Who is John D. Harris II and what is his background?

John D. Harris II is a newly appointed member of Cisco's Board of Directors. His professional background includes serving as Vice President of Business Development at Raytheon Company and as Chief Executive Officer of Raytheon International, Inc. This indicates a strong foundation in business development and executive leadership.

How will Mr. Harris be compensated for his role on the Board?

Mr. Harris will receive Cisco's standard compensation for non-employee directors, which includes a pro-rata annual cash retainer and a pro-rata initial equity award. The annual retainer is typically $80,000, and the initial equity award has a grant date fair value of $230,000. Both will be pro-rated for his service until the 2021 annual shareholder meeting. Directors can elect to receive this compensation in various forms, including stock, deferred stock units, or deferred cash.

Does Cisco provide any protection for its board members?

Yes, Cisco has entered into its standard form of director indemnification agreement with Mr. Harris. This agreement, subject to certain limitations, aims to hold harmless and indemnify him against expenses and liabilities that may arise from his service as a director.

Are there any other benefits for Mr. Harris as a director?

Beyond the standard cash and equity compensation, Mr. Harris is eligible to participate in Cisco's charitable matching gifts program, similar to other employees. For the calendar year 2021, the maximum match amount available is $25,000.

CSCO 8-K: Leadership Changes

Summary

Cisco Systems, Inc. (CSCO) announced the appointment of John D. Harris II to its Board of Directors, effective January 7, 2021. Mr. Harris brings a background in business development and executive leadership, previously serving as Vice President of Business Development at Raytheon Company and Chief Executive Officer of Raytheon International, Inc. His addition to the board signifies a reinforcement of Cisco's governance and strategic oversight. Mr. Harris will receive Cisco's standard compensation package for non-employee directors, which includes an annual cash retainer and an equity award. The compensation will be pro-rated based on his service period through the 2021 annual shareholder meeting. Directors have flexibility in how they receive this compensation, with options for stock, deferred stock units, or deferred cash. Additionally, he is eligible for Cisco's charitable matching gifts program and will be provided with a standard director indemnification agreement, underscoring the company's commitment to protecting its board members.

Key Highlights

1Appointment of John D. Harris II to the Board of Directors, effective January 7, 2021.
2Mr. Harris has prior executive experience at Raytheon Company, including as Vice President of Business Development and CEO of Raytheon International.
3Director compensation includes a pro-rata annual cash retainer of $80,000 and a pro-rata initial equity award with a grant date fair value of $230,000.
4Non-employee directors have flexible compensation options, including common stock, deferred stock units, or deferred cash.
5Mr. Harris is eligible for Cisco's charitable matching gifts program with a maximum annual match of $25,000.
6Cisco has entered into a standard director indemnification agreement with Mr. Harris to protect him against liabilities related to his board service.

CISCO SYSTEMS, INC. 8-K Report, Executive Changes (Jan 7, 2021)

Summary

Key Highlights

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