What is the primary purpose of this 8-K filing?

This 8-K filing announces that Newmont USA Limited, a subsidiary of Newmont Mining Corporation, has amended and restated its Officers' Death Benefit Plan and Executive Change of Control Plan, both effective January 1, 2004. These updates detail the benefits provided to executive officers under specific circumstances.

How is the death benefit calculated for active employees under the new plan?

For active employee participants who die while still employed, the death benefit is set at three times their salary on the date of death.

What triggers benefits under the Executive Change of Control Plan?

Benefits are triggered if a change of control occurs, and an eligible executive's employment is subsequently terminated for reasons other than for cause, death, or disability, or if the employee resigns for 'Good Reason' within 120 days of becoming aware of the change of control, within three years following the change of control.

What types of payments and benefits are included in the Executive Change of Control Plan?

The plan provides a lump-sum cash payment, which includes accrued salary, a pro-rated target annual bonus, deferred compensation, and accrued vacation pay. It also includes a payment equal to two or three times the executive's annual pay, and an amount representing the actuarial equivalent of pension and supplemental retirement plan benefits for three additional years of continued employment. Additionally, executives receive continued health, dental, vision, disability, and life insurance benefits, as well as outplacement services. The company may also cover excise taxes related to these payments.

NEM/NEMCL 8-K: Material Agreements

Summary

Newmont Corporation (NEM) filed an 8-K on December 21, 2004, to report on the amendment and restatement of two key executive compensation plans: the Officers' Death Benefit Plan and the Executive Change of Control Plan, both effective January 1, 2004. These changes primarily affect salaried employees who are corporate officers or designated as eligible, with specific provisions for active employees versus retirees under the death benefit plan. The executive change of control plan outlines significant benefits for senior management, including Named Executive Officers, in the event of a change in control and subsequent termination of employment under certain conditions. The amended Death Benefit Plan provides beneficiaries of active participants with a death benefit equal to three times the participant's salary at the time of death. For retired participants, the benefit amount varies based on their retirement date and potential reductions if retirement occurred before the normal retirement age. The amended Change of Control Plan details a comprehensive package for eligible executives, including a lump-sum cash payment (potentially up to three times annual pay, plus accrued salary, target bonus, and deferred compensation) and the continuation of health and other benefits, along with outplacement services, if their employment is terminated without cause or for good reason following a change of control. The company may also be required to cover excise taxes associated with these payments.

Key Highlights

1Newmont USA Limited, a subsidiary of Newmont Mining Corporation, amended and restated its Officers' Death Benefit Plan, effective January 1, 2004.
2The Death Benefit Plan provides active employee participants with a death benefit equivalent to three times their salary at the time of death.
3Benefits for retired participants under the Death Benefit Plan are dependent on their retirement date and may be reduced if retired before the normal retirement age.
4Newmont USA also amended and restated its Executive Change of Control Plan, effective January 1, 2004.
5The Change of Control Plan provides benefits to senior management, including Named Executive Officers, upon termination of employment following a change of control.
6Benefits under the Change of Control Plan can include a lump-sum cash payment (up to three times annual pay) and continued health and other benefits.
7The Change of Control Plan may also include provisions for the company to cover excise taxes on payments made to executives.

NEWMONT Corp /DE/ 8-K Report, Material Agreement (Dec 22, 2004)

Summary

Key Highlights

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