Summary
This 8-K filing by Ross Stores, Inc. (ROST) details a material amendment to the employment agreement of Barbara Levy, Executive Vice President of Merchandising. Effective May 1, 2006, the agreement outlines Ms. Levy's transition from her current role to a consulting capacity upon retirement. The company is providing specific compensation, bonus eligibility, and extended benefits to ensure a smooth transition and retain her expertise for a limited period.
Key Highlights
- 1Amendment to employment agreement for EVP of Merchandising, Barbara Levy, effective May 1, 2006.
- 2Ms. Levy will retire from her current executive position by a date determined by the CEO, no later than August 1, 2007.
- 3Following retirement, Ms. Levy will serve as an independent contractor consultant for up to 12 months, working up to two days per week.
- 4Ms. Levy will continue to receive her full salary ($600,000 annually) during her employment and the consulting period.
- 5Eligibility for a full bonus in fiscal year 2006 and a pro-rata or full bonus in fiscal year 2007, depending on her retirement date.
- 6Existing stock options will continue to vest and remain exercisable; restricted stock awards have specific vesting dates extended or tied to retirement.
- 7Extended benefits include 60 months of paid healthcare coverage post-retirement, a lump sum for life insurance premiums, and $15,000 for estate/financial planning services.