New York, NY 10019, and the business addresses of the Pershing Square Nominees are as follows: Ashner — c/o Winthrop Realty Partners, L.P., Two Jericho Plaza Wing A, Suite 111, Jericho, NY 11753; Donald — 4315 NE 33rd St, Seattle, WA 98105; Gilson — Stanford Law School, 559 Nathan Abbott Way, Stanford, CA 94305 and Vague — 3711 Market St, 9th Floor, Philadelphia, PA 19104.
 
Certain Information About the Pershing Square Funds
 
Each of Pershing Square, L.P., Pershing Square II, L.P., Pershing Square IV Trade-Co, L.P. and Pershing Square IV-I Trade-Co, L.P. is a Delaware limited partnership principally engaged in the business of investing in securities. Each of Pershing Square International, Ltd., Pershing Square International IV Trade-Co, Ltd. and Pershing Square International IV-I Trade-Co, Ltd is a Cayman Islands exempted company principally engaged in the business of investing in securities.


12


Table of Contents

The Pershing Square Funds have been shareholders of the company since April 17, 2007. As of March 31, 2009, approximately 7.8% of the outstanding shares of Target common stock were held for the account of the Pershing Square Funds and its affiliates, through a combination of common stock and options, as follows:
 
         
    Ownership of Target
 
Pershing Square Fund
  Common Stock(1)  
 
Pershing Square, L.P. 
    9,375,843  
Pershing Square II, L.P. 
    198,808  
Pershing Square IV Trade-Co, L.P. 
    6,229,388  
Pershing Square IV-I Trade-Co, L.P. 
    4,645,836  
Pershing Square International, Ltd. 
    17,311,078  
Pershing Square International IV Trade-Co, Ltd. 
    3,193,956  
Pershing Square International IV-I Trade-Co, Ltd. 
    12,431,220  
Pershing Square IVA, L.P. 
    5,005,106  
         
Total
    58,391,235  
 
 
(1) The Pershing Square Funds own the Target common stock listed above through a combination of shares and options. However, because they do not have investment or voting power over such shares, they do not “beneficially own” such shares for purposes of Rule 13d-3 under the Exchange Act. Pershing Square Capital Management, L.P., the investment advisor to the above-named funds, its sole general partner, PS Management GP, LLC, Pershing Square GP, LLC, the sole general partner of the first two of the funds listed above, and Pershing Square Holdings GP, LLC, the sole general partner of the third and fourth funds listed above, together with Mr. Ackman, would be considered the beneficial owners of such shares for purposes of Rule 13d-3.
 
Pershing Square Capital Management, L.P., a Delaware limited partnership, serves as investment advisor to the Pershing Square Funds with respect to 58,391,235 shares of Target common stock (including shares of Target common stock and shares subject to certain stock-settled American-style call options) held for the accounts of the Pershing Square Funds. PS Management GP, LLC, a Delaware limited liability company, serves as the general partner of Pershing Square Capital Management, L.P. Pershing Square GP, LLC, a Delaware limited liability company, serves as the general partner of each of Pershing Square, L.P. and Pershing Square II, L.P. Pershing Square Holdings GP, LLC, a Delaware limited liability company, serves as the general partner of each of Pershing Square IV Trade-Co, L.P. and Pershing Square IV-I Trade-Co, L.P.
 
William A. Ackman, Ali Namvar and Roy J. Katzovicz are employees of Pershing Square Capital Management, L.P. who may also participate in the solicitation of proxies described in this proxy statement. Mr. Ackman is also the managing member of each of PS Management GP, LLC, Pershing Square GP, LLC and Pershing Square Holdings GP, LLC. Messrs. Namvar and Katzovicz do not own beneficially any interest in securities of Target and will not receive any compensation in connection with the solicitation of proxies. In light of his managing member role in the controlling affiliates of Pershing Square Capital Management, L.P., investment advisor to the Pershing Square Funds, Mr. Ackman may be deemed to be the beneficial owner of the shares of Common Stock held for the accounts of the Pershing Square Funds. Mr. Ackman will not receive any compensation in connection with the solicitation of proxies.
 
Additional Information Concerning the Participants
 
Each participant in the solicitation of proxies described in this proxy statement has an interest in the election of directors and the adoption of additional proposal(s) at the 2009 Annual Meeting (i) indirectly through the beneficial ownership (if any) of Target common stock and options and (ii) pursuant to the indemnification agreement described under “Agreements with Pershing Square Nominees” beginning on page 9 of this proxy statement.
 
Other than as disclosed in this proxy statement, there are no arrangements or understandings between any Pershing Square Fund and any Pershing Square Nominee or any other person or persons with respect to the nomination of the Pershing Square Nominees.


13


Table of Contents

Other than as disclosed in this proxy statement:
 
  1.  no participant directly or indirectly beneficially owns any securities of Target;
 
  2.  no participant owns any securities of Target which are owned of record but not beneficially;
 
  3.  no participant is, or was within the past year, a party to any contract, arrangement or understanding with any person with respect to any securities of the company, including, but not limited to, joint ventures, loan or option arrangements, puts or calls, guarantees against loss or guarantees of profit, division of losses or profits or the giving or withholding of proxies;
 
  4.  none of the associates of any participant beneficially owns, directly or indirectly, any securities of the company;
 
  5.  no participant owns any securities of any parent or subsidiary of the company, directly or indirectly;
 
  6.  no participant or any associate of any participant has engaged in or had a direct or indirect material interest in any transaction, or series of similar transactions, since January 1, 2006, or any currently proposed transaction, or series of similar transactions, to which the company or any of its subsidiaries was or is to be a party, in which the amount involved exceeds $120,000;
 
  7.  no Participant or any associate of any Participant has any arrangement or understanding with any person (a) with respect to any future employment by the company or its affiliates or (b) with respect to future transactions to which the company or any of its affiliates will or may be a party; and
 
  8.  no person who is a party to an arrangement or understanding pursuant to which a nominee for election as director is proposed to be elected (including, without limitation, any participant), has a substantial interest, direct or indirect, by security holding or otherwise, in any matter to be acted on at the 2009 Annual Meeting.
 
For the purposes of the foregoing, the term “associates” shall have the meaning as that term is defined in Rule 14a-1 of Regulation 14A under the Exchange Act.
 
Additional information regarding the participants, including transactions in the securities of Target effected during the past two years, is set forth on Appendix A.
 
ADDITIONAL INFORMATION
 
The company is subject to the periodic reporting requirements of the Exchange Act and, in accordance therewith, is required to file reports, proxy statements and other information with the SEC. Reports, registration statements, proxy statements and other information filed by the company with the SEC may be inspected at, and copies may be obtained from, the public reference facilities maintained at the SEC at 100 F Street, N.E., Washington, DC 20549. Copies of such material can also be obtained upon written request addressed to the SEC, Public Reference Section, 100 F Street, N.E., Washington, DC 20549, at prescribed rates. You may obtain information on the operation of the SEC’s Public Reference Room by calling the SEC at (800) SEC-0330. The SEC also maintains a web site on the Internet (http://www.sec.gov) where reports, proxy and information statements and other information regarding issuers and others that file electronically with the SEC may be obtained free of charge.
 
Pershing Square has omitted from this proxy statement certain disclosure required by applicable law to be included in the company’s proxy statement. Such disclosure includes, among other things, information regarding securities of Target beneficially owned by Target’s director’s, nominees and management; certain shareholder’s beneficial ownership of more than 5% of Target’s voting securities; information concerning executive compensation; and information concerning the procedures for submitting shareholder proposals and director nominations intended for consideration at the 2010 annual meeting of shareholders of Target and for consideration for inclusion in the proxy materials for that meeting. Please refer to the company’s proxy statement for such information. Pershing Square takes no responsibility for the accuracy or completeness of information contained in the company’s proxy statement.


14


Table of Contents

If you would like additional copies of the Pershing Square Funds’ proxy materials, or if you would like assistance in completing and returning a GOLD proxy, please contact D.F. King at:
 
D.F. King & Co., Inc.
48 Wall Street
New York, NY 10005
Toll-free: (800) 290-6427
Banks and brokers: (212) 269-5550
 
Dated: April   , 2009
 
Sincerely,
The Pershing Square Funds


15


Table of Contents

 
APPENDIX A
 
ADDITIONAL INFORMATION OF THE PARTICIPANTS
 
The following is a summary of all transactions in Target common stock over the last two years by the Pershing Square Funds.
 
