8-KLeadership Changes

Autodesk, Inc. 8-K Report, Executive Changes (May 1, 2009)

Filed May 1, 2009For Securities:ADSK

Summary

This 8-K filing from Autodesk, Inc. (ADSK) on May 1, 2009, details the approval of the Autodesk Incentive Plan (AIP) for fiscal year 2010 for the company's executive officers. The AIP is designed as an annual cash incentive program to align executive compensation with the achievement of specific financial and non-financial objectives for the fiscal year. The plan utilizes a performance-based payout structure tied to revenue and non-GAAP operating margin targets for both halves of fiscal year 2010. Key details include that target award percentages of base salary for executive officers will range from 16.7% to 100%. The payout formula is directly linked to performance against these targets, with potential bonuses ranging from zero to exceeding the target amount. Importantly, the Compensation and Human Resources Committee retains discretion to adjust targets and payout levels, particularly in response to economic conditions, and actual bonuses are contingent upon continued employment at the time of payout. This structure aims to incentivize executives while allowing flexibility for the company in a potentially volatile economic environment.

Key Highlights

  • 1Autodesk's Compensation Committee approved executive participation in the FY2010 Autodesk Incentive Plan (AIP).
  • 2The AIP is an annual cash incentive plan designed to motivate executives towards achieving company financial and non-financial goals.
  • 3Executive target award percentages of base salary range from 16.7% to 100%.
  • 4Bonuses are performance-based, linked to achieving specific revenue and non-GAAP operating margin targets for both halves of FY2010.
  • 5The plan allows for potential payouts ranging from zero to exceeding target amounts based on performance.
  • 6The Committee has discretion to adjust AIP targets and payouts based on economic conditions.
  • 7Actual bonus payouts are contingent upon the executive officer being employed on the date of payout.

Frequently Asked Questions

The Autodesk Incentive Plan (AIP) is an annual cash incentive plan designed by Autodesk's Compensation and Human Resources Committee. This 8-K filing reports on the Committee's decision to approve executive officers' eligibility to participate in the AIP for the fiscal year 2010. The plan aims to motivate and reward executives based on their achievement of specific company performance goals.

Bonuses will be determined based on the achievement of pre-set financial and non-financial objectives for fiscal year 2010. Specifically, payouts are linked to revenue targets and non-GAAP operating margin levels for both the first and second halves of the fiscal year. The actual bonus amount can range from zero if targets are not met, up to potentially exceeding the target award percentage for exceptional performance.

Yes, the Compensation and Human Resources Committee has retained discretion to adjust the funding and threshold targets under the AIP, particularly in the second half of the fiscal year, to account for changing economic conditions. The Committee also retains discretion to reduce or eliminate bonuses based on actual performance, though they cannot increase them beyond aggregate funding levels.

Yes, a key condition is that the executive officer must remain an employee of Autodesk on the date that any bonus for fiscal year 2010 is scheduled to be paid out. If an executive has left the company before the payout date, they will not be eligible for any earned bonus.