Summary
Carnival Corporation and Carnival plc filed an 8-K on October 21, 2016, to report an amendment to the employment agreement of its President and Chief Executive Officer, Arnold W. Donald. The amendment, effective October 14, 2016, extends Mr. Donald's employment term by one year, subject to automatic annual renewals. This extension indicates continued confidence in Mr. Donald's leadership. Furthermore, the amendment modifies the long-term incentive award determination process, shifting from specific provisions within the agreement to the discretion of the Boards of Directors, in line with the Carnival Corporation 2011 Stock Plan. This change provides greater flexibility in executive compensation. No other material changes were made to the original employment agreement.
Key Highlights
- 1Amendment to CEO Arnold W. Donald's employment agreement filed.
- 2Employment term extended by one year, effective October 14, 2016.
- 3Agreement includes automatic annual renewal provisions.
- 4Modification to the determination of long-term incentive awards for the CEO.
- 5Long-term incentive awards will now be determined at the discretion of the Boards of Directors.
- 6Compensation arrangement modification aligns with the Carnival Corporation 2011 Stock Plan.
- 7No other material changes were made to the original employment agreement.