Common Stock
 
                                                 
Name
  Buy/Sell     Security     Trade Date     Quantity     Trade Amount     Per Share Cost  
 
Pershing Square International, Ltd. 
    BY       Common Stock       4/17/2007       36,194     $ 2,193,479     $ 60.60  
Pershing Square International, Ltd. 
    BY       Common Stock       4/17/2007       246,729     $ 14,956,391     $ 60.62  
Pershing Square International, Ltd. 
    BY       Common Stock       4/18/2007       236,053     $ 14,324,357     $ 60.68  
Pershing Square International, Ltd. 
    BY       Common Stock       4/18/2007       36,783     $ 2,234,946     $ 60.76  
Pershing Square International, Ltd. 
    BY       Common Stock       4/19/2007       160,302     $ 9,812,069     $ 61.21  
Pershing Square International, Ltd. 
    BY       Common Stock       4/19/2007       113,171     $ 6,887,055     $ 60.86  
Pershing Square International, Ltd. 
    BY       Common Stock       4/19/2007       55,845     $ 3,419,389     $ 61.23  
Pershing Square International, Ltd. 
    BY       Common Stock       4/20/2007       11,165     $ 692,003     $ 61.98  
Pershing Square International, Ltd. 
    SL       Common Stock       4/27/2007       11,165     $ 678,487     $ 60.77  
Pershing Square International, Ltd. 
    SL       Common Stock       4/27/2007       55,845     $ 3,393,649     $ 60.77  
Pershing Square International, Ltd. 
    SL       Common Stock       4/27/2007       160,302     $ 9,741,403     $ 60.77  
Pershing Square International, Ltd. 
    SL       Common Stock       4/27/2007       113,171     $ 6,877,296     $ 60.77  
Pershing Square International, Ltd. 
    SL       Common Stock       4/27/2007       36,783     $ 2,235,269     $ 60.77  
Pershing Square International, Ltd. 
    SL       Common Stock       4/27/2007       236,053     $ 14,344,721     $ 60.77  
Pershing Square International, Ltd. 
    SL       Common Stock       4/27/2007       246,729     $ 14,993,492     $ 60.77  
Pershing Square International, Ltd. 
    SL       Common Stock       4/27/2007       36,194     $ 2,199,476     $ 60.77  
Pershing Square International, Ltd. 
    BY       Common Stock       4/30/2007       332,437     $ 19,880,132     $ 59.80  
Pershing Square International, Ltd. 
    BY       Common Stock       4/30/2007       331,817     $ 19,877,862     $ 59.91  
Pershing Square International, Ltd. 
    BY       Common Stock       4/30/2007       28,325     $ 1,699,500     $ 60.00  
Pershing Square International, Ltd. 
    BY       Common Stock       5/1/2007       142,113     $ 8,372,644     $ 58.92  
Pershing Square International, Ltd. 
    BY       Common Stock       5/1/2007       13,947     $ 819,317     $ 58.75  
Pershing Square International, Ltd. 
    SL       Common Stock       5/2/2007       28,325     $ 1,669,733     $ 58.95  
Pershing Square International, Ltd. 
    SL       Common Stock       5/2/2007       331,817     $ 19,560,313     $ 58.95  
Pershing Square International, Ltd. 
    SL       Common Stock       5/2/2007       332,437     $ 19,596,861     $ 58.95  
Pershing Square International, Ltd. 
    SL       Common Stock       5/2/2007       142,113     $ 8,377,433     $ 58.95  
Pershing Square International, Ltd. 
    SL       Common Stock       5/2/2007       13,947     $ 822,163     $ 58.95  
Pershing Square International, Ltd. 
    BY       Common Stock       5/7/2007       110,900     $ 6,578,821     $ 59.32  
Pershing Square International, Ltd. 
    BY       Common Stock       5/8/2007       242,067     $ 14,326,469     $ 59.18  
Pershing Square International, Ltd. 
    BY       Common Stock       5/8/2007       311,940     $ 18,413,163     $ 59.03  
Pershing Square International, Ltd. 
    BY       Common Stock       5/8/2007       113,268     $ 6,673,184     $ 58.91  
Pershing Square International, Ltd. 
    BY       Common Stock       5/9/2007       186,890     $ 11,041,031     $ 59.08  
Pershing Square International, Ltd. 
    SL       Common Stock       5/11/2007       110,900     $ 6,459,826     $ 58.25  
Pershing Square International, Ltd. 
    SL       Common Stock       5/11/2007       242,067     $ 14,100,187     $ 58.25  
Pershing Square International, Ltd. 
    SL       Common Stock       5/11/2007       186,890     $ 10,886,176     $ 58.25  
Pershing Square International, Ltd. 
    SL       Common Stock       5/11/2007       311,940     $ 18,170,227     $ 58.25  
Pershing Square International, Ltd. 
    SL       Common Stock       5/11/2007       113,268     $ 6,597,760     $ 58.25  
Pershing Square International, Ltd. 
    BY       Common Stock       5/22/2007       638,891     $ 37,187,545     $ 58.21  
Pershing Square International, Ltd. 
    BY       Common Stock       5/22/2007       84,954     $ 4,938,232     $ 58.13  
Pershing Square International, Ltd. 
    BY       Common Stock       5/22/2007       226,545     $ 13,184,647     $ 58.20  
Pershing Square International, Ltd. 
    BY       Common Stock       1/11/2008       916,954     $ 45,801,852     $ 49.95  
Pershing Square International, Ltd. 
    BY       Common Stock       1/14/2008       661,035     $ 33,375,657     $ 50.49  
Pershing Square International, Ltd. 
    BY       Common Stock       1/15/2008       622,679     $ 31,053,002     $ 49.87  
Pershing Square International, Ltd. 
    BY       Common Stock       3/17/2008       496,939     $ 24,177,921     $ 48.65  
Pershing Square International, Ltd. 
    BY       Common Stock       3/18/2008       691,496     $ 34,796,839     $ 50.32  
Pershing Square International, Ltd. 
    BY       Common Stock       3/19/2008       520,083     $ 26,587,111     $ 51.12  
Pershing Square International, Ltd. 
    BY       Common Stock       3/27/2008       2,077,062     $ 105,888,621     $ 50.98  
Pershing Square International, Ltd. 
    BY       Common Stock       3/28/2008       299,000     $ 15,001,518     $ 50.17  
Pershing Square International, Ltd. 
    BY       Common Stock       3/28/2008       537,474     $ 26,927,447     $ 50.10  
Pershing Square International, Ltd. 
    BY       Common Stock       3/28/2008       299,000     $ 14,955,382     $ 50.02  
Pershing Square International, Ltd. 
    BY       Common Stock       3/28/2008       299,000     $ 14,893,668     $ 49.81  
Pershing Square International, Ltd. 
    BY       Common Stock       3/31/2008       1,829,716     $ 92,730,007     $ 50.68  
Pershing Square International, Ltd. 
    BY       Common Stock       6/17/2008       419,743     $ 22,035,542     $ 52.50  
Pershing Square International, Ltd. 
    BY       Common Stock       6/18/2008       152,112     $ 7,883,463     $ 51.83  
Pershing Square International, Ltd. 
    BY       Common Stock       6/18/2008       152,112     $ 7,871,096     $ 51.75  
Pershing Square International, Ltd. 
    BY       Common Stock       6/18/2008       245,277     $ 12,502,480     $ 50.97  
Pershing Square International, Ltd. 
    BY       Common Stock       6/20/2008       56,932     $ 2,858,943     $ 50.22  
Pershing Square International, Ltd. 
    BY       Common Stock       11/19/2008       3,852,657     $ 103,867,633     $ 26.96  
Pershing Square International, Ltd. 
    BY       Common Stock       2/6/2009       948,917     $ 55,063,390     $ 58.03  


A-1


Table of Contents

                                                 
Name
  Buy/Sell     Security     Trade Date     Quantity     Trade Amount     Per Share Cost  
 
