Summary
The Coca-Cola Company (KO) announced a change to its Board of Directors via an 8-K filing on February 21, 2012. The Board size was increased to 17 members with the election of Robert A. Kotick, effective February 16, 2012. Mr. Kotick's appointment brings new expertise to the Board and he has been assigned to the Management Development Committee. Investors should note that Mr. Kotick will be compensated under the Company's existing Non-Employee Director Compensation Plan. His compensation for 2012 is structured with a base of $175,000, comprised of a cash or deferred share unit option of up to $50,000 and a mandatory $125,000 in deferred share units. This structure aligns director compensation with long-term company performance through equity awards. No related-party transactions requiring disclosure under Regulation S-K were identified.
Key Highlights
- 1The Coca-Cola Company Board of Directors increased its size to 17 members.
- 2Robert A. Kotick was elected as a new Director to the Board.
- 3Mr. Kotick's appointment is effective as of February 16, 2012.
- 4Mr. Kotick has been appointed to the Management Development Committee.
- 5New Director Kotick will receive annual compensation of $175,000 for 2012 under the Non-Employee Director Compensation Plan.
- 6A portion of Mr. Kotick's compensation ($125,000) will be paid in deferred share units, aligning with long-term equity.
- 7No disclosable related-party transactions involving Mr. Kotick were reported.