8-KLeadership ChangesOther EventsExhibits & Filings

Howmet Aerospace Inc. 8-K Report, Executive Changes (Oct 23, 2017)

Filed October 23, 2017For Securities:HWM

Summary

This 8-K filing from Arconic Inc. (now Howmet Aerospace Inc.) announces significant leadership changes, primarily the appointment of Charles P. "Chip" Blankenship as the new Chief Executive Officer, effective January 15, 2018. Blankenship brings extensive experience from GE Aviation and GE Appliances, suggesting a focus on operational leadership and potentially strategic integration within the aerospace and engineered products sectors. Additionally, the filing details Mr. Blankenship's comprehensive compensation package, including a substantial base salary, annual incentive opportunity, and significant equity awards, reflecting the company's investment in its new CEO. The report also notes the appointment of John C. Plant as Chairman of the Board and the compensation arrangements for the interim CEO, David P. Hess, indicating a transition in board and executive leadership. Investors should monitor how Blankenship's tenure impacts the company's strategic direction and operational performance.

Key Highlights

  • 1Appointment of Charles P. "Chip" Blankenship as Chief Executive Officer, effective January 15, 2018.
  • 2Blankenship's background includes leadership roles at GE Aviation and GE Appliances.
  • 3New CEO compensation package includes a $1,250,000 base salary, 150% target annual incentive, and significant equity awards ($8.5M in 2018, $4M stock option, $3M RSU).
  • 4Mr. Blankenship is required to purchase $1,000,000 in company stock.
  • 5John C. Plant appointed as Chairman of the Board, succeeding Patricia F. Russo.
  • 6David P. Hess to continue as a director after serving as Interim CEO, with specific deferred stock units and a target annual bonus for 2017.
  • 7Eric V. Roegner appointed as Executive Vice President and Group President, Arconic Engineered Products and Solutions.

Frequently Asked Questions

Charles P. "Chip" Blankenship has been appointed as the new Chief Executive Officer, effective January 15, 2018. He will succeed Interim Chief Executive Officer David P. Hess.

Mr. Blankenship has a strong background in industrial and aerospace sectors, including serving as Senior Vice President of Haier Group and President/CEO of GE Appliances. Previously, he held leadership roles at GE Aviation and GE Energy, including General Manager of the Commercial Engines Operation for GE Aviation.

Mr. Blankenship's compensation includes an annual base salary of $1,250,000, eligibility for a target annual cash incentive of 150% of his salary, and a 2018 annual equity award valued at $8,500,000. He will also receive a $650,000 sign-on bonus and a $4,000,000 stock option award, along with a $3,000,000 restricted stock unit award. He is also committed to purchasing $1,000,000 in company stock.

Yes, John C. Plant has been appointed as the new Chairman of the Board. Additionally, Eric V. Roegner has been appointed as Executive Vice President and Group President of Arconic Engineered Products and Solutions, succeeding Karl Tragl.