8-KLeadership Changes

COGNIZANT TECHNOLOGY SOLUTIONS CORP 8-K Report, Executive Changes (Mar 10, 2009)

Filed March 10, 2009For Securities:CTSH

Summary

This Form 8-K filing from Cognizant Technology Solutions Corporation (CTSH) on March 10, 2009, details the 2008 annual cash incentive bonuses awarded to its Named Executive Officers. The Compensation Committee evaluated performance and determined bonus payouts based on the company's non-equity incentive bonus program. Investors should note the bonus amounts and percentages of target achieved by key executives, providing insight into executive compensation and performance recognition during that fiscal year. Specifically, the filing reveals that the President and CEO, Francisco D’Souza, and the Chief Financial and Operating Officer, Gordon Coburn, each received 71.8% of their target 2008 bonus amounts. Other key executives also received bonuses at the same percentage of their targets. Notably, Vice Chairman Lakshmi Narayanan was not eligible for a 2008 cash incentive bonus. This information is important for understanding executive compensation structures and potential alignment with company performance as perceived by the Compensation Committee.

Key Highlights

  • 1Cognizant Technology Solutions Corporation (CTSH) filed a Form 8-K on March 10, 2009, reporting on 2008 executive bonuses.
  • 2The Compensation Committee determined the 2008 annual cash incentive bonuses for Named Executive Officers.
  • 3Bonuses were awarded under the company's previously disclosed non-equity incentive bonus program.
  • 4Francisco D’Souza (President and CEO) received $260,387, which was 71.8% of his target bonus.
  • 5Gordon Coburn (CFO and COO) received $234,348, which was 71.8% of his target bonus.
  • 6Other key executives, including Ramakrishnan Chandrasekaran and Rajeev Mehta, also received 71.8% of their target bonuses.
  • 7Lakshmi Narayanan (Vice Chairman) was determined to be ineligible for a 2008 cash incentive bonus award.

Frequently Asked Questions

The main purpose of this 8-K filing is to report on the determination and award of 2008 annual cash incentive bonuses to Cognizant's Named Executive Officers by the Compensation Committee.

Yes, the top executives, including the President and CEO Francisco D’Souza and CFO and COO Gordon Coburn, each received 71.8% of their target 2008 bonus amounts. Other named officers also received the same percentage of their targets.

No, not all executives received a bonus. Vice Chairman Lakshmi Narayanan was explicitly determined by the Compensation Committee to be ineligible for a 2008 cash incentive bonus award.

The fact that key executives received 71.8% of their target bonuses suggests that while performance may not have fully met the highest targets set for the year, it was sufficient to warrant a significant portion of the incentive compensation. This indicates a performance level that the Compensation Committee deemed worthy of substantial bonus payouts, though not necessarily exceeding expectations or achieving maximum bonus potential.