Summary
Adobe Systems Incorporated (ADBE) filed an 8-K on April 18, 2005, primarily reporting the entry into a material definitive agreement concerning the resignation of its Senior Vice President of Worldwide Sales and Field Operations, Jimmie E. Stephens. Mr. Stephens voluntarily resigned as an officer effective March 31, 2005, but will remain employed by the company until November 30, 2005, to assist with the transition. During this period, he will continue to receive his current base salary and benefits, with no modification to his equity awards.
Key Highlights
- 1Jimmie E. Stephens, SVP of Worldwide Sales and Field Operations, resigned voluntarily as an officer, effective March 31, 2005.
- 2Mr. Stephens will remain employed by Adobe through November 30, 2005, to provide transition assistance.
- 3Adobe will continue to provide Mr. Stephens his current base salary and employee benefits until his termination date.
- 4Mr. Stephens' equity awards will not be modified and will continue under existing plan terms.
- 5Upon termination on November 30, 2005, Mr. Stephens will receive a lump sum severance payment of $714,000, less applicable withholdings.
- 6Adobe will cover COBRA health insurance premiums for Mr. Stephens until November 30, 2006, or until he obtains other group health coverage.
- 7The Executive Compensation Committee amended the Executive Severance Plan to ensure coverage for Vice President level and senior employees in the event of a Change of Control, provided they don't have separate individual agreements.