01—Abstract
Summary
Summary of the 8-K/A filed March 15, 2024. Cited figures are marked; the original filing is the authoritative source.
Cencora, Inc. (COR) filed an 8-K/A amendment to its previous filing, providing details on the compensation arrangements for Steven H.
Collis and Robert P. Mauch in light of their upcoming role transitions. This amendment clarifies the financial terms associated with Mr. Collis's retirement as CEO on October 1, 2024, and his subsequent role as Executive Chairman, as well as Mr. Mauch's appointment as the new President and CEO.
Key details include Mr. Mauch's base salary of $1,350,000a and eligibility for standard executive incentive plans, mirroring CEO-level benefits and severance. Mr. Collis will maintain his current compensation through September 30, 2024, and will receive a $1,000,000 base salary during his one-year term as Executive Chairman, also remaining eligible for executive incentive plans. Both agreements include restrictive covenants.
02—Key points
Key Highlights
- Robert P. Mauch appointed President and CEO effective October 1, 2024, with a base salary of $1,350,000.
- Steven H. Collis to retire as CEO on October 1, 2024, and transition to Executive Chairman for one year.
- Steven H. Collis will receive a $1,000,000 base salary during his tenure as Executive Chairman.
- Both executives are eligible for long-term and short-term incentive arrangements consistent with other senior executives.
- Compensation packages for both executives include benefits and perquisites generally aligned with current CEO arrangements.
- Severance arrangements for Mr. Mauch will be consistent with those provided to the Company's CEO.
- Both agreements include restrictive covenants such as non-compete, non-solicitation, confidentiality, and non-disparagement clauses.
03—Questions
Frequently Asked Questions
What is the effective date for the CEO transition and the compensation details?
The CEO transition is effective October 1, 2024. The compensation arrangements for both Steven H. Collis in his new role as Executive Chairman and Robert P. Mauch as the new President and CEO are detailed in agreements dated March 12, 2024, and are effective as of October 1, 2024, for the new roles.
How will Steven H. Collis's compensation change when he moves to Executive Chairman?
During his transition period as CEO until September 30, 2024, Mr. Collis will receive his current base salary and incentive arrangements. For his one-year term as Executive Chairman starting October 1, 2024, he will be paid a base salary of $1,000,000 and remain eligible for the same long-term and short-term incentive arrangements as other executive officers.
What are the key compensation components for the new CEO, Robert P. Mauch?
Robert P. Mauch will receive an annual base salary of $1,350,000. He will also be eligible for long-term and short-term incentive arrangements, as well as benefits and perquisites, consistent with those provided to other executive officers and the Company's CEO, as outlined in the 2024 Proxy Statement. His severance arrangements will also align with the CEO's.
Are there any new obligations or restrictions placed on the executives as part of these agreements?
Yes, both the amended employment agreement with Mr. Mauch and the employment, transition, and release agreement with Mr. Collis include restrictive covenants. These typically cover non-compete clauses, non-solicitation of Company employees, confidentiality, and non-disparagement.
04—Continue