8-KLeadership Changes

CISCO SYSTEMS, INC. 8-K Report, Executive Changes (Jul 27, 2009)

Filed July 27, 2009For Securities:CSCO

Summary

This 8-K filing from Cisco Systems, Inc. (CSCO) on July 27, 2009, reports on a planned evolution within its finance organization, effective July 26, 2009. Jonathan Chadwick is transitioning from Senior Vice President, Corporate Controller and Principal Accounting Officer to Senior Vice President, CFO – Global Customer Markets. Simultaneously, Prat Bhatt is being promoted to Vice President, Corporate Controller and Principal Accounting Officer. This internal management change signifies a restructuring within Cisco's finance department. Investors should note the promotion of Prat Bhatt, who will be granted restricted stock units, aligning his compensation with shareholder value. The filing also details the standard indemnification agreement provided to Mr. Bhatt, a common practice for executive officers, ensuring he is protected for actions taken in his official capacity.

Key Highlights

  • 1Internal finance department restructuring effective July 26, 2009.
  • 2Jonathan Chadwick moves to Senior Vice President, CFO – Global Customer Markets.
  • 3Prat Bhatt promoted to Vice President, Corporate Controller and Principal Accounting Officer.
  • 4Prat Bhatt to be granted 25,000 restricted stock units, subject to board approval.
  • 5Prat Bhatt has an extensive finance background within Cisco and prior experience at Kaiser Permanente and Ernst & Young LLP.
  • 6Cisco has entered into a standard indemnification agreement with Prat Bhatt.
  • 7The report is filed on July 27, 2009, with the earliest event date being July 21, 2009.

Frequently Asked Questions

The main purpose of this 8-K filing is to report on an internal restructuring within Cisco's finance organization, specifically the transition of key personnel and the appointment of a new Principal Accounting Officer.

Jonathan Chadwick is moving from Corporate Controller to CFO – Global Customer Markets. Prat Bhatt is being promoted to Corporate Controller and Principal Accounting Officer.

Yes, Prat Bhatt is expected to be granted 25,000 restricted stock units. The award will be subject to the standard terms and conditions of Cisco's restricted stock unit agreements and will be decided at a future meeting of the Compensation and Management Development Committee.

An indemnification agreement is a contract where the company agrees to protect an executive officer from financial losses and legal expenses incurred as a result of their duties, within legal limits. It is mentioned to inform investors that Cisco is providing this standard protection to its new Principal Accounting Officer, Prat Bhatt.