Summary
Carnival Corporation (CCL) filed an 8-K on October 19, 2007, primarily detailing two significant administrative changes. Firstly, the Compensation Committee approved an amendment to the Supplemental Executive Retirement Plan (the "Plan") to allow new elections in 2007 regarding the timing and form of distributions for amounts payable in 2008 or later. This amendment aligns with IRS Notice 2006-79 and Section 409A Treasury Regulations, providing flexibility for executive compensation payouts. Secondly, the Board of Directors adopted the Second Amended and Restated By-Laws. This change updates Article V to permit the issuance of both certificated and uncertificated shares, a necessary step for Carnival to comply with the New York Stock Exchange's Direct Registration System, which became mandatory for listed companies effective January 1, 2008. These by-laws became effective immediately upon adoption on October 15, 2007.
Key Highlights
- 1Amendment to Supplemental Executive Retirement Plan (SERP) approved by the Compensation Committee on October 15, 2007.
- 2The SERP amendment allows for new elections regarding distribution timing and form for certain executive benefits, in compliance with IRS regulations (Notice 2006-79 and Section 409A).
- 3This provides executive participants with flexibility for benefits payable in 2008 or later.
- 4Carnival Corporation's Board of Directors adopted Second Amended and Restated By-Laws, effective October 15, 2007.
- 5The By-Laws were updated to allow for the issuance of both certificated and uncertificated shares.
- 6This change is a preparatory measure for Carnival's participation in the New York Stock Exchange's Direct Registration System.
- 7Compliance with the Direct Registration System is mandatory for all NYSE-listed companies starting January 1, 2008.