8-KLeadership ChangesExhibits & Filings

SYNOPSYS INC 8-K Report, Executive Changes (Dec 11, 2006)

Filed December 11, 2006For Securities:SNPS

Summary

Synopsys Inc. (SNPS) filed an 8-K report on December 11, 2006, detailing compensation arrangements for its executive officers. The Compensation Committee approved fiscal year 2006 bonus payments and established base salaries, target bonus compensation, and an incentive plan for fiscal year 2007. These decisions reflect the company's approach to incentivizing its leadership team through performance-based compensation and strategic equity awards. Key changes include adjustments to base salaries and bonus targets for the upcoming fiscal year, with actual bonuses dependent on company and individual performance. The company also approved a form of Restricted Stock Unit Agreement, allowing for equity grants that may vest based on performance milestones. This filing provides transparency into how Synopsys aims to retain and motivate its top executives through a structured compensation framework.

Key Highlights

  • 1Fiscal 2006 bonus payments for executive officers were approved.
  • 2Fiscal 2007 base salaries for executive officers have been set.
  • 3A Fiscal 2007 Executive Incentive Plan has been established for executive officers.
  • 4Fiscal 2007 target bonus compensation for executive officers has been determined.
  • 5Actual fiscal 2007 bonuses will be contingent on company and individual performance.
  • 6A form of Restricted Stock Unit Agreement was approved for executive officers.
  • 7Restricted Stock Units may vest based on performance milestones.

Frequently Asked Questions

This filing primarily details the approval of fiscal 2006 bonus payments and the establishment of fiscal 2007 compensation structures, including base salaries, target bonuses, and an incentive plan for executive officers. It also introduces a Restricted Stock Unit program for executives.

Actual bonus amounts for fiscal year 2007 will be based on the company's and individual officers' performance during that year, as well as other factors outlined in the approved Fiscal 2007 Executive Incentive Plan.

The approval of the Restricted Stock Unit Agreement signifies Synopsys's intention to grant equity awards to its executive officers. These awards may vest based on achieving specific individual or corporate performance goals, aligning executive interests with company performance.

Yes, Joe Logan does not participate in the Executive Operating Plan Incentive (OPI) and his fiscal 2006 bonus was awarded under a pre-existing individual compensation arrangement. Additionally, the OPI target bonus amounts vary among the listed executives.