Summary
McDonald's Corporation (MCD) filed an 8-K on November 29, 2018, detailing changes related to the retirement of Doug Goare, a key executive. The Compensation Committee of the Board of Directors approved a waiver of certain notice and service requirements for Mr. Goare's 2018 restricted stock units (RSUs) and stock options. This waiver allows him to continue vesting in these awards according to the original schedules and performance conditions, without granting additional benefits or accelerating vesting. Furthermore, the company approved a $183,000 cash payment to Mr. Goare. In consideration for this waiver and cash payment, Mr. Goare's post-retirement non-compete period has been extended from 18 to 24 months. These actions are intended to support McDonald's strategic objectives, particularly its transition to new financial reporting segments effective January 1, 2019, while accommodating Mr. Goare's planned retirement.
Key Highlights
- 1Doug Goare, an executive officer, is retiring from McDonald's.
- 2The Compensation Committee waived notice and service requirements for Mr. Goare's 2018 RSUs and stock options.
- 3Mr. Goare can continue to vest in these awards based on original schedules and performance conditions.
- 4No additional benefits or accelerated vesting were granted to Mr. Goare.
- 5A cash payment of $183,000 was approved for Mr. Goare.
- 6Mr. Goare's non-compete period has been extended from 18 to 24 months in exchange for the waiver and cash payment.
- 7These compensation arrangements support the company's transition to new financial reporting segments on January 1, 2019.