8-K/ALeadership ChangesExhibits & Filings

CENTERPOINT ENERGY INC 8-K/A Report, Executive Changes (Feb 21, 2023)

Filed February 21, 2023For Securities:CNP

Summary

This 8-K filing from CenterPoint Energy Inc. (CNP) details the finalized separation agreement for former Executive Vice President, Utility Operations, Scott E. Doyle. Mr. Doyle's departure was previously announced in January 2023 due to the elimination of his position. The separation agreement, executed on February 17, 2023, outlines the financial and benefit-related terms of his exit. Key components of the agreement include a significant cash payment totaling approximately $2.1 million, which reflects 1.5 times his base salary and 1 times his target short-term incentive, plus a pro-rated incentive award for 2022. Additionally, Mr. Doyle will receive accelerated vesting for certain stock awards from 2020, 2021, and 2022, though the 2021 and 2022 awards remain subject to performance goals. Other benefits include extended health coverage, outplacement services, financial planning assistance, and potential eligibility for retiree medical benefits.

Key Highlights

  • 1CenterPoint Energy finalized a separation agreement with former EVP, Utility Operations, Scott E. Doyle, effective February 17, 2023.
  • 2The agreement provides Mr. Doyle with a cash separation payment equivalent to 1.5x his base salary and 1x his target short-term incentive, plus his 2022 incentive award.
  • 3Accelerated vesting of 2020, 2021, and 2022 stock awards is included, with 2021 and 2022 awards contingent on performance goals.
  • 4Continued vesting of 2021 and 2022 performance share units is granted, also subject to performance goals.
  • 5Mr. Doyle will receive 18 months of COBRA health coverage at active employee rates.
  • 6Outplacement services for 9 months and financial planning services until December 31, 2023, are provided.
  • 7Eligibility for the company's retiree medical plan upon reaching age 55 is included.

Frequently Asked Questions

Mr. Doyle will receive a lump sum cash payment of $2,092,500. This includes a separation payment (1.5x base salary and 1x target incentive) and his 2022 short-term incentive award based on approved achievement levels.

Yes, the accelerated vesting of his 2021 and 2022 stock awards, as well as the continued vesting of his 2021 and 2022 performance share unit awards, are subject to the achievement of applicable performance goals.

Mr. Doyle is eligible for 18 months of COBRA health coverage at active employee rates, 9 months of outplacement services, financial planning services until December 31, 2023, and potential eligibility for retiree medical plan coverage upon reaching age 55.

Mr. Doyle's departure was in connection with the elimination of his position as Executive Vice President, Utility Operations.