8-KLeadership Changes

ATI INC 8-K Report, Executive Changes (Jan 28, 2011)

Filed January 28, 2011For Securities:ATI

Summary

Allegheny Technologies Incorporated (ATI) filed an 8-K on January 28, 2011, reporting on two key personnel-related events. Firstly, Lynn D. Davis, Group President of ATI Primary Titanium Operations, is retiring effective February 1, 2011. To ensure a smooth transition and leverage his expertise, Mr. Davis will transition to a consulting role until December 31, 2012, focusing on the Rowley, Utah premium grade titanium sponge facility. This transition is accompanied by a consulting and noncompetition agreement with specified monthly payments. Secondly, the filing details bonus payments to executive officers for the 2010 fiscal year under the Company's Annual Incentive Plan (AIP). These payments were authorized by the Personnel and Compensation Committee due to the achievement of key financial and strategic targets. Significant discretionary bonuses were also awarded to the CEO, President & COO, and EVP, Chief Legal Officer, reflecting their contributions to critical growth initiatives.

Key Highlights

  • 1Lynn D. Davis, Group President, ATI Primary Titanium Operations, to retire effective February 1, 2011.
  • 2Mr. Davis will serve as a consultant to ATI through December 31, 2012, focusing on the Rowley, Utah titanium sponge facility.
  • 3Mr. Davis's consulting agreement includes a monthly fee of $30,000 for 2011 and $15,000 for 2012, along with confidentiality and non-competition clauses.
  • 4ATI's executive officers received cash payments under the 2010 Annual Incentive Plan (AIP) for meeting or exceeding established targets.
  • 5Discretionary cash bonuses were awarded to L. Patrick Hassey (CEO), Richard J. Harshman (President & COO), and Jon D. Walton (EVP, Chief Legal Officer) for their roles in critical growth initiatives.
  • 6CEO L. Patrick Hassey received a bonus of $693,206.
  • 7President & COO Richard J. Harshman received a bonus of $350,080.

Frequently Asked Questions

Lynn D. Davis is retiring as Group President of ATI Primary Titanium Operations but will continue to serve as a consultant through December 31, 2012. This arrangement ensures continuity and leverages his expertise in overseeing the completion, operation, and qualification of the Company’s Rowley, Utah premium grade titanium sponge facility.

Mr. Davis will be paid $30,000 per month for the remainder of 2011 and $15,000 per month for 2012 as a consultant. This arrangement is subject to confidentiality and non-competition provisions.

The bonus payments were authorized by the Personnel and Compensation Committee due to the company meeting or exceeding key financial and other targets established under the 2010 Annual Incentive Plan (AIP). Additional discretionary bonuses were also awarded to recognize the officers' critical roles in implementing strategic measures for future growth.

L. Patrick Hassey, Chairman and Chief Executive Officer, received $693,206. Richard J. Harshman, President and Chief Operating Officer, received $350,080. Jon D. Walton, Executive Vice President, Human Resources, Chief Legal and Compliance Officer and Corporate Secretary, received $711,267.