Pershing Square, L.P. 
    BY       Common Stock       4/17/2007       28,243     $ 1,711,622     $ 60.60  
Pershing Square, L.P. 
    BY       Common Stock       4/17/2007       192,533     $ 11,671,100     $ 60.62  
Pershing Square, L.P. 
    BY       Common Stock       4/18/2007       184,133     $ 11,173,706     $ 60.68  
Pershing Square, L.P. 
    BY       Common Stock       4/18/2007       28,692     $ 1,743,335     $ 60.76  
Pershing Square, L.P. 
    BY       Common Stock       4/19/2007       124,939     $ 7,647,504     $ 61.21  
Pershing Square, L.P. 
    BY       Common Stock       4/19/2007       88,205     $ 5,367,742     $ 60.86  
Pershing Square, L.P. 
    BY       Common Stock       4/19/2007       43,525     $ 2,665,036     $ 61.23  
Pershing Square, L.P. 
    BY       Common Stock       4/20/2007       8,709     $ 539,781     $ 61.98  
Pershing Square, L.P. 
    SL       Common Stock       4/27/2007       8,709     $ 529,238     $ 60.77  
Pershing Square, L.P. 
    SL       Common Stock       4/27/2007       43,525     $ 2,644,974     $ 60.77  
Pershing Square, L.P. 
    SL       Common Stock       4/27/2007       124,939     $ 7,592,427     $ 60.77  
Pershing Square, L.P. 
    SL       Common Stock       4/27/2007       88,205     $ 5,360,136     $ 60.77  
Pershing Square, L.P. 
    SL       Common Stock       4/27/2007       28,692     $ 1,743,586     $ 60.77  
Pershing Square, L.P. 
    SL       Common Stock       4/27/2007       184,133     $ 11,189,591     $ 60.77  
Pershing Square, L.P. 
    SL       Common Stock       4/27/2007       192,533     $ 11,700,051     $ 60.77  
Pershing Square, L.P. 
    SL       Common Stock       4/27/2007       28,243     $ 1,716,301     $ 60.77  
Pershing Square, L.P. 
    BY       Common Stock       4/30/2007       250,629     $ 14,987,915     $ 59.80  
Pershing Square, L.P. 
    BY       Common Stock       4/30/2007       250,161     $ 14,986,170     $ 59.91  
Pershing Square, L.P. 
    BY       Common Stock       4/30/2007       21,354     $ 1,281,240     $ 60.00  
Pershing Square, L.P. 
    BY       Common Stock       5/1/2007       107,156     $ 6,313,139     $ 58.92  
Pershing Square, L.P. 
    BY       Common Stock       5/1/2007       10,517     $ 617,821     $ 58.75  
Pershing Square, L.P. 
    SL       Common Stock       5/2/2007       21,354     $ 1,258,799     $ 58.95  
Pershing Square, L.P. 
    SL       Common Stock       5/2/2007       250,161     $ 14,746,765     $ 58.95  
Pershing Square, L.P. 
    SL       Common Stock       5/2/2007       250,629     $ 14,774,353     $ 58.95  
Pershing Square, L.P. 
    SL       Common Stock       5/2/2007       107,156     $ 6,316,750     $ 58.95  
Pershing Square, L.P. 
    SL       Common Stock       5/2/2007       10,517     $ 619,968     $ 58.95  
Pershing Square, L.P. 
    BY       Common Stock       5/7/2007       83,668     $ 4,963,361     $ 59.32  
Pershing Square, L.P. 
    BY       Common Stock       5/8/2007       182,616     $ 10,807,927     $ 59.18  
Pershing Square, L.P. 
    BY       Common Stock       5/8/2007       235,330     $ 13,891,036     $ 59.03  
Pershing Square, L.P. 
    BY       Common Stock       5/8/2007       85,450     $ 5,034,287     $ 58.91  
Pershing Square, L.P. 
    BY       Common Stock       5/9/2007       140,995     $ 8,329,660     $ 59.08  
Pershing Square, L.P. 
    SL       Common Stock       5/11/2007       83,668     $ 4,873,586     $ 58.25  
Pershing Square, L.P. 
    SL       Common Stock       5/11/2007       182,616     $ 10,637,219     $ 58.25  
Pershing Square, L.P. 
    SL       Common Stock       5/11/2007       140,995     $ 8,212,833     $ 58.25  
Pershing Square, L.P. 
    SL       Common Stock       5/11/2007       235,330     $ 13,707,763     $ 58.25  
Pershing Square, L.P. 
    SL       Common Stock       5/11/2007       85,450     $ 4,977,386     $ 58.25  
Pershing Square, L.P. 
    BY       Common Stock       5/22/2007       481,995     $ 28,055,194     $ 58.21  
Pershing Square, L.P. 
    BY       Common Stock       5/22/2007       64,092     $ 3,725,559     $ 58.13  
Pershing Square, L.P. 
    BY       Common Stock       5/22/2007       170,911     $ 9,946,815     $ 58.20  
Pershing Square, L.P. 
    BY       Common Stock       1/11/2008       649,172     $ 32,426,141     $ 49.95  
Pershing Square, L.P. 
    BY       Common Stock       1/14/2008       464,721     $ 23,463,763     $ 50.49  
Pershing Square, L.P. 
    BY       Common Stock       1/15/2008       527,345     $ 26,298,695     $ 49.87  
Pershing Square, L.P. 
    BY       Common Stock       3/18/2008       305,051     $ 15,350,502     $ 50.32  
Pershing Square, L.P. 
    BY       Common Stock       3/19/2008       479,917     $ 24,533,789     $ 51.12  
Pershing Square, L.P. 
    BY       Common Stock       3/27/2008       1,556,875     $ 79,369,487     $ 50.98  
Pershing Square, L.P. 
    BY       Common Stock       3/28/2008       198,211     $ 9,944,702     $ 50.17  
Pershing Square, L.P. 
    BY       Common Stock       3/28/2008       356,791     $ 17,875,229     $ 50.10  
Pershing Square, L.P. 
    BY       Common Stock       3/28/2008       198,211     $ 9,914,118     $ 50.02  
Pershing Square, L.P. 
    BY       Common Stock       3/28/2008       198,211     $ 9,873,207     $ 49.81  
Pershing Square, L.P. 
    BY       Common Stock       3/31/2008       1,155,594     $ 58,565,504     $ 50.68  
Pershing Square, L.P. 
    BY       Common Stock       6/17/2008       80,257     $ 4,213,308     $ 52.50  
Pershing Square, L.P. 
    BY       Common Stock       6/18/2008       96,575     $ 5,005,164     $ 51.83  
Pershing Square, L.P. 
    BY       Common Stock       6/18/2008       96,575     $ 4,997,312     $ 51.75  
Pershing Square, L.P. 
    BY       Common Stock       6/18/2008       153,453     $ 7,821,944     $ 50.97  
Pershing Square, L.P. 
    BY       Common Stock       6/20/2008       43,068     $ 2,162,737     $ 50.22  
Pershing Square, L.P. 
    SL       Common Stock       11/19/2008       1,000     $ 26,947     $ 26.95  
Pershing Square, L.P. 
    BY       Common Stock       11/19/2008       2,192,523     $ 59,110,420     $ 26.96  
Pershing Square, L.P. 
    SL       Common Stock       12/23/2008       480,995     $ 15,571,068     $ 32.37  
Pershing Square, L.P. 
    SL       Common Stock       12/23/2008       19,005     $ 615,242     $ 32.37  
Pershing Square, L.P. 
    SL       Common Stock       12/24/2008       151,906     $ 4,963,091     $ 32.67  
Pershing Square, L.P. 
    SL       Common Stock       12/24/2008       64,092     $ 2,094,021     $ 32.67  
Pershing Square, L.P. 
    SL       Common Stock       12/24/2008       80,257     $ 2,622,166     $ 32.67  
Pershing Square, L.P. 
    SL       Common Stock       12/24/2008       96,575     $ 3,155,310     $ 32.67  
Pershing Square, L.P. 
    SL       Common Stock       12/24/2008       96,575     $ 3,155,310     $ 32.67  
Pershing Square, L.P. 
    SL       Common Stock       12/24/2008       10,595     $ 346,161     $ 32.67  
Pershing Square, L.P. 
    SL       Common Stock       12/26/2008       469,322     $ 15,204,399     $ 32.40  
Pershing Square, L.P. 
    SL       Common Stock       12/26/2008       30,678     $ 993,860     $ 32.40  
Pershing Square, L.P. 
    BY       Common Stock       2/3/2009       213,202     $ 6,845,916     $ 32.11  
Pershing Square, L.P. 
    BY       Common Stock       2/4/2009       488,021     $ 15,304,339     $ 31.36  
Pershing Square, L.P. 
    BY       Common Stock       2/6/2009       60,672     $ 3,415,362     $ 56.29  


A-2


Table of Contents

                                                 
Name
  Buy/Sell     Security     Trade Date     Quantity     Trade Amount     Per Share Cost  
 
