8-KLeadership Changes

American Water Works Company, Inc. 8-K Report, Executive Changes (Jun 23, 2009)

Filed June 23, 2009For Securities:AWK

Summary

American Water Works Company, Inc. (AWK) filed a Form 8-K on June 23, 2009, reporting significant changes to its Board of Directors. Effective June 19, 2009, the company appointed Ms. Julie A. Dobson and Mr. Stephen P. Adik as new directors, with their terms set to expire at the 2010 annual meeting of stockholders. This filing provides transparency to investors regarding the composition of the company's leadership and governance structure. The report details the compensation arrangements for the newly appointed directors, including an annual retainer, per-meeting fees for board attendance, and equity compensation in the form of Stock Units. Investors can review these details to understand how the company compensates its board members and the potential impact on dilution or shareholder value. The timely disclosure of these appointments and compensation structures is crucial for maintaining investor confidence and ensuring adherence to corporate governance best practices.

Key Highlights

  • 1Appointment of two new directors: Ms. Julie A. Dobson and Mr. Stephen P. Adik.
  • 2New directors' terms will expire at the 2010 annual meeting of stockholders.
  • 3Details provided on compensation for new directors, including annual retainer, meeting fees, and equity awards.
  • 4Annual retainer for the remainder of 2009 for each new director is $21,315.
  • 5Per-meeting fees include $2,000 for board meetings and $1,000 for interim telephonic meetings.
  • 6Annual equity compensation of $50,000 per director, prorated, in the form of Stock Units.
  • 7Reimbursement for reasonable expenses for the new directors is also covered.

Frequently Asked Questions

The primary purpose of this 8-K filing is to report the appointment of two new directors, Ms. Julie A. Dobson and Mr. Stephen P. Adik, to the Board of Directors of American Water Works Company, Inc.

The new directors will receive a prorated annual retainer for the remainder of 2009 ($21,315 each), a fee of $2,000 for each board meeting attended, $1,000 for each interim telephonic board meeting attended, reimbursement for reasonable expenses, and an annual equity compensation of $50,000 each in the form of Stock Units, also prorated.

The terms of Ms. Julie A. Dobson and Mr. Stephen P. Adik will expire at the 2010 annual meeting of stockholders.

No, this specific 8-K filing, under Item 5.02, exclusively details the departure of directors or certain officers; election of directors; appointment of certain officers; and compensatory arrangements of certain officers. The main event reported is the appointment of the two new directors and their compensation.