Summary
Rockwell Automation, Inc. (ROK) filed a Form 8-K on January 15, 2004, reporting a significant amendment to its 2000 Long-Term Incentives Plan. The primary action taken was a substantial reduction in the number of shares available for grants under the plan, excluding options and stock appreciation rights. Specifically, the maximum number of shares that can be delivered under the plan for awards other than options and stock appreciation rights was decreased from 12 million to 4 million. This move by the Board of Directors suggests a strategic shift in equity compensation, potentially aimed at conserving share availability or adjusting the dilution impact on existing shareholders. Investors should note this change as it impacts the company's future equity compensation strategy.
Key Highlights
- 1Rockwell Automation's Board of Directors approved an amendment to the 2000 Long-Term Incentives Plan.
- 2The amendment decreases the maximum number of shares issuable under the plan (excluding options and stock appreciation rights) from 12 million to 4 million.
- 3This represents a significant reduction in the equity pool available for certain types of incentive awards.
- 4The change was adopted on January 14, 2004.
- 5The filing was made under Item 5 (Other Events and Regulation FD Disclosure) and Item 7 (Exhibits) of Form 8-K.
- 6Exhibit 99 contains the official resolution of the Board of Directors amending the plan.