Pershing Square II, L.P. 
    BY       Common Stock       4/17/2007       409     $ 24,787     $ 60.60  
Pershing Square II, L.P. 
    BY       Common Stock       4/17/2007       2,788     $ 169,005     $ 60.62  
Pershing Square II, L.P. 
    BY       Common Stock       4/18/2007       2,665     $ 161,720     $ 60.68  
Pershing Square II, L.P. 
    BY       Common Stock       4/18/2007       415     $ 25,216     $ 60.76  
Pershing Square II, L.P. 
    BY       Common Stock       4/19/2007       1,808     $ 110,667     $ 61.21  
Pershing Square II, L.P. 
    BY       Common Stock       4/19/2007       1,276     $ 77,651     $ 60.86  
Pershing Square II, L.P. 
    BY       Common Stock       4/19/2007       630     $ 38,575     $ 61.23  
Pershing Square II, L.P. 
    BY       Common Stock       4/20/2007       126     $ 7,809     $ 61.98  
Pershing Square II, L.P. 
    SL       Common Stock       4/27/2007       126     $ 7,657     $ 60.77  
Pershing Square II, L.P. 
    SL       Common Stock       4/27/2007       630     $ 38,285     $ 60.77  
Pershing Square II, L.P. 
    SL       Common Stock       4/27/2007       1,808     $ 109,870     $ 60.77  
Pershing Square II, L.P. 
    SL       Common Stock       4/27/2007       1,276     $ 77,541     $ 60.77  
Pershing Square II, L.P. 
    SL       Common Stock       4/27/2007       415     $ 25,219     $ 60.77  
Pershing Square II, L.P. 
    SL       Common Stock       4/27/2007       2,665     $ 161,950     $ 60.77  
Pershing Square II, L.P. 
    SL       Common Stock       4/27/2007       2,788     $ 169,424     $ 60.77  
Pershing Square II, L.P. 
    SL       Common Stock       4/27/2007       409     $ 24,855     $ 60.77  
Pershing Square II, L.P. 
    BY       Common Stock       4/30/2007       3,768     $ 225,331     $ 59.80  
Pershing Square II, L.P. 
    BY       Common Stock       4/30/2007       3,761     $ 225,307     $ 59.91  
Pershing Square II, L.P. 
    BY       Common Stock       4/30/2007       321     $ 19,260     $ 60.00  
Pershing Square II, L.P. 
    BY       Common Stock       5/1/2007       1,626     $ 95,796     $ 58.92  
Pershing Square II, L.P. 
    BY       Common Stock       5/1/2007       536     $ 31,487     $ 58.74  
Pershing Square II, L.P. 
    SL       Common Stock       5/2/2007       321     $ 18,923     $ 58.95  
Pershing Square II, L.P. 
    SL       Common Stock       5/2/2007       3,761     $ 221,708     $ 58.95  
Pershing Square II, L.P. 
    SL       Common Stock       5/2/2007       3,768     $ 222,120     $ 58.95  
Pershing Square II, L.P. 
    SL       Common Stock       5/2/2007       1,626     $ 95,851     $ 58.95  
Pershing Square II, L.P. 
    SL       Common Stock       5/2/2007       536     $ 31,597     $ 58.95  
Pershing Square II, L.P. 
    BY       Common Stock       5/7/2007       1,255     $ 74,449     $ 59.32  
Pershing Square II, L.P. 
    BY       Common Stock       5/8/2007       2,740     $ 162,164     $ 59.18  
Pershing Square II, L.P. 
    BY       Common Stock       5/8/2007       3,530     $ 208,368     $ 59.03  
Pershing Square II, L.P. 
    BY       Common Stock       5/8/2007       1,282     $ 75,529     $ 58.91  
Pershing Square II, L.P. 
    BY       Common Stock       5/9/2007       2,115     $ 124,949     $ 59.08  
Pershing Square II, L.P. 
    SL       Common Stock       5/11/2007       1,255     $ 73,103     $ 58.25  
Pershing Square II, L.P. 
    SL       Common Stock       5/11/2007       2,740     $ 159,603     $ 58.25  
Pershing Square II, L.P. 
    SL       Common Stock       5/11/2007       2,115     $ 123,197     $ 58.25  
Pershing Square II, L.P. 
    SL       Common Stock       5/11/2007       3,530     $ 205,619     $ 58.25  
Pershing Square II, L.P. 
    SL       Common Stock       5/11/2007       1,282     $ 74,675     $ 58.25  
Pershing Square II, L.P. 
    BY       Common Stock       5/22/2007       7,174     $ 417,573     $ 58.21  
Pershing Square II, L.P. 
    BY       Common Stock       5/22/2007       954     $ 55,454     $ 58.13  
Pershing Square II, L.P. 
    BY       Common Stock       5/22/2007       2,544     $ 148,058     $ 58.20  
Pershing Square II, L.P. 
    BY       Common Stock       1/11/2008       8,874     $ 443,256     $ 49.95  
Pershing Square II, L.P. 
    BY       Common Stock       1/14/2008       5,344     $ 269,819     $ 50.49  
Pershing Square II, L.P. 
    BY       Common Stock       1/15/2008       8,976     $ 447,633     $ 49.87  
Pershing Square II, L.P. 
    BY       Common Stock       3/17/2008       3,061     $ 148,929     $ 48.65  
Pershing Square II, L.P. 
    BY       Common Stock       3/18/2008       3,453     $ 173,759     $ 50.32  
Pershing Square II, L.P. 
    BY       Common Stock       3/27/2008       22,063     $ 1,124,772     $ 50.98  
Pershing Square II, L.P. 
    BY       Common Stock       3/28/2008       2,789     $ 139,931     $ 50.17  
Pershing Square II, L.P. 
    BY       Common Stock       3/28/2008       5,735     $ 287,323     $ 50.10  
Pershing Square II, L.P. 
    BY       Common Stock       3/28/2008       2,789     $ 138,925     $ 49.81  
Pershing Square II, L.P. 
    BY       Common Stock       3/28/2008       2,789     $ 139,500     $ 50.02  
Pershing Square II, L.P. 
    BY       Common Stock       3/31/2008       14,690     $ 744,489     $ 50.68  
Pershing Square II, L.P. 
    BY       Common Stock       6/18/2008       1,313     $ 68,048     $ 51.83  
Pershing Square II, L.P. 
    BY       Common Stock       6/18/2008       1,313     $ 67,942     $ 51.75  
Pershing Square II, L.P. 
    BY       Common Stock       6/18/2008       1,270     $ 64,736     $ 50.97  
Pershing Square II, L.P. 
    BY       Common Stock       2/3/2009       6,798     $ 218,284     $ 32.11  
Pershing Square II, L.P. 
    BY       Common Stock       2/4/2009       11,979     $ 375,661     $ 31.36  


A-3


Table of Contents

                                                 
            Trade
      Trade
  Per
Name
  Buy/Sell   Security   Date   Quantity   Amount   Share Cost
 
Pershing Square IV-I Trade-Co, L.P. 
    BY       Common Stock       3/5/2009       100     $ 2,648     $ 26.48  
 
                                                 
            Trade
      Trade
  Per
Name
  Buy/Sell   Security   Date   Quantity   Amount   Share Cost
 
Pershing Square IV Trade-Co, L.P. 
    BY       Common Stock       3/5/2009       100     $ 2,648     $ 26.48  
 
                                                 
            Trade
      Trade
  Per
Name
  Buy/Sell   Security   Date   Quantity   Amount   Share Cost
 
Pershing Square International IV-I Trade-Co, Ltd. 
    BY       Common Stock       3/5/2009       100     $ 2,648     $ 26.48  
 
                                                 
            Trade
      Trade
  Per
Name
  Buy/Sell   Security   Date   Quantity   Amount   Share Cost
 
Pershing Square International IV, Trade-Co, Ltd. 
    BY       Common Stock       3/5/2009       100     $ 2,648     $ 26.48  
 
                                         
            Trade
          Trade
    Per
 
Name
 
Buy/Sell
  Security   Date     Quantity    
Amount
    Share Cost  
 
Pershing Square IV A, L.P. 
  BY   Common Stock     7/9/2007       602,076     $ 40,192,185     $ 66.76  
Pershing Square IV A, L.P. 
  BY   Common Stock     7/10/2007       267,924     $ 17,677,438     $ 65.98  
Pershing Square IV A, L.P. 
  BY   Common Stock     9/14/2007       313,100     $ 20,079,447     $ 64.13  
Pershing Square IV A, L.P. 
  BY   Common Stock     9/17/2007       333,400     $ 21,309,528     $ 63.92  
Pershing Square IV A, L.P. 
  BY   Common Stock     9/18/2007       4,600     $ 293,097     $ 63.72  
Pershing Square IV A, L.P. 
  BY   Common Stock     9/25/2007       1,000,000     $ 61,746,800     $ 61.75  
Pershing Square IV A, L.P. 
  SL   Common Stock     9/27/2007       602,076     $ 37,141,500     $ 61.69  
Pershing Square IV A, L.P. 
  SL   Common Stock     9/27/2007       267,924     $ 16,527,979     $ 61.69  
Pershing Square IV A, L.P. 
  SL   Common Stock     9/27/2007       313,100     $ 19,314,843     $ 61.69  
Pershing Square IV A, L.P. 
  SL   Common Stock     9/27/2007       333,400     $ 20,567,131     $ 61.69  
Pershing Square IV A, L.P. 
  SL   Common Stock     9/27/2007       4,600     $ 283,770     $ 61.69  
Pershing Square IV A, L.P. 
  SL   Common Stock     9/27/2007       130,000     $ 8,019,577     $ 61.69  
Pershing Square IV A, L.P. 
  BY   Common Stock     9/28/2007       1,000,000     $ 63,520,000     $ 63.52  
Pershing Square IV A, L.P. 
  BY   Common Stock     11/20/2007       556,776     $ 28,549,190     $ 51.28  
Pershing Square IV A, L.P. 
  BY   Common Stock     11/21/2007       443,224     $ 22,825,327     $ 51.50  
Pershing Square IV A, L.P. 
  SL   Common Stock     11/21/2007       1,000,000     $ 53,569,180     $ 53.57  
Pershing Square IV A, L.P. 
  SL   Common Stock     11/21/2007       870,000     $ 46,605,187     $ 53.57  
Pershing Square IV A, L.P. 
  SL   Common Stock     11/21/2007       443,224     $ 23,743,146     $ 53.57  
Pershing Square IV A, L.P. 
  SL   Common Stock     11/21/2007       556,776     $ 29,826,034     $ 53.57  
Pershing Square IV A, L.P. 
  BY   Common Stock     11/23/2007       761,300     $ 42,955,591     $ 56.42  
Pershing Square IV A, L.P. 
  BY   Common Stock     11/23/2007       122,900     $ 6,976,640     $ 56.77  
Pershing Square IV A, L.P. 
  BY   Common Stock     12/4/2007       5,000,000     $ 297,150,000     $ 59.43  
Pershing Square IV A, L.P. 
  SL   Common Stock     5/28/2008       5,000,000     $ 261,598,535     $ 52.32  
Pershing Square IV A, L.P. 
  SL   Common Stock     5/28/2008       122,900     $ 6,430,092     $ 52.32  
Pershing Square IV A, L.P. 
  SL   Common Stock     5/28/2008       761,300     $ 39,830,993     $ 52.32  
Pershing Square IV A, L.P. 
  BY   Common Stock     11/19/2008       2,548,220     $ 68,700,011     $ 26.96  
Pershing Square IV A, L.P. 
  SL   Common Stock     11/20/2008       149,000     $ 4,018,731     $ 26.97  
Pershing Square IV A, L.P. 
  BY   Common Stock     11/26/2008       550,000     $ 19,019,000     $ 34.58  
Pershing Square IV A, L.P. 
  BY   Common Stock     12/11/2008       1,325,000     $ 49,753,750     $ 37.55  
Pershing Square IV A, L.P. 
  SL   Common Stock     12/12/2008       200,000     $ 7,149,000     $ 35.74  
Pershing Square IV A, L.P. 
  SL   Common Stock     12/12/2008       150,755     $ 5,397,753     $ 35.80  
Pershing Square IV A, L.P. 
  SL   Common Stock     12/12/2008       149,245     $ 5,343,687     $ 35.80  
Pershing Square IV A, L.P. 
  SL   Common Stock     12/12/2008       1,125,000     $ 40,557,260     $ 36.05  
Pershing Square IV A, L.P. 
  SL   Common Stock     12/12/2008       399,245     $ 14,393,141     $ 36.05  
Pershing Square IV A, L.P. 
  SL   Common Stock     12/15/2008       55,600     $ 1,998,703     $ 35.95  
Pershing Square IV A, L.P. 
  SL   Common Stock     12/15/2008       150,000     $ 5,254,546     $ 35.03  
Pershing Square IV A, L.P. 
  SL   Common Stock     12/15/2008       796,800     $ 27,399,408     $ 34.39  
Pershing Square IV A, L.P. 
  BY   Common Stock     12/18/2008       654,300     $ 23,672,378     $ 36.18  
Pershing Square IV A, L.P. 
  BY   Common Stock     12/19/2008       200,000     $ 6,883,100     $ 34.42  
Pershing Square IV A, L.P. 
  BY   Common Stock     12/22/2008       500,000     $ 16,455,900     $ 32.91  
Pershing Square IV A, L.P. 
  SL   Common Stock     2/3/2009       654,300     $ 20,996,369     $ 32.09  
Pershing Square IV A, L.P. 
  SL   Common Stock     2/3/2009       200,000     $ 6,417,964     $ 32.09  
Pershing Square IV A, L.P. 
  SL   Common Stock     2/3/2009       500,000     $ 16,044,910     $ 32.09  
Pershing Square IV A, L.P. 
  SL   Common Stock     2/3/2009       1,047,575     $ 33,616,493     $ 32.09  
Pershing Square IV A, L.P. 
  SL   Common Stock     2/3/2009       200,000     $ 6,255,245     $ 31.28  


