8-KLeadership ChangesExhibits & Filings

Public Storage 8-K Report, Executive Changes (Apr 22, 2008)

Filed April 22, 2008For Securities:PSAPSA-PRPSA-PFPSA-PGPSA-PHPSA-PIPSA-PJPSA-PMPSA-PNPSA-POPSA-PPPSA-PQPSA-PSPSA-PKPSA-PL

Summary

This 8-K filing by Public Storage (PSA) on April 22, 2008, primarily announces a key executive transition within its U.S. self-storage operations. John Graul, Senior Vice President and President of Self-Storage Operations, is set to retire on December 31, 2008. This transition is accompanied by a planned leadership change starting May 1, 2008, where John Sambuco and David Young will jointly lead U.S. operations. Mr. Sambuco has extensive experience with the company's European operations, and Mr. Young has been a Divisional Manager within PSA. In connection with his retirement, Public Storage has entered into an agreement with Mr. Graul. This agreement outlines his continued service through the end of 2008, with compensation at a monthly rate of $45,833. Importantly, the agreement includes accelerated vesting of certain unvested restricted share units and stock options scheduled to vest by March 16, 2009, contingent upon his continued service and the execution of a general release. This information is crucial for investors to understand leadership continuity and executive compensation arrangements during this period of change.

Key Highlights

  • 1John Graul, Senior Vice President and President of Self-Storage Operations, will retire effective December 31, 2008.
  • 2John Sambuco and David Young will jointly lead U.S. operations beginning May 1, 2008.
  • 3Mr. Sambuco has 16 years of operational experience with Public Storage's European self-storage business.
  • 4Mr. Young has 5 years of experience as a Divisional Manager at Public Storage.
  • 5An agreement with John Graul provides for continued service through December 31, 2008, at $45,833 per month.
  • 6Under the agreement, Mr. Graul's unvested restricted share units and stock options vesting by March 16, 2009, will be accelerated to vest on December 31, 2008.
  • 7Mr. Graul will have until March 31, 2009, to exercise his vested stock options.

Frequently Asked Questions

John Graul is the current Senior Vice President of Public Storage and President of Self-Storage Operations. He is scheduled to retire on December 31, 2008.

John Sambuco, currently Chief Operating Officer of Public Storage's European operations, and David Young, currently a Divisional Manager, will jointly lead the company's U.S. operations starting May 1, 2008.

Mr. Graul will continue to be paid $45,833 per month through December 31, 2008. Additionally, certain unvested restricted share units and stock options scheduled to vest by March 16, 2009, will have their vesting accelerated to December 31, 2008, provided he meets the agreement's conditions. He will have until March 31, 2009, to exercise these options.

Yes, the accelerated vesting of Mr. Graul's unvested restricted share units and stock options is contingent upon him not revoking the agreement and entering into a General Release. Other unvested equity awards not vesting by March 16, 2009, will be cancelled as of December 31, 2008.