Summary
This Form 8-K filing from Seagate Technology Holdings plc (STX) on July 9, 2009, primarily concerns the separation of employment for Brian S. Dexheimer, former Division President. Mr. Dexheimer's employment officially ended on July 3, 2009, the last day of the company's fiscal year. The filing details the separation agreement, including severance payments and other benefits consistent with the company's executive officer severance plan. Investors should note the total financial commitment for Mr. Dexheimer's separation, which includes a substantial lump sum cash payment. The agreement also contains provisions such as a non-solicitation clause, designed to protect Seagate's interests. While this filing doesn't report on operational or financial performance, it provides transparency regarding executive departures and associated costs.
Key Highlights
- 1Brian S. Dexheimer, former Division President, officially ceased employment with Seagate on July 3, 2009.
- 2Seagate and Mr. Dexheimer entered into a Separation of Employment and Release Agreement.
- 3Mr. Dexheimer will receive a lump sum cash payment of $2,332,887, representing 18 months of his annual salary and 1.5 times his target annual bonus.
- 4An additional $29,944 payment will be made to help defray costs for continued health insurance (COBRA) and outplacement assistance for one year.
- 5These separation benefits were calculated using Mr. Dexheimer's fiscal year 2009 annual salary rate prior to a 25% reduction.
- 6The agreement includes a one-year non-solicitation clause, preventing Mr. Dexheimer from soliciting Seagate employees or contractors.
- 7The payments are contingent upon Mr. Dexheimer adhering to the terms of the Separation Agreement.