A-4


Table of Contents

Stock-Settled Options
 
                                                 
            Trade
          Trade
    Expiration
    Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Date     Price  
 
Pershing Square International, Ltd. 
  BY   Stock-Settled OTC Call Option     4/27/2007       3,484,289     $ 59,196,837       October 17, 2008     $ 48.56  
Pershing Square International, Ltd. 
  BY   Stock-Settled OTC Call Option     5/11/2007       3,272,126     $ 56,302,163       January 16, 2009     $ 46.56  
Pershing Square International, Ltd. 
  BY   Stock-Settled OTC Call Option     5/16/2007       2,958,275     $ 50,431,193       January 16, 2009     $ 46.07  
Pershing Square International, Ltd. 
  SL   Stock-Settled OTC Call Option     1/11/2008       1,455,482     $ 12,780,587       October 17, 2008     $ 48.56  
Pershing Square International, Ltd. 
  SL   Stock-Settled OTC Call Option     1/14/2008       1,037,197     $ 9,407,377       October 17, 2008     $ 48.56  
Pershing Square International, Ltd. 
  SL   Stock-Settled OTC Call Option     1/15/2008       991,610     $ 8,601,622       October 17, 2008     $ 48.56  
Pershing Square International, Ltd. 
  SL   Stock-Settled OTC Call Option     3/27/2008       2,958,275     $ 31,978,953       January 16, 2009     $ 46.07  
Pershing Square International, Ltd. 
  SL   Stock-Settled OTC Call Option     3/28/2008       736,022     $ 7,253,497       January 16, 2009     $ 46.56  
Pershing Square International, Ltd. 
  SL   Stock-Settled OTC Call Option     3/31/2008       2,536,104     $ 26,192,375       January 16, 2009     $ 46.56  
Pershing Square International, Ltd. 
  BY   Stock-Settled Listed Call Option     9/22/2008       12,825     $ 21,481,875       January 15, 2010     $ 40.00  
 
                                                 
            Trade
          Trade
    Expiration
    Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Date     Price  
 
Pershing Square, L.P. 
  BY   Stock-Settled OTC Call Option     4/27/2007       2,626,851     $ 44,629,268       October 17, 2008     $ 48.56  
Pershing Square, L.P. 
  BY   Stock-Settled OTC Call Option     5/11/2007       2,468,227     $ 42,469,795       January 16, 2009     $ 46.56  
Pershing Square, L.P. 
  BY   Stock-Settled OTC Call Option     5/16/2007       2,230,785     $ 38,029,307       January 16, 2009     $ 46.07  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     1/11/2008       1,030,433     $ 9,048,232       October 17, 2008     $ 48.56  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     1/14/2008       733,980     $ 6,657,199       October 17, 2008     $ 48.56  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     1/15/2008       862,438     $ 7,481,132       October 17, 2008     $ 48.56  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     3/27/2008       2,230,785     $ 24,114,786       January 16, 2009     $ 47.07  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     3/28/2008       530,821     $ 5,231,241       January 16, 2009     $ 46.56  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     3/31/2008       1,937,406     $ 20,009,142       January 16, 2009     $ 46.56  
Pershing Square, L.P. 
  BY   Stock-Settled Listed Call Option     9/22/2008       6,454     $ 10,810,450       January 15, 2010     $ 40.00  
 
                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square, L.P. 
  BY   Stock-Settled OTC Call Option     4/27/2007       39,493     $ 670,972       October 17, 2008     $ 48.56  
Pershing Square, L.P. 
  BY   Stock-Settled OTC Call Option     5/11/2007       37,052     $ 637,539       January 16, 2009     $ 46.56  
Pershing Square, L.P. 
  BY   Stock-Settled OTC Call Option     5/16/2007       33,535     $ 571,688       January 16, 2009     $ 46.07  
Pershing Square, L.P. 
  BY   Stock-Settled Listed Call Option     7/16/2007       120     $ 331,380       January 17, 2009     $ 45.00  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     1/11/2008       14,085     $ 123,680       October 17, 2008     $ 48.56  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     1/14/2008       10,073     $ 91,362       October 17, 2008     $ 48.56  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     1/15/2008       15,335     $ 133,022       October 17, 2008     $ 48.56  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     3/27/2008       33,535     $ 362,513       January 16, 2009     $ 46.07  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     3/28/2008       8,157     $ 80,387       January 16, 2009     $ 46.56  
Pershing Square, L.P. 
  SL   Stock-Settled OTC Call Option     3/31/2008       28,895     $ 298,422       January 16, 2009     $ 46.56  
Pershing Square, L.P. 
  BY   Stock-Settled Listed Call Option     9/22/2008       729     $ 1,221,075       January 15, 2010     $ 40.00  
Pershing Square, L.P. 
  BY   Stock-Settled Listed Call Option     12/30/2008       849     $ 987,107       January 22, 2011     $ 35.00  
Pershing Square, L.P. 
  SL   Stock-Settled Listed Call Option     12/30/2008       729     $ 550,173       January 15, 2010     $ 40.00  
Pershing Square, L.P. 
  SL   Stock-Settled Listed Call Option     12/30/2008       120     $ 1,140       January 17, 2009     $ 45.00  
 
                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square IV-I Trade-Co, L.P. 
  BY   Stock-Settled OTC Call Option     2/3/2009       785,103     $ 7,497,812       January 31, 2011     $ 35.00  
Pershing Square IV-I Trade-Co, L.P. 
  SS   Stock-Settled OTC Call Option     2/3/2009       785,103     $ 1,645,654       January 31, 2011     $ 65.00  
Pershing Square IV-I Trade-Co, L.P. 
  BY   Stock-Settled OTC Call Option     2/4/2009       879,315     $ 8,721,549       January 14, 2011     $ 35.00  
Pershing Square IV-I Trade-Co, L.P. 
  SS   Stock-Settled OTC Call Option     2/4/2009       879,315     $ 2,161,545       January 14, 2011     $ 65.00  
Pershing Square IV-I Trade-Co, L.P. 
  BY   Stock-Settled OTC Call Option     3/1/2009       1,406,282     $ 8,120,312       January 31, 2011     $ 35.00  
Pershing Square IV-I Trade-Co, L.P. 
  SS   Stock-Settled OTC Call Option     3/1/2009       1,406,282     $ 891,771       January 31, 2011     $ 65.00  
Pershing Square IV-I Trade-Co, L.P. 
  BY   Stock-Settled OTC Call Option     3/1/2009       1,575,036     $ 8,919,476       January 14, 2011     $ 35.00  
Pershing Square IV-I Trade-Co, L.P. 
  SS   Stock-Settled OTC Call Option     3/1/2009       1,575,036     $ 1,016,323       January 14, 2011     $ 65.00  


