8-KLeadership Changes

FIRSTENERGY CORP 8-K Report, Executive Changes (Dec 18, 2013)

Filed December 18, 2013For Securities:FE

Summary

FirstEnergy Corp. (FE) filed an 8-K on December 18, 2013, announcing the upcoming retirement of Mark T. Clark, Executive Vice President, Finance and Strategy, effective December 31, 2013. This transition will result in James F. Pearson, currently Senior Vice President and CFO, reporting directly to CEO Anthony J. Alexander starting January 1, 2014. The filing also details an amendment to the Executive Deferred Compensation Plan (EDCP) approved by the Compensation Committee, changing the election deadline for deferrals of performance-based STIP and LTIP awards from December 15th of the preceding year to June 30th of the year the award is earned or the final year of the performance period, respectively. Deferral elections for base salary remain unchanged.

Key Highlights

  • 1Mark T. Clark, Executive Vice President, Finance and Strategy, to retire effective December 31, 2013.
  • 2No disagreements or disputes were cited in relation to Mr. Clark's retirement.
  • 3James F. Pearson, Senior Vice President and Chief Financial Officer, will report directly to CEO Anthony J. Alexander effective January 1, 2014.
  • 4The Compensation Committee approved an amendment to the Executive Deferred Compensation Plan (EDCP).
  • 5The amendment modifies the election deadline for deferring performance-based STIP and LTIP awards.
  • 6New EDCP election deadlines for performance-based awards are June 30th of the relevant year.
  • 7Deferral elections for base salary remain subject to the December 15th deadline of the preceding year.

Frequently Asked Questions

Mark T. Clark, Executive Vice President, Finance and Strategy, is retiring effective December 31, 2013.

Yes, effective January 1, 2014, James F. Pearson, Senior Vice President and Chief Financial Officer, who previously reported to Mr. Clark, will now report directly to President and CEO Anthony J. Alexander.

The Compensation Committee amended the EDCP to change the deadline for electing to defer performance-based Short-Term Incentive Program (STIP) and Long-Term Incentive Program (LTIP) awards. These elections must now be made by June 30th of the year the STIP award is earned or the final year of the LTIP performance period, respectively.

No, the amendment specifically addresses performance-based awards. Deferral elections for base salary will continue to be made on or before December 15th of the year preceding the year in which the compensation is earned.