8-KLeadership ChangesExhibits & Filings

BOSTON SCIENTIFIC CORP 8-K Report, Executive Changes (Dec 16, 2013)

Filed December 16, 2013For Securities:BSX

Summary

Boston Scientific Corporation (BSX) filed an 8-K report on December 16, 2013, primarily detailing a change to its Board of Directors. Effective January 1, 2014, the Board size was increased from ten to eleven directors, with the appointment of David Roux. Mr. Roux's appointment fills a newly created vacancy and he will serve until the next annual stockholders' meeting. This announcement is significant for investors as it indicates potential strategic direction or enhanced governance oversight with the addition of a new board member. Investors should note that Mr. Roux will receive standard director compensation, including a prorated cash retainer and a restricted stock grant, the value of which is tied to the company's stock price on February 3, 2014. The company also plans to enter into an indemnification agreement with Mr. Roux, which is standard practice for board members.

Key Highlights

  • 1Boston Scientific increased its Board of Directors from ten to eleven members.
  • 2David Roux was appointed as a new director, effective January 1, 2014.
  • 3Mr. Roux will serve as a director until the company's 2014 annual meeting of stockholders.
  • 4The appointment is intended to fill a vacancy created by the board expansion.
  • 5Mr. Roux will receive standard non-employee director compensation, including a prorated cash retainer and restricted stock grant.
  • 6The value of the restricted stock grant for Mr. Roux is $59,500, with the number of shares determined by the stock price on February 3, 2014.
  • 7The company will enter into a standard indemnification agreement with Mr. Roux.

Frequently Asked Questions

The 8-K filing states that the Board's size was increased from ten to eleven directors upon the recommendation of the Nominating and Governance Committee. While the specific strategic reasons for the expansion are not detailed in this filing, it often signifies a move to enhance governance, bring in new expertise, or support future growth initiatives.

Mr. Roux will receive standard compensation for non-employee directors. This includes a prorated cash retainer of $25,500 and a restricted stock grant valued at $59,500. The number of shares for the stock grant will be determined based on the company's closing stock price on February 3, 2014.

The primary financial impact relates to the director compensation. The prorated cash retainer and the value of the restricted stock grant represent a new cost for the company. The value of the stock grant is also subject to market fluctuations until the grant date and subsequent vesting.

This 8-K filing does not provide details on Mr. Roux's background or expertise. Investors would typically refer to a press release or proxy statement for such information, which may have been issued concurrently or will be in future filings.