A-5


Table of Contents

                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square IV Trade-Co, L.P. 
  BY   Stock-Settled OTC Call Option     2/3/2009       6,512,152     $ 62,191,703       January 31, 2011     $ 35.00  
Pershing Square IV Trade-Co, L.P. 
  SS   Stock-Settled OTC Call Option     2/3/2009       6,512,152     $ 13,650,122       January 31, 2011     $ 65.00  
Pershing Square IV Trade-Co, L.P. 
  BY   Stock-Settled OTC Call Option     2/4/2009       7,293,610     $ 72,342,192       January 14, 2011     $ 35.00  
Pershing Square IV Trade-Co, L.P. 
  SS   Stock-Settled OTC Call Option     2/4/2009       7,293,610     $ 17,929,256       January 14, 2011     $ 65.00  
Pershing Square IV Trade-Co, L.P. 
  SL   Stock-Settled OTC Call Option     3/1/2009       1,406,282     $ 8,120,312       January 31, 2011     $ 35.00  
Pershing Square IV Trade-Co, L.P. 
  CS   Stock-Settled OTC Call Option     3/1/2009       1,406,282     $ 891,771       January 31, 2011     $ 65.00  
Pershing Square IV Trade-Co, L.P. 
  SL   Stock-Settled OTC Call Option     3/1/2009       2,167,527     $ 12,515,978       January 31, 2011     $ 35.00  
Pershing Square IV Trade-Co, L.P. 
  CS   Stock-Settled OTC Call Option     3/1/2009       2,167,527     $ 1,374,502       January 31, 2011     $ 65.00  
Pershing Square IV Trade-Co, L.P. 
  SL   Stock-Settled OTC Call Option     3/1/2009       1,575,036     $ 8,919,476       January 14, 2011     $ 35.00  
Pershing Square IV Trade-Co, L.P. 
  CS   Stock-Settled OTC Call Option     3/1/2009       1,575,036     $ 1,016,323       January 14, 2011     $ 65.00  
Pershing Square IV Trade-Co, L.P. 
  SL   Stock-Settled OTC Call Option     3/1/2009       2,427,629     $ 13,747,663       January 14, 2011     $ 35.00  
Pershing Square IV Trade-Co, L.P. 
  CS   Stock-Settled OTC Call Option     3/1/2009       2,427,629     $ 1,566,475       January 14, 2011     $ 65.00  
 
                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square International IV-I Trade-Co, Ltd. 
  BY   Stock-Settled OTC Call Option     2/3/2009       1,164,024     $ 11,116,546       January 31, 2011     $ 35.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  SS   Stock-Settled OTC Call Option     2/3/2009       1,164,024     $ 2,439,911       January 31, 2011     $ 65.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  BY   Stock-Settled OTC Call Option     2/4/2009       1,303,707     $ 12,930,911       January 14, 2011     $ 35.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  SS   Stock-Settled OTC Call Option     2/4/2009       1,303,707     $ 3,204,791       January 14, 2011     $ 65.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  BY   Stock-Settled OTC Call Option     3/1/2009       2,167,527     $ 12,515,978       January 31, 2011     $ 35.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  SS   Stock-Settled OTC Call Option     3/1/2009       2,167,527     $ 1,374,502       January 31, 2011     $ 65.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  BY   Stock-Settled OTC Call Option     3/1/2009       2,532,185     $ 14,621,627       January 31, 2011     $ 35.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  SS   Stock-Settled OTC Call Option     3/1/2009       2,532,185     $ 1,605,744       January 31, 2011     $ 65.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  BY   Stock-Settled OTC Call Option     3/1/2009       2,427,629     $ 13,747,663       January 14, 2011     $ 35.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  SS   Stock-Settled OTC Call Option     3/1/2009       2,427,629     $ 1,566,475       January 14, 2011     $ 65.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  BY   Stock-Settled OTC Call Option     3/1/2009       2,836,048     $ 16,060,625       January 14, 2011     $ 35.00  
Pershing Square International IV-I Trade-Co, Ltd. 
  SS   Stock-Settled OTC Call Option     3/1/2009       2,836,048     $ 1,830,016       January 14, 2011     $ 65.00  
 
                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square International IV Trade-Co, Ltd. 
  BY   Stock-Settled OTC Call Option     2/3/2009       4,038,721     $ 38,570,189       January 31, 2011     $ 35.00  
Pershing Square International IV Trade-Co, Ltd. 
  SS   Stock-Settled OTC Call Option     2/3/2009       4,038,721     $ 8,465,563       January 31, 2011     $ 65.00  
Pershing Square International IV Trade-Co, Ltd. 
  BY   Stock-Settled OTC Call Option     2/4/2009       4,523,368     $ 44,865,349       January 14, 2011     $ 35.00  
Pershing Square International IV Trade-Co, Ltd. 
  SS   Stock-Settled OTC Call Option     2/4/2009       4,523,368     $ 11,119,408       January 14, 2011     $ 65.00  
Pershing Square International IV Trade-Co, Ltd. 
  SL   Stock-Settled OTC Call Option     3/1/2009       2,532,185     $ 14,621,627       January 31, 2011     $ 35.00  
Pershing Square International IV Trade-Co, Ltd. 
  CS   Stock-Settled OTC Call Option     3/1/2009       2,532,185     $ 1,605,744       January 31, 2011     $ 65.00  
Pershing Square International IV Trade-Co, Ltd. 
  SL   Stock-Settled OTC Call Option     3/1/2009       2,836,048     $ 16,060,625       January 14, 2011     $ 35.00  
Pershing Square International IV Trade-Co, Ltd. 
  CS   Stock-Settled OTC Call Option     3/1/2009       2,836,048     $ 1,830,016       January 14, 2011     $ 65.00  


A-6


Table of Contents

                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     6/8/2007       5,000,000     $ 95,495,000       January 16, 2009     $ 50.54  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     6/13/2007       5,000,000     $ 146,550,000       December 14, 2007     $ 34.59  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     6/20/2007       13,700,000     $ 263,314,000       December 19, 2008     $ 51.07  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     7/5/2007       14,500,000     $ 264,301,650       October 2, 2008     $ 51.08  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     7/5/2007       14,500,000     $ 290,504,600       April 2, 2009     $ 51.04  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     7/9/2007       4,681,359     $ 88,711,753       October 6, 2008     $ 53.12  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     7/9/2007       4,681,359     $ 97,512,708       April 6, 2009     $ 53.08  
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     12/4/2007       5,000,000     $ 124,320,500       December 14, 2007     $ 34.59  
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     2/22/2008       4,500,000     $ 33,834,150       October 2, 2008     $ 51.08  
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     2/25/2008       4,681,359     $ 33,776,005       October 6, 2008     $ 53.12  
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     2/27/2008       2,760,000     $ 24,732,636       October 2, 2008     $ 51.08  
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     4/8/2008       7,240,000     $ 54,300,000       October 2, 2008     $ 51.08  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     4/8/2008       7,240,000     $ 99,550,000       January 15, 2010     $ 51.03 *
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     4/23/2008       2,500,000     $ 19,221,750       December 19, 2008     $ 51.07  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     4/23/2008       2,500,000     $ 26,729,750       June 19, 2009     $ 51.01 *
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     4/29/2008       1,500,000     $ 12,956,250       December 19, 2008     $ 51.07  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     4/29/2008       1,500,000     $ 17,505,000       June 19, 2009     $ 51.01 *
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     5/9/2008       1,000,000     $ 7,132,900       December 19, 2008     $ 51.07  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     5/9/2008       1,000,000     $ 10,157,700       June 19, 2009     $ 51.01 *
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     7/11/2008       8,700,000     $ 28,240,200       December 19, 2008     $ 51.07  
Pershing Square IV A, L.P. 
  BY   Stock-Settled OTC Call Option     7/11/2008       8,700,000     $ 120,234,000       January 15, 2010     $ 40.00  
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     11/26/2008       5,000,000     $ 2,119,000       January 16, 2009     $ 50.54  
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     12/11/2008       4,681,359     $ 11,309,227       April 6, 2009     $ 53.08  
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     2/3/2009       7,247,394     $ 14,267,945       January 15, 2010     $ 51.03 *
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     2/3/2009       8,700,000     $ 35,670,000       January 15, 2010     $ 40.00  
Pershing Square IV A, L.P. 
  SL   Stock-Settled OTC Call Option     2/26/2009       14,500,000     $ 145,000       April 2, 2009     $ 51.04  
 
 
* Subject shares and/or strike prices may vary from prior Pershing Square Schedule 13D disclosures as such options had self-executing adjustments on account of dividends paid.
 
