Summary
Honeywell International Inc. (HON) filed a Form 8-K on December 10, 2007, reporting on compensation actions taken for Robert J. Gillette, President and CEO of the Aerospace segment. These actions were approved by the Management Development and Compensation Committee on December 7, 2007, and are intended for retention purposes. The key changes include an increase in Mr. Gillette's annual base salary to $1 million, effective January 1, 2008. Additionally, he was granted 200,000 restricted stock units with a staggered vesting schedule over seven years. His annual stock option grant will also be valued at a fixed $2 million starting in 2008, determined by the Black-Scholes methodology.
Key Highlights
- 1Robert J. Gillette, President and CEO of Honeywell's Aerospace segment, received compensation adjustments for retention.
- 2Effective January 1, 2008, Mr. Gillette's annual base salary will increase to $1 million.
- 3200,000 restricted stock units have been granted to Mr. Gillette.
- 4The restricted stock units will vest in three equal installments on the third, fifth, and seventh anniversaries of the grant date.
- 5A fixed value of $2 million will be established for Mr. Gillette's annual stock option grants, starting with the 2008 grant.
- 6The valuation of the stock options will utilize Honeywell's Black-Scholes methodology.