8-K/ALeadership Changes

MICROSOFT CORP 8-K/A Report, Executive Changes (May 20, 2013)

Filed May 20, 2013For Securities:MSFT

Summary

This filing is an amendment to a previous Form 8-K, clarifying details regarding the compensation of Amy Hood, who was appointed as the Chief Financial Officer (CFO) on May 13, 2013. The amendment details her approved compensation package, which includes a base salary, stock awards, and eligibility for performance-based cash awards. For investors, this information is crucial as it outlines the financial incentives for the company's new CFO, potentially impacting future financial performance and executive alignment with shareholder value.

Key Highlights

  • 1Amy Hood's appointment as Chief Financial Officer (CFO) on May 13, 2013, is confirmed.
  • 2Ms. Hood's annual base salary is set at $570,000.
  • 3She received a fiscal year 2013 stock award of $2.8 million, vesting over four years starting August 31, 2013.
  • 4Ms. Hood is eligible for a performance-based cash award with a potential payout of 0% to 300% of a target award.
  • 5A separate stock award of $3.5 million under the 2001 Stock Plan was granted, with vesting over three years.
  • 6The number of shares for stock awards will be determined by the closing stock price on the grant date.

Frequently Asked Questions

This amended 8-K filing provides detailed information about the compensation package approved for Amy Hood, the newly appointed Chief Financial Officer, following her initial appointment reported on May 13, 2013.

Amy Hood's compensation includes an annual base salary of $570,000, a fiscal year 2013 stock award of $2.8 million, and another stock award of $3.5 million. She is also eligible for performance-based cash awards.

The fiscal year 2013 stock award of $2.8 million will vest in four equal annual installments starting August 31, 2013. The $3.5 million stock award under the 2001 Stock Plan will vest 40% on the first anniversary of the grant date and 30% on each of the following two anniversaries.

Ms. Hood is eligible to receive a performance-based cash award that can range from 0% to 300% of her target cash award, which is set at 125% of her base salary earned in fiscal year 2013.