Cash-Settled Options
 
                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square International, Ltd. 
  BY   Cash-Settled OTC Call Option     12/20/2007       1,100,379     $ 20,342,597       January 15, 2010     $ 40.06 *
Pershing Square International, Ltd. 
  BY   Cash-Settled OTC Call Option     12/21/2007       274,508     $ 4,776,439       January 15, 2010     $ 42.72 *
Pershing Square International, Ltd. 
  BY   Cash-Settled OTC Call Option     12/21/2007       351,409     $ 6,012,608       January 15, 2010     $ 42.77 *
Pershing Square International, Ltd. 
  BY   Cash-Settled OTC Call Option     12/21/2007       58,568     $ 1,017,970       January 15, 2010     $ 42.75 *
Pershing Square International, Ltd. 
  BY   Cash-Settled OTC Call Option     12/21/2007       29,284     $ 550,598       January 15, 2010     $ 40.39 *
Pershing Square International, Ltd. 
  SL   Cash-Settled OTC Call Option     9/22/2008       1,100,808     $ 18,510,576       January 15, 2010     $ 40.06 *
 
                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/20/2007       873,064     $ 16,140,247       January 15, 2010     $ 46.06 *
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/21/2007       221,837     $ 3,859,964       January 15, 2010     $ 42.72 *
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/21/2007       244,900     $ 4,190,239       January 15, 2010     $ 42.77 *
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/21/2007       40,817     $ 709,440       January 15, 2010     $ 42.75 *
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/21/2007       20,408     $ 383,711       January 15, 2010     $ 40.39 *
Pershing Square, L.P. 
  SL   Cash-Settled OTC Call Option     9/22/2008       873,404     $ 14,686,683       January 15, 2010     $ 40.06 *


A-7


Table of Contents

                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/20/2007       26,557     $ 490,957       January 15, 2010     $ 40.06 *
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/21/2007       3,655     $ 63,597       January 15, 2010     $ 42.72 *
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/21/2007       3,691     $ 63,153       January 15, 2010     $ 42.77 *
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/21/2007       615     $ 10,689       January 15, 2010     $ 42.75 *
Pershing Square, L.P. 
  BY   Cash-Settled OTC Call Option     12/21/2007       308     $ 5,791       January 15, 2010     $ 40.39 *
Pershing Square, L.P. 
  SL   Cash-Settled OTC Call Option     9/22/2008       26,567     $ 446,742       January 15, 2010     $ 40.06 *
 
                                                 
            Trade
          Trade
          Strike
 
Name
  Buy/Sell   Security   Date     Quantity     Amount     Expiration Date     Price  
 
Pershing Square IV A, L.P. 
  BY   Cash-Settled OTC Call Option     11/21/2007       6,850,000     $ 112,956,500       11/20/2009     $ 44.95 *
Pershing Square IV A, L.P. 
  BY   Cash-Settled OTC Call Option     11/21/2007       5,352,800     $ 97,099,792       11/20/2009     $ 44.95 *
Pershing Square IV A, L.P. 
  BY   Cash-Settled OTC Call Option     12/20/2007       6,451,613     $ 124,747,099       1/15/2010     $ 41.57 *
Pershing Square IV A, L.P. 
  BY   Cash-Settled OTC Call Option     7/11/2008       4,800,000     $ 69,888,000       3/19/2010     $ 40.00  
Pershing Square IV A, L.P. 
  SL   Cash-Settled OTC Call Option     2/3/2009       3,500,000     $ 7,875,000       11/20/2009     $ 44.95 *
Pershing Square IV A, L.P. 
  SL   Cash-Settled OTC Call Option     2/3/2009       5,358,266     $ 13,606,245       11/20/2009     $ 44.95 *
Pershing Square IV A, L.P. 
  SL   Cash-Settled OTC Call Option     2/3/2009       6,458,201     $ 25,372,334       1/15/2010     $ 41.57 *
Pershing Square IV A, L.P. 
  SL   Cash-Settled OTC Call Option     2/4/2009       3,356,995     $ 7,056,403       11/20/2009     $ 44.95 *
Pershing Square IV A, L.P. 
  SL   Cash-Settled OTC Call Option     2/10/2009       4,800,000     $ 20,630,400       3/19/2010     $ 40.00  
 
 
* Subject shares and/or strike prices may vary from prior Pershing Square Schedule 13D disclosures as such options had self-executing adjustments on account of dividends paid.
 
Total- Return Swaps
 
                                         
                              Unit
 
Name
  Buy/Sell   Security   Trade Date     Expiration Date     Quantity     Price  
 
Pershing Square International, Ltd. 
  BY   Cash-Settled Total Return Swap     5/2/2007       June 19, 2008       1,458,261     $ 59.12  
Pershing Square International, Ltd. 
  SL   Cash-Settled Total Return Swap     5/11/2007       June 19, 2008       1,458,261     $ 58.25  
Pershing Square International, Ltd. 
  BY   Cash-Settled Total Return Swap     1/4/2008       July 31, 2009       503,761     $ 49.33  
Pershing Square International, Ltd. 
  BY   Cash-Settled Total Return Swap     1/10/2008       July 31, 2009       585,658     $ 51.21  
Pershing Square International, Ltd. 
  BY   Cash-Settled Total Return Swap     1/11/2008       July 31, 2009       298,731     $ 49.98  
Pershing Square International, Ltd. 
  SL   Cash-Settled Total Return Swap     3/17/2008       July 31, 2009       298,731     $ 48.69  
Pershing Square International, Ltd. 
  SL   Cash-Settled Total Return Swap     3/18/2008       July 31, 2009       585,658     $ 50.32  
Pershing Square International, Ltd. 
  SL   Cash-Settled Total Return Swap     3/19/2008       July 31, 2009       503,761     $ 51.19  
 
                                         
                              Unit
 
Name
  Buy/Sell   Security   Trade Date     Expiration Date     Quantity     Price  
 
Pershing Square, L.P. 
  BY   Cash-Settled Total Return Swap     5/2/2007       June 19, 2008       1,100,051     $ 59.12  
Pershing Square, L.P. 
  SL   Cash-Settled Total Return Swap     5/11/2007       June 19, 2008       1,100,051     $ 58.25  
Pershing Square, L.P. 
  BY   Cash-Settled Total Return Swap     1/4/2008       July 31, 2009       496,239     $ 49.33  
Pershing Square, L.P. 
  BY   Cash-Settled Total Return Swap     1/10/2008       July 31, 2009       412,114     $ 51.21  
Pershing Square, L.P. 
  BY   Cash-Settled Total Return Swap     1/11/2008       July 31, 2009       197,443     $ 49.98  
Pershing Square, L.P. 
  SL   Cash-Settled Total Return Swap     3/17/2008       July 31, 2009       197,443     $ 48.69  
Pershing Square, L.P. 
  SL   Cash-Settled Total Return Swap     3/18/2008       July 31, 2009       412,114     $ 50.32  
Pershing Square, L.P. 
  SL   Cash-Settled Total Return Swap     3/19/2008       July 31, 2009       496,239     $ 51.19  
 
                                         
                              Unit
 
Name
  Buy/Sell   Security   Trade Date     Expiration Date     Quantity     Price  
 
Pershing Square II, L.P. 
  BY   Cash-Settled Total Return Swap     5/2/2007       June 19, 2008       16,688     $ 59.12  
Pershing Square II, L.P. 
  SL   Cash-Settled Total Return Swap     5/11/2007       June 19, 2008       16,688     $ 58.25  
Pershing Square II, L.P. 
  BY   Cash-Settled Total Return Swap     1/10/2008       July 31, 2009       2,228     $ 51.21  
Pershing Square II, L.P. 
  BY   Cash-Settled Total Return Swap     1/11/2008       July 31, 2009       3,826     $ 49.98  
Pershing Square II, L.P. 
  SL   Cash-Settled Total Return Swap     3/17/2008       July 31, 2009       3,826     $ 48.69  
Pershing Square II, L.P. 
  SL   Cash-Settled Total Return Swap     3/18/2008       July 31, 2009       2,228     $ 50.32  


A-8


Table of Contents

                             
                          Unit
Name
  Buy/Sell   Security   Trade Date   Expiration Date   Quantity     Price
 
Pershing Square IV A, L.P. 
  BY   Cash-Settled Total Return Swap   6/5/2007   June 12, 2009     5,000,000     $63.35
Pershing Square IV A, L.P. 
  BY   Cash-Settled Total Return Swap   9/27/2007   October 20, 2009     1,651,100     $61.70
Pershing Square IV A, L.P. 
  SL   Cash-Settled Total Return Swap   10/17/2007   October 20, 2009     1,651,100     $61.70
Pershing Square IV A, L.P. 
  BY   Cash-Settled Total Return Swap   10/17/2007   October 20, 2009     1,651,100     $63.65
Pershing Square IV A, L.P. 
  SL   Cash-Settled Total Return Swap   11/16/2007   October 20, 2009     1,651,100     $55.00
Pershing Square IV A, L.P. 
  BY   Cash-Settled Total Return Swap   11/16/2007   February 17, 2009     4,000,000     $54.96
Pershing Square IV A, L.P. 
  BY   Cash-Settled Total Return Swap   11/20/2007   February 17, 2009     1,000,000     $52.47
Pershing Square IV A, L.P. 
  SL   Cash-Settled Total Return Swap   11/21/2007   June 12, 2009     5,000,000     $51.11
Pershing Square IV A, L.P. 
  SL   Cash-Settled Total Return Swap   12/17/2007   February 17, 2009     1,000,000     $52.05
Pershing Square IV A, L.P. 
  SL   Cash-Settled Total Return Swap   12/20/2007   February 17, 2009     4,000,000     $51.98
Pershing Square IV A, L.P. 
  BY   Stock-Settled Total Return Swap   2/22/2008   March 24, 2010     4,090,500     $51.82
Pershing Square IV A, L.P. 
  BY   Stock-Settled Total Return Swap   2/25/2008   March 17, 2010     3,260,400     $53.17
Pershing Square IV A, L.P. 
  BY   Stock-Settled Total Return Swap   2/27/2008   March 17, 2010     1,849,100     $54.83
Pershing Square IV A, L.P. 
  BY   Cash-Settled Total Return Swap   5/28/2008   February 3, 2011     5,884,200     $52.32
Pershing Square IV A, L.P. 
  SL   Cash-Settled Total Return Swap   7/11/2008   February 3, 2011     5,884,200     $44.70
Pershing Square IV A, L.P. 
  SL   Stock-Settled Total Return Swap   9/19/2008   March 17, 2010     606,600     $26.96
Pershing Square IV A, L.P. 
  SL   Stock-Settled Total Return Swap   11/19/2008   March 24, 2010     4,090,500     $26.96
Pershing Square IV A, L.P. 
  SL   Stock-Settled Total Return Swap   11/19/2008   March 17, 2010     3,260,400     $26.96
Pershing Square IV A, L.P. 
  SL   Stock-Settled Total Return Swap   11/19/2008   March 17, 2010     1,242,500     $26.96


A-9


Table of Contents

 
IMPORTANT
 
1. If your shares are held in your own name, please mark, date and mail the enclosed GOLD proxy card to our Proxy Solicitor, D.F. King & Co., Inc., in the postage-paid envelope provided.
 
