Summary
NIKE, Inc. filed an 8-K report on March 15, 2005, detailing a material definitive agreement. Specifically, on March 14, 2005, the company entered into a Time-Sharing Agreement with its President and CEO, William D. Perez, concerning a Dassault Falcon 2000EX aircraft. This agreement allows Mr. Perez to use the company-owned aircraft for non-business purposes. Under Federal Aviation Administration (FAA) regulations, Mr. Perez is required to reimburse the company for the aggregate incremental cost of each flight. The company and its flight crew retain control over flight scheduling, cancellations, and changes due to safety or maintenance. The agreement's duration is tied to Mr. Perez's continued service as President or CEO.
Key Highlights
- 1NIKE, Inc. entered into a Time-Sharing Agreement with CEO William D. Perez on March 14, 2005.
- 2The agreement pertains to the use of a Dassault Falcon 2000EX private aircraft owned by the company.
- 3Mr. Perez will be permitted to use the aircraft for non-business purposes.
- 4Reimbursement to NIKE for aircraft use will be based on the aggregate incremental cost of each flight, as per FAA regulations.
- 5NIKE and its flight crew retain control over flight scheduling and operational decisions (cancellations/changes) for safety and maintenance.
- 6The agreement remains in effect as long as Mr. Perez serves as President or CEO of NIKE.