8-KLeadership ChangesExhibits & Filings

MONOLITHIC POWER SYSTEMS INC 8-K Report, Executive Changes (May 25, 2007)

Filed May 25, 2007For Securities:MPWR

Summary

Monolithic Power Systems, Inc. (MPWR) filed an 8-K on May 24, 2007, to report significant changes in its Board of Directors. The company announced the election of two new directors, Mr. Douglas M. McBurnie and Ms. Karen A. Smith Bogart, to its Board. This expansion of the Board suggests a strengthening of governance and potentially broader strategic oversight for the company. In conjunction with their appointments, both new directors will receive stock options and annual retainers. Specifically, each will be granted options to purchase 30,000 shares of common stock, vesting over two years, and receive an annual retainer of $25,000. Mr. McBurnie will join the Audit and Nominating and Corporate Governance Committees, while Ms. Bogart will serve on the Compensation Committee. These appointments and associated compensation packages are standard for board service and indicate the company's commitment to attracting experienced individuals to guide its future growth.

Key Highlights

  • 1Election of two new directors: Mr. Douglas M. McBurnie and Ms. Karen A. Smith Bogart.
  • 2New directors granted stock options to purchase 30,000 shares each, vesting over two years.
  • 3Annual retainer of $25,000 to be paid to each new director for their service.
  • 4Mr. McBurnie appointed to Audit and Nominating/Corporate Governance Committees.
  • 5Ms. Bogart appointed to the Compensation Committee.
  • 6Company entered into standard indemnification agreements with the new directors.
  • 7Press release announcing these changes was issued on May 25, 2007.

Frequently Asked Questions

The primary purpose of this 8-K filing is to report the election of two new directors, Mr. Douglas M. McBurnie and Ms. Karen A. Smith Bogart, to the Board of Directors of Monolithic Power Systems, Inc.

Each new director will receive an annual retainer of $25,000 and a non-qualified stock option to purchase 30,000 shares of the company's common stock. The stock options have an exercise price equal to the closing fair market value on the grant date and vest over two years.

Mr. Douglas M. McBurnie will serve on the Audit and Nominating and Corporate Governance Committees. Ms. Karen A. Smith Bogart will serve on the Compensation Committee.

Yes, the company has entered into indemnification agreements with both new directors, which are standard and in the same form as agreements with other directors.