Summary
This 8-K filing from Advanced Micro Devices, Inc. (AMD) on May 15, 2012, primarily details compensation adjustments for its Named Executive Officers. The Compensation Committee approved significant equity awards, a mix of time-based stock options, time-based restricted stock units (RSUs), and performance-based RSUs, to be granted on June 15, 2012. These awards are designed to align executive interests with shareholder value through vesting schedules tied to time and, for performance-based RSUs, a stock price target of $10.00. Additionally, a base salary increase was approved for the Senior Vice President, General Counsel and Secretary.
Key Highlights
- 1Named executive officers (NEOs) received substantial equity awards with grant date fair values up to $6,500,000 for the CEO, Rory P. Read.
- 2Equity awards consist of 25% time-based stock options, 25% time-based RSUs, and 50% performance-based RSUs.
- 3Time-based stock options vest over approximately three years, with initial vesting on June 15, 2013.
- 4Time-based RSUs vest over three years, with vesting dates in August 2013, 2014, and 2015.
- 5Performance-based RSUs are contingent on a weighted average closing stock price of $10.00 over any 30-day period during the three-year vesting period, in addition to continued employment.
- 6The Senior Vice President, General Counsel and Secretary received a base salary increase from $475,000 to $500,000, effective July 1, 2012.
- 7All equity awards are granted under the company's 2004 Equity Incentive Plan, as amended and restated.