Summary
Automatic Data Processing, Inc. (ADP) announced a CFO transition in an 8-K filing dated September 13, 2021. Kathleen A. Winters, the current Corporate Vice President and Chief Financial Officer, has decided to retire from the company effective September 30, 2021. She will be succeeded by Don McGuire, who will assume the role of Corporate Vice President and Chief Financial Officer starting October 1, 2021. Mr. McGuire is a long-tenured executive within ADP, having held various senior leadership positions globally since joining the company in 1998. His compensation package for the new role includes a base salary in Canadian dollars, a significant annual bonus target, a one-time restricted stock award, and participation in the company's long-term incentive program with a substantial target equity award value for fiscal year 2022. The filing also details severance provisions for Mr. McGuire under various termination scenarios, including involuntary termination without cause and termination following a change in control.
Key Highlights
- 1Kathleen A. Winters, CFO, is retiring effective September 30, 2021.
- 2Don McGuire appointed as the new Corporate Vice President and Chief Financial Officer, effective October 1, 2021.
- 3Don McGuire is an internal promotion with extensive experience at ADP since 1998, previously serving as President, Employer Services International.
- 4Mr. McGuire's compensation includes a base salary of approximately $650,000 USD (CAD $823,515), a 150% annual target bonus, and significant equity awards.
- 5A one-time restricted stock award of $2.1 million will vest over two years.
- 6Mr. McGuire's long-term incentive compensation for FY2022 includes a target equity award value of $3 million, comprising PSUs and stock options.
- 7The company outlines severance benefits for Mr. McGuire, including salary continuation and accelerated equity vesting in cases of involuntary termination without cause or termination following a change in control.