8-KMaterial AgreementsExhibits & Filings

Aon plc 8-K Report, Material Agreement (Dec 9, 2005)

Filed December 9, 2005For Securities:AON

Summary

Aon Corporation filed an 8-K on December 9, 2005, to report a material definitive agreement entered into on the same date with its Executive Chairman, Patrick G. Ryan. This agreement outlines specific benefits to be provided to Mr. Ryan by the company, marking a significant executive compensation adjustment. Investors should note that the agreement addresses key components of Mr. Ryan's post-employment or transition package. These include accelerated vesting of his stock options, continued health care coverage, and supplemental pension benefits. While the full details of the agreement are referenced in the filing, these provisions indicate a structured arrangement for a key executive, which could have implications for future executive compensation policies and potential financial liabilities for the company.

Key Highlights

  • 1Aon Corporation entered into a Material Definitive Agreement on December 9, 2005.
  • 2The agreement is with Patrick G. Ryan, the Company's Executive Chairman.
  • 3The agreement details benefits to be provided to Mr. Ryan by the Company.
  • 4Key benefits include accelerated vesting of stock options.
  • 5Health care coverage is also included as part of the agreement.
  • 6Supplemental pension benefits for Mr. Ryan are also addressed.
  • 7The filing provides a summary, with the full agreement referenced as an exhibit.

Frequently Asked Questions

The main purpose of this 8-K filing is to report the entry into a material definitive agreement between Aon Corporation and its Executive Chairman, Patrick G. Ryan, detailing specific benefits to be provided to Mr. Ryan.

The agreement covers three main areas of benefits for Mr. Ryan: accelerated vesting of his stock options, continued health care coverage, and supplemental pension benefits.

Accelerated vesting means Mr. Ryan can exercise his stock options sooner than originally scheduled. For investors, this could mean an increased number of shares potentially available for sale sooner, which might impact share price dynamics depending on the volume and timing of such sales. It also reflects the terms agreed upon for his role or transition.

The complete details of the agreement are available in Exhibit 10.1, which is the Letter Agreement dated December 9, 2005, between Aon Corporation and Patrick G. Ryan. This exhibit is incorporated by reference in the 8-K filing.