8-KLeadership ChangesExhibits & Filings

STARBUCKS CORP 8-K Report, Executive Changes (Jan 14, 2022)

Filed January 14, 2022For Securities:SBUX

Summary

Starbucks Corporation filed an 8-K on January 14, 2022, reporting on an amendment to its Executive Management Bonus Plan (EMBP). The Compensation and Management Development Committee of the Board of Directors approved the restated EMBP on January 12, 2022. This amendment allows the Committee greater flexibility in determining performance goals and payout formulas for annual incentive awards granted to eligible employees, including named executive officers. The updated plan outlines that the Committee can now base these performance criteria and payout formulas on one or more of the factors specified within the Amended EMBP. This move provides Starbucks with enhanced adaptability in its executive compensation strategy, allowing for adjustments to align with evolving business objectives and market conditions. Investors should note this change reflects a potential shift in how executive performance will be measured and rewarded.

Key Highlights

  • 1Starbucks amended and restated its Executive Management Bonus Plan (EMBP) on January 12, 2022.
  • 2The amendment grants the Compensation and Management Development Committee more flexibility in setting performance goals and payout formulas for annual incentive awards.
  • 3The performance criteria can now be based on one or more factors outlined in the Amended EMBP.
  • 4This change impacts eligible employees, including the company's named executive officers.
  • 5The filing was made on January 14, 2022.
  • 6The full text of the Amended EMBP is available as an exhibit to the filing.

Frequently Asked Questions

The primary purpose of the amendment is to provide the Compensation and Management Development Committee with increased flexibility in determining the performance goals and payout formulas for annual incentive awards granted to eligible executives.

This amendment allows for a more adaptable approach to executive compensation by enabling the Committee to select from a broader range of performance criteria and payout structures as defined within the Amended EMBP. It doesn't specify new bonus amounts but changes the framework for determining them.

This filing reports on the amendment of the plan's framework, not on specific bonus payouts or adjustments. The actual impact on executive bonuses will depend on the Committee's future decisions regarding performance goals and payouts under the amended plan.

The full text of the Amended and Restated Executive Management Bonus Plan is filed as Exhibit 10.1 to this Current Report on Form 8-K and is incorporated by reference.