Summary
This 8-K filing from E. I. du Pont de Nemours and Company (DuPont) details the retirement agreement for Mr. James C. Borel, Executive Vice President. The agreement outlines his severance package, continuation of benefits, and post-termination restrictions. Investors should note the terms are contingent on Mr. Borel not revoking a general release of claims. The filing also specifies additional compensation and benefits that Mr. Borel would receive upon the consummation of the contemplated merger with The Dow Chemical Company, provided certain conditions and timelines are met. These additional benefits include a significant cash severance payment, accelerated vesting of stock options, and modifications to restricted stock units, converting them into shares of the combined company's stock.
Key Highlights
- 1James C. Borel, Executive Vice President, is retiring effective March 31, 2016.
- 2Mr. Borel will receive standard severance, including twelve months continued salary and 2015 annual bonus.
- 3He will also receive a pro-rata 2016 short-term incentive benefit based on actual company performance.
- 4Continued medical and dental benefits at active employee rates for 12 months are included.
- 5Mr. Borel is subject to one-year post-termination non-solicit and non-compete restrictions.
- 6Additional significant severance benefits are tied to the consummation of the DuPont-Dow merger, contingent on certain release agreements and merger completion by February 28, 2018.
- 7These merger-contingent benefits include a substantial cash payment, accelerated vesting of stock options, and conversion of restricted stock units into combined company shares.