Summary
This 8-K filing from Motorola, Inc. on February 15, 2007, details amendments to its equity incentive plans. Effective March 1, 2007, the company is modifying Restricted Stock Unit Awards, Stock Award Agreements, and Stock Option Consideration Agreements under the Motorola Omnibus Incentive Plan of 2006. The key changes involve the removal of non-compete provisions and a limitation of non-solicitation clauses for employees and customers to one year. The amendments also clarify that these restrictive covenants apply to Motorola subsidiaries. Importantly, these modifications do not affect the award agreements for the Chairman and Chief Executive Officer, whose existing restrictions on disclosing confidential information remain unlimited in duration. Investors should note these changes to executive compensation and employee retention tools.
Key Highlights
- 1Motorola, Inc. amended its equity incentive award agreements effective March 1, 2007.
- 2Key changes include the removal of non-compete provisions in awards.
- 3Restrictions on soliciting Motorola employees and customers are now limited to one year.
- 4Clarification that restrictive covenants apply to Motorola subsidiaries.
- 5Existing restrictions on disclosing confidential information remain unlimited in duration.
- 6These changes do not apply to award agreements for the Chairman and Chief Executive Officer.
- 7The filing includes amended forms for Restricted Stock Unit Awards, Stock Award Agreements, and Stock Option Consideration Agreements.