Summary
Amgen Inc. (AMGN) filed an 8-K on December 13, 2007, to report amendments to its Amended and Restated Performance Award Program. These changes, effective December 10, 2007, primarily alter the definition of 'retirement eligible' for participants in the program. The key modification lowers the age requirement for retirement eligibility. Previously, participants had to be 65 years old to be considered retirement eligible. The amended program now defines retirement eligibility as either being 65 years of age or being at least 55 years of age with a minimum of 10 years of service with the company. This change is designed to provide greater flexibility for long-term employees nearing retirement and ensure continued focus on performance.
Key Highlights
- 1Amgen amended its Performance Award Program, effective December 10, 2007.
- 2The definition of 'retirement eligible' for performance awards has been updated.
- 3Retirement eligibility is now met at age 65 OR at age 55 with at least 10 years of service.
- 4This change impacts outstanding and future grants of performance units under the program.
- 5Retirement-eligible participants will receive full payout of prior year awards and a pro-rated payout for the year of retirement.
- 6Payouts are made at the conclusion of the applicable performance cycle.
- 7The Performance Program is a long-term, stock-based incentive designed to align executive compensation with superior operating results and shareholder value.