Summary
Boston Scientific Corporation (BSX) filed an 8-K report on April 1, 2005, detailing a material definitive agreement related to the retirement of Robert G. MacLean, Executive Vice President of Human Resources. The agreement, effective March 31, 2005, outlines the terms of Mr. MacLean's departure, including significant financial considerations and consulting services. Key financial terms include a lump-sum retirement payment equivalent to two years' salary, totaling $760,073.08 (less withholdings). The company will also cover executive life insurance premiums until 2008, with a tax gross-up, and transfer certain office equipment to Mr. MacLean. Additionally, the company has engaged Mr. MacLean for transitional and consulting services for a period of one year, with provisions for additional paid services at a daily rate.
Key Highlights
- 1Retirement agreement with Executive Vice President of Human Resources, Robert G. MacLean, effective March 31, 2005.
- 2Mr. MacLean to receive a lump-sum payment equivalent to two years' salary: $760,073.08 (less applicable withholdings).
- 3Boston Scientific will cover executive life insurance premiums for Mr. MacLean until 2008, including tax gross-up.
- 4Transfer of certain office equipment to Mr. MacLean as part of the retirement package.
- 5Company secured transitional and consulting services from Mr. MacLean for up to 50 days in the first year post-retirement at a rate of $3,000 per day for additional services.
- 6Provision for consulting services at a reduced rate of $2,000 per day for the second year if required.
- 7Agreement includes a general release of claims by Mr. MacLean, a standard component for such executive departures.