Summary
Becton, Dickinson and Company (BDX) announced a significant leadership change in its finance department via an 8-K filing on August 11, 2021. Effective September 6, 2021, Christopher DelOrefice will assume the role of Executive Vice President and Chief Financial Officer (CFO). Mr. DelOrefice brings extensive financial experience from Johnson & Johnson, where he held several senior finance positions, including CFO for North America Hospital Medical Devices and Vice President of Investor Relations. This appointment follows the announced retirement of the current CFO, Christopher R. Reidy, who will transition to Executive Vice President and Chief Administrative Officer. The company has outlined a competitive compensation package for Mr. DelOrefice, reflecting his experience and the importance of the CFO role. This package includes a substantial base salary, performance-based incentives, and significant equity awards, along with sign-on bonuses and equity to offset forfeited compensation from his previous employer. The filing also details a two-year employment agreement following a change of control, a standard practice for senior executives at BDX.
Key Highlights
- 1Christopher DelOrefice appointed as new Executive Vice President and CFO, effective September 6, 2021.
- 2Current CFO Christopher R. Reidy to transition to Executive Vice President and Chief Administrative Officer role.
- 3Mr. DelOrefice brings substantial financial expertise from leadership roles at Johnson & Johnson.
- 4New CFO will receive a base salary of $720,000 and target annual incentive award of 95% of salary.
- 5Significant equity compensation includes an annual target value of $3,100,000.
- 6Mr. DelOrefice will receive a $680,000 sign-on payment and a $1,720,000 sign-on equity award to compensate for forfeited benefits from Johnson & Johnson.
- 7A two-year employment agreement post-change of control with a severance multiple of two times salary and bonus is in place for Mr. DelOrefice.