Summary
Boston Scientific Corporation (BSX) announced a significant executive change via an 8-K filing on May 7, 2007. The company appointed Sam R. Leno as its new Chief Financial Officer (CFO) and Executive Vice President of Finance and Information Systems, effective June 5, 2007. Mr. Leno brings extensive financial leadership experience from previous roles at Zimmer Holdings, Inc. and Arrow Electronics, Inc., suggesting a strategic move to bolster the company's financial management and strategic planning. The compensation package for Mr. Leno includes a base salary of $600,000, performance-based incentives, a substantial stock option grant of 1.5 million shares, and 500,000 deferred stock units, reflecting a significant investment in aligning executive compensation with shareholder value. The appointment and terms of employment are intended to ensure strong financial oversight as Boston Scientific continues its operations.
Key Highlights
- 1Appointment of Sam R. Leno as Chief Financial Officer (CFO) and Executive Vice President of Finance and Information Systems, effective June 5, 2007.
- 2Mr. Leno has prior extensive experience as CFO and in senior financial roles at Zimmer Holdings, Inc. and Arrow Electronics, Inc.
- 3Annual base salary for Mr. Leno will be $600,000.
- 4Eligibility for participation in the Performance Incentive Plan with a target incentive of 75% of base salary.
- 5Grant of 1,500,000 stock options vesting over four years, with retirement eligibility provisions.
- 6Award of 500,000 deferred stock units vesting over five years, also subject to retirement eligibility criteria.
- 7Comprehensive executive relocation benefits, including a guaranteed minimum net proceeds of $1.3 million per residence.