Summary
Mastercard Inc. filed an 8-K on February 5, 2009, reporting on the approval of performance targets for its Senior Executive Annual Incentive Compensation Plan (SEAICP) for the fiscal year ending December 31, 2009. These targets are crucial for determining potential cash bonus awards for the company's principal executive officer, principal financial officer, and other named executive officers. The approved performance metrics focus on the company's financial health and operational efficiency, specifically targeting predetermined net income and operating margin improvement goals. The weighting of these metrics for bonus calculation is two-thirds for net income achievement and one-third for operating margin improvement. This filing provides investors with insight into management's short-term performance incentives and the financial objectives set for the upcoming year during a period of economic uncertainty.
Key Highlights
- 1Mastercard approved 2009 performance targets for its Senior Executive Annual Incentive Compensation Plan (SEAICP).
- 2Bonus payouts for named executive officers are tied to achieving net income and operating margin improvement targets.
- 3Net income achievement accounts for two-thirds of the bonus weighting, with operating margin improvement accounting for one-third.
- 4Threshold performance levels are defined, below which no cash bonus will be paid.
- 5Specific potential bonus percentages of base salary for key executives (Selander, Hanft, Hund-Mejean, McWilton) at threshold, target, and maximum performance levels are disclosed.
- 6The Compensation Committee retains discretion to reduce award amounts.
- 7The filing date is February 5, 2009, with the earliest event reported on February 2, 2009.