8-KLeadership ChangesRegulation FDExhibits & Filings

MCKESSON CORP 8-K Report, Executive Changes (Sep 30, 2013)

Filed September 30, 2013For Securities:MCK

Summary

McKesson Corporation (MCK) filed an 8-K on September 30, 2013, to announce a significant leadership change in its finance department. The key event is the appointment of James A. Beer as the new Executive Vice President and Chief Financial Officer (CFO), effective October 9, 2013. Mr. Beer brings extensive financial leadership experience from his previous roles at Symantec Corporation and AMR Corporation (American Airlines), where he served as CFO. This appointment marks the transition from an interim CFO, Nigel A. Rees, who will remain with the company as Vice President and Controller. The filing also details Mr. Beer's comprehensive compensation package, including base salary, incentive plans, long-term equity awards (restricted stock units and stock options), and sign-on bonuses, designed to attract and retain top talent. Investors should note the potential implications of these executive changes on the company's financial strategy and operational oversight.

Key Highlights

  • 1Appointment of James A. Beer as Executive Vice President and Chief Financial Officer, effective October 9, 2013.
  • 2Mr. Beer's prior extensive experience includes serving as CFO at Symantec Corporation and AMR Corporation.
  • 3Nigel A. Rees transitions from interim CFO to Vice President and Controller.
  • 4Details of Mr. Beer's significant compensation package, including base salary, incentive plans, long-term equity awards, and bonuses.
  • 5Conditional repayment clauses on a portion of Mr. Beer's sign-on bonus.
  • 6Mr. Beer's eligibility for the Company's executive severance and change in control policies.
  • 7The filing includes an attached press release announcing Mr. Beer's appointment.

Frequently Asked Questions

James A. Beer has been appointed as the new Executive Vice President and Chief Financial Officer (CFO) of McKesson Corporation, effective October 9, 2013.

Mr. Beer's compensation includes a base salary of $800,000, eligibility for the Management Incentive Plan (MIP) with a target award of 100% of eligible earnings, and significant long-term incentive awards, including performance-based restricted stock units (PeRSUs) and stock options, totaling over $2.5 million in grant date value. He also receives a $1,147,500 sign-on bonus and a $446,000 employment bonus, along with other benefits and restricted stock unit grants valued at $6.5 million.

Nigel A. Rees, the interim Chief Financial Officer, will continue with McKesson Corporation in his role as Vice President and Controller.

Yes, a portion of the $1,147,500 sign-on bonus, specifically $787,500, is subject to prorated repayment if Mr. Beer terminates employment within two years of receipt, unless the termination is by the Company without 'Cause,' or due to his death or long-term disability.