8-KLeadership ChangesExhibits & Filings

ATMOS ENERGY CORP 8-K Report, Executive Changes (Apr 13, 2006)

Filed April 13, 2006For Securities:ATO

Summary

Atmos Energy Corporation (ATO) has filed an 8-K report on April 13, 2006, to announce significant management changes. Kim R. Cocklin has been appointed as the new Senior Vice President, Utility Operations, effective October 1, 2006, succeeding the retiring R. Earl Fischer. Mr. Cocklin brings extensive experience from Piedmont Natural Gas and Williams Gas Pipeline, with a strong background in legal, regulatory, and operational areas. This transition signals continuity and a focus on experienced leadership within the company's utility operations. Investors should note the compensation package and incentives offered to Mr. Cocklin, including a base salary of $375,000, eligibility for incentive plans, a relocation payment, and a significant grant of 60,000 restricted shares that vest over three years. The company has also entered into a change in control severance agreement with Mr. Cocklin, which includes a substantial severance payout under specific conditions, demonstrating a commitment to retaining key talent and ensuring stability during potential future corporate events.

Key Highlights

  • 1Appointment of Kim R. Cocklin as Senior Vice President, Utility Operations, effective October 1, 2006.
  • 2Retirement of current Senior Vice President, Utility Operations, R. Earl Fischer, effective October 1, 2006.
  • 3Mr. Cocklin's extensive background includes roles at Piedmont Natural Gas and Williams Gas Pipeline, with expertise in legal, regulatory, and business development.
  • 4Mr. Cocklin will receive an annual salary of $375,000.
  • 5A one-time grant of 60,000 time-lapse restricted shares of Atmos Energy common stock, vesting over three years.
  • 6A relocation payment of $118,750, plus standard relocation benefits.
  • 7A change in control severance agreement providing 2.5 times total compensation in specific termination scenarios.

Frequently Asked Questions

The main purpose of this 8-K filing is to announce a key management change: the appointment of Kim R. Cocklin as Senior Vice President, Utility Operations, and the upcoming retirement of the current officer, R. Earl Fischer.

Mr. Cocklin will receive an annual salary of $375,000, be eligible for other incentive, benefit, and deferred compensation plans, a one-time cash payment of $118,750 for relocation expenses, and a grant of 60,000 restricted shares of common stock that will vest over three years.

The agreement provides Mr. Cocklin with a lump sum severance payment equal to 2.5 times his total compensation if his employment is terminated within three years following a change in control of the company, excluding terminations for cause, retirement, death, disability, or voluntary termination without constructive cause.

Mr. Cocklin's appointment is effective October 1, 2006, but he is expected to begin his employment with the company in the summer of 2006.