Summary
Seagate Technology Holdings plc filed an 8-K on August 23, 2006, reporting actions taken by its Compensation Committee on August 18, 2006. The primary focus is on executive compensation for fiscal years 2006 and 2007. For fiscal year 2006, the committee authorized bonus payments for executive officers at 200% of their target bonuses, reflecting strong company performance. Notably, David Wickersham received an additional discretionary bonus, bringing his total to $2,000,000, and Stephen J. Luczo was awarded a $250,000 discretionary bonus. Furthermore, the Compensation Committee established the performance metrics and funding targets for the fiscal year 2007 Annual Incentive Bonus Plan. The plan's maximum funding is set at 200% of the target, contingent on achieving an earnings per share goal, with a potential additional 10% increase for meeting corporate quality objectives. Target bonus levels for senior executives remain consistent with FY2006, and the committee retains discretion for supplemental individual performance bonuses.
Key Highlights
- 1Seagate's Compensation Committee approved FY2006 annual incentive bonus payments for executive officers at 200% of their target, indicating strong financial and operational performance.
- 2David Wickersham received a total FY2006 bonus of $2,000,000, including a discretionary amount of $187,500 above the plan.
- 3Stephen J. Luczo was awarded a $250,000 discretionary bonus for FY2006 as an executive director.
- 4Performance metrics and funding targets for the FY2007 Annual Incentive Bonus Plan were authorized.
- 5The FY2007 bonus plan has a maximum funding level of 200% of target, based on earnings per share performance.
- 6An additional 10% funding for the FY2007 plan is possible if corporate quality goals (defect reduction, product returns) are met.
- 7Target bonus percentages for senior executives remain unchanged for FY2007, with the Compensation Committee retaining discretion for supplemental individual performance bonuses.