2. If your shares are held in the name of a brokerage firm, bank nominee or other institution, only it can vote such shares and only upon receipt of your specific instructions. Accordingly, you should contact the person responsible for your account and give instructions for a GOLD proxy card to be signed representing your shares.
 
3. If you have already submitted a white proxy card to Target for the 2009 Annual Meeting, you may change your vote to a vote “FOR” the election of the Pershing Square Nominees by marking, signing, dating and returning the enclosed GOLD proxy card for the 2009 Annual Meeting, which must be dated after any proxy you may have submitted to Target. ONLY YOUR LATEST DATED PROXY FOR THE ANNUAL MEETING WILL COUNT AT THE 2009 ANNUAL MEETING.
 
If you have any questions or require any assistance in executing your proxy, please call:
 
D.F. King & Co., Inc.
48 Wall Street, 22nd Floor
New York, New York 10005
Toll-free: (800) 290-6427
Banks and brokers: (212) 269-5550


Table of Contents

 
PROXY CARD
 
TARGET CORPORATION
2008 ANNUAL MEETING OF STOCKHOLDERS
 
THIS PROXY IS SOLICITED ON BEHALF OF PERSHING SQUARE, L.P., PERSHING
SQUARE II, L.P., PERSHING SQUARE IV TRADE-CO, L.P., PERSHING SQUARE IV-I
TRADE-CO, L.P., PERSHING SQUARE INTERNATIONAL, LTD., PERSHING
SQUARE INTERNATIONAL IV TRADE-CO, LTD. AND PERSHING SQUARE
INTERNATIONAL IV-I TRADE-CO, LTD.
 
The undersigned hereby appoints WILLIAM A. ACKMAN, ALI NAMVAR and ROY J. KATZOVICZ and each of them, jointly and severally, as proxies with full power of substitution, and hereby authorizes them to attend the 2009 annual meeting of shareholders of Target Corporation, to be held on Thursday, May 28, 2009, at 1:00 p.m. Central Daylight Time, at the Target Store, 1250 West Sunset Drive, Waukesha, Wisconsin, and any adjournment or postponement thereof, to vote on behalf of the undersigned all shares of common stock of Target Corporation held of record by the undersigned on March 30, 2009 at such meeting and otherwise to represent the undersigned at the meeting with all powers possessed by the undersigned if personally present at the meeting, as specified below subject to the condition set forth in the next two sentences.
 
When properly executed, this proxy will be voted in the manner directed herein by the undersigned stockholder. If no direction is given, this proxy will be voted (i) “AGAINST” the proposal to determine that the size of the board of directors of Target Corporation is 12, (ii) “FOR” the election of William A. Ackman, Michael L. Ashner, James L. Donald and Richard W. Vague as directors of Target Corporation, (iii) “FOR” the election of Ronald J. Gilson as a director of Target Corporation, (iv) “FOR” the ratification of the Audit Committee’s appointment of Ernst & Young LLP as the Independent Registered public accounting firm and (v) “FOR” the approval of the performance measures available under the Target Corporation Long-Term Incentive Plan, and the proxy holders intend to “ABSTAIN” from voting this proxy on the shareholder proposal regarding annual advisory vote on executive compensation. Additionally, the votes entitled to be cast by the undersigned will be cast in the discretion of the proxy holders on any other matter that may properly come before the meeting or any adjournment or postponement thereof. This proxy revokes any previously executed proxy with respect to all proposals.
 
YOUR VOTE IS VERY IMPORTANT — PLEASE VOTE YOUR PROXY TODAY.
 
The undersigned hereby acknowledges receipt of the proxy statement dated April   , 2009 of Pershing Square, L.P., Pershing Square II, L.P., Pershing Square IV Trade-Co, L.P., Pershing Square IV-I Trade-Co, L.P., Pershing Square International, Ltd., Pershing Square International IV Trade-Co, Ltd. and Pershing Square International IV-I Trade-Co, Ltd. and revokes any previously executed proxy with respect to all proposals.


Table of Contents

 
VOTE BY TELEPHONE
 
Have this proxy card available when you call the Toll-Free number [          ]
using a touch-tone telephone and follow the simple instructions presented to you.
 
VOTE BY INTERNET
 
Have this proxy card available when you access the website [          ] and
follow the simple instructions presented to you.
 
VOTE BY MAIL
 
Please mark, sign and date your proxy card and return it in the postage-paid envelope provided or return it
to: Pershing Square, L.P., c/o D.F. King & Co., Inc., 48 Wall Street, New York, NY 10005.
 
 
We encourage you to take advantage of Internet or telephone voting.
Both are available 24 hours a day, 7 days a week.
 
Your Internet or telephone vote must be received by 11:59 p.m. Eastern Daylight Time
on May 27, 2009 in order to be counted in the final tabulation.
 
Your Internet or telephone vote authorizes the named Proxies to vote your shares
in the same manner as if you marked, signed and returned your proxy card.
 
 
TO VOTE BY MAIL, PLEASE DETACH CARD HERE, SIGN AND RETURN IT IN THE ENVELOPE
PROVIDED.


Table of Contents

 
[X] PLEASE MARK VOTES AS IN THIS EXAMPLE.
 
Pershing Square, L.P., Pershing Square II, L.P., Pershing Square IV Trade-Co, L.P., Pershing Square IV-I Trade-Co, L.P., Pershing Square International, Ltd., Pershing Square International IV Trade-Co, Ltd. and Pershing Square International IV-I Trade-Co, Ltd. recommend a vote “AGAINST” Proposal 1, and “FOR” the election of each of the nominees listed in Proposal 2A and Proposal 2B.
 
The Pershing Square makes no recommendation how to vote with respect to the Proposal 3 (ratification of Ernst & Young LLP as the independent registered public accounting firm), Proposal 4 (approval of performance measures available under the Target Corporation Long-Term Incentive Plan) or Proposal 5 (shareholder proposal regarding annual advisory vote on executive compensation).
 
                     
PROPOSAL 1:  Company’s proposal to determine that the number of directors constituting the Board of Directors shall be 12   FOR o   AGAINST      o       ABSTAIN                o    
 
PERSHING SQUARE RECOMMENDS A VOTE “AGAINST” PROPOSAL 1.
                     
PROPOSAL 2A:  To elect William A. Ackman, Michael L. Ashner, James L. Donald and Richard W. Vague as directors of Target Corporation   FOR o
all nominees

  WITHHOLD   o AUTHORITY for all nominees       FOR ALL EXCEPT o
NOMINEE(S)
WRITTEN BELOW†
   
 
 
†  INSTRUCTIONS. If you do not wish your shares voted “For” a particular nominee, mark the “FOR ALL EXCEPT” box and write the name(s) of the nominee(s) you do not support on the line in the box above. Your shares will be voted for the remaining nominee(s).
 
PERSHING SQUARE RECOMMENDS A VOTE “FOR” THE ELECTION OF EACH OF THE NOMINEES LISTED IN PROPOSAL 2A.
 
         
PROPOSAL 2B:  Assuming Proposal 1 is rejected by the shareholders, to elect Ronald J. Gilson as a director of Target Corporation        FOR o

  WITHHOLD o AUTHORITY
 
 
PERSHING SQUARE RECOMMENDS A VOTE “FOR” THE ELECTION OF RONALD J. GILSON.
 
             
             
PROPOSAL 3:  Company’s proposal to ratify the appointment of Ernst & Young LLP as the Independent Registered public accounting firm   FOR o   AGAINST o   ABSTAIN o
             
PROPOSAL 4:  Company’s proposal to approve the performance measures available under the Target Corporation Long-Term Incentive Plan   FOR o   AGAINST o   ABSTAIN o
             
PROPOSAL 5:  Shareholder proposal regarding annual advisory vote on executive compensation   FOR o   AGAINST o   ABSTAIN o
 
Signature
 
Signature if held jointly
 
Dated:          , 2009
 
Please sign exactly as name appears hereon. Joint owners should each sign. When signing as attorney, executor, administrator, trustee or guardian, please give full title as such. If a corporation, please sign in full corporate name by authorized officer, giving full title. If a partnership, please signing partnership name by authorized person, giving full title.