Summary
E. I. du Pont de Nemours and Company (EIDP) filed an 8-K on October 5, 2015, announcing significant leadership changes and an update to its financial outlook. The company revealed that its CEO and Chair, Ellen J. Kullman, will step down on October 16, 2015, after 27 years of service. She will receive a separation package including continued salary and benefits for twelve months, along with pro-rata bonus and vested benefits. In parallel, EIDP announced the appointment of Edward D. Breen as Interim Executive Officer, effective October 6, 2015, who will transition to Interim Chair and CEO on October 16, 2015. Mr. Breen brings extensive experience from leadership roles at Tyco International and Motorola. The company also provided an update on its 2015 financial outlook, anticipating that approximately 25% of the second-half earnings will be recognized in the third quarter, with finalization of Q3 financial statements pending. Additionally, EIDP is accelerating and expanding targeted cost savings from its operational redesign. The company plans to issue its third-quarter earnings release on October 27, 2015.
Key Highlights
- 1CEO and Chair Ellen J. Kullman to step down on October 16, 2015.
- 2Edward D. Breen appointed as Interim Executive Officer and will become Interim Chair and CEO.
- 3Ms. Kullman's separation agreement includes 12 months of continued salary and benefits, pro-rata bonus, and vested benefits.
- 4Company updates 2015 second-half and full-year outlook, with ~25% of H2 expected in Q3.
- 5Accelerating and expanding targeted cost savings initiatives.
- 6Third-quarter earnings release scheduled for October 27, 2015.
- 7Edward D. Breen granted 100,000 restricted stock units vesting over six months.