8-KLeadership ChangesExhibits & Filings

CATERPILLAR INC 8-K Report, Executive Changes (May 4, 2018)

Filed May 4, 2018For Securities:CAT

Summary

This 8-K filing from Caterpillar Inc. (CAT) announces a significant change in its financial leadership. Effective September 1, 2018, Andrew Bonfield will assume the role of Chief Financial Officer (CFO), succeeding Brad Halverson who is retiring. To ensure a smooth transition, Joe Creed, currently VP of Finance Services Division, has been appointed as interim CFO starting May 4, 2018, while continuing his VP duties. Mr. Bonfield brings extensive financial experience from his previous roles as CFO at National Grid plc, Cadbury plc, and Bristol-Myers Squibb Company, among others. His compensation package includes a base salary of $800,000, a target annual incentive of 115%, a long-term incentive award valued at $1,500,000, a $800,000 sign-on bonus (subject to repayment conditions), and a $5,360,000 restricted stock unit grant, all with defined vesting schedules aligning with company policies.

Key Highlights

  • 1Caterpillar appoints Andrew Bonfield as the new Chief Financial Officer (CFO) effective September 1, 2018.
  • 2Current CFO, Brad Halverson, is retiring effective May 4, 2018.
  • 3Joe Creed appointed as interim CFO from May 4, 2018, in addition to his current VP role.
  • 4Andrew Bonfield has a strong financial background with experience at National Grid, Cadbury, and Bristol-Myers Squibb.
  • 5Mr. Bonfield's compensation includes an $800,000 base salary, incentive plans, and significant equity awards.
  • 6A cash sign-on bonus of $800,000 and an RSU grant of $5,360,000 are part of Mr. Bonfield's onboarding.
  • 7The filing also discloses a relative of Mr. Creed employed by the company and his compensation.

Frequently Asked Questions

Andrew Bonfield has been appointed as the new Chief Financial Officer (CFO) of Caterpillar. He will officially assume the role effective September 1, 2018.

Mr. Bonfield's compensation includes an annual base salary of $800,000, a target annual cash incentive of 115% of his base salary, a long-term incentive award valued at $1,500,000, a $800,000 cash sign-on bonus, and a $5,360,000 restricted stock unit (RSU) grant. Specific vesting schedules apply to these awards and bonuses.

Joe Creed has been appointed as interim CFO to ensure continuity in financial leadership from May 4, 2018, following the retirement of Brad Halverson and until Andrew Bonfield takes over on September 1, 2018. Mr. Creed will continue to serve as VP of Finance Services Division during this period.

The $800,000 sign-on bonus is conditional. Mr. Bonfield must repay the entire bonus amount, including any taxes withheld, if he voluntarily terminates his employment before his first anniversary with the company or if the company terminates his employment for cause.