8-KLeadership ChangesExhibits & Filings

FIRSTENERGY CORP 8-K Report, Executive Changes (Sep 19, 2018)

Filed September 19, 2018For Securities:FE

Summary

FirstEnergy Corp. (FE) announced the election of Ms. Leslie M. Turner to its Board of Directors, effective September 19, 2018. Ms. Turner, a retired executive from The Hershey Company, brings legal and corporate governance expertise and has been appointed to the Audit and Compensation Committees. Her election expands the Board to 13 members and she will be compensated in line with other independent directors. Additionally, FirstEnergy's Board approved the extension of the 2017 Change in Control Severance Plan for an additional year, through December 31, 2020. This plan provides severance benefits to certain eligible executives in the event of a change in control and subsequent termination of employment. The extension reflects the company's ongoing efforts to provide executive retention incentives and manage potential transition risks.

Key Highlights

  • 1Leslie M. Turner elected to the Board of Directors, increasing its size to 13 members.
  • 2Ms. Turner is considered an independent director by SEC and NYSE standards.
  • 3Ms. Turner appointed to the Audit Committee and Compensation Committee.
  • 4Ms. Turner's compensation includes an annual cash retainer of $95,000 and an annual equity retainer valued at $135,000.
  • 5FirstEnergy's 2017 Change in Control Severance Plan term extended by one year through December 31, 2020.
  • 6The severance plan provides benefits to eligible executives upon a change in control and termination.

Frequently Asked Questions

Leslie M. Turner is a 60-year-old individual who retired in March 2018 as senior vice president, general counsel, and corporate secretary of The Hershey Company. She brings extensive experience in legal and corporate governance matters.

Ms. Turner has been appointed to serve on both the Audit Committee and the Compensation Committee of FirstEnergy's Board of Directors.

The Change in Control Severance Plan is designed to provide severance benefits to certain eligible executives if their employment is terminated under specific circumstances within a 24-month period following a change in control of FirstEnergy. The plan's term was extended for an additional year through December 31, 2020, to continue providing this incentive and security for key executives.

Ms. Turner's compensation as a director is in line with existing board member compensation, including cash and equity retainers. The extension of the severance plan does not immediately impact shareholders but is a measure to retain executive talent and manage potential transition costs associated with a change in control.