Summary
Duke Energy Corporation (DUK) filed an 8-K on June 26, 2009, reporting on significant executive changes. The most notable development is the promotion of Ms. Lynn J. Good to Chief Financial Officer (CFO), effective June 16, 2009. Her base salary was increased from $500,000 to $575,000 to reflect her new role. While her incentive opportunity percentages remain unchanged, her short-term incentive for 2009 will be prorated based on her new, higher salary for the period after June 15th. Additionally, the company announced a Retirement Agreement with Mr. David L. Hauser, the outgoing CFO, effective June 22, 2009. This agreement includes Mr. Hauser providing transition services for six months and adhering to restrictive covenants. In return, his existing performance share awards for multiple periods will be calculated based on actual performance without prorating for his earlier retirement.
Key Highlights
- 1Lynn J. Good promoted to Chief Financial Officer (CFO) effective June 16, 2009.
- 2Ms. Good's base salary increased to $575,000 from $500,000.
- 3Ms. Good's 2009 short-term incentive opportunity will be prorated based on her new salary for the post-June 15th period.
- 4David L. Hauser retires as CFO, effective June 22, 2009.
- 5Mr. Hauser's retirement agreement includes transition services and restrictive covenants (non-solicitation, non-compete, etc.).
- 6Mr. Hauser's performance share awards will be calculated on actual performance without proration for retirement, covering 2007-2009, 2008-2010, and 2009-2011 periods.