8-KLeadership Changes

THERMO FISHER SCIENTIFIC INC. 8-K Report, Executive Changes (Sep 7, 2018)

Filed September 7, 2018For Securities:TMO

Summary

Thermo Fisher Scientific Inc. (TMO) announced a key board appointment on September 6, 2018, with the election of James C. Mullen as a director, effective November 8, 2018. Mr. Mullen brings significant executive experience, having previously served as CEO of Patheon N.V. (acquired by TMO in 2017) and as CEO and President of Biogen. Mr. Mullen's appointment to the Board's Strategy and Finance Committee is noteworthy, suggesting his strategic and financial acumen will be leveraged. Investors should note that Mr. Mullen will continue to receive severance payments from his previous role at Patheon through August 2019, a payment structure established prior to his directorship with Thermo Fisher and not contingent on his service to the company. He will be compensated under the company's standard director compensation arrangements.

Key Highlights

  • 1James C. Mullen appointed as a director effective November 8, 2018.
  • 2Mr. Mullen will serve on the Company's Strategy and Finance Committee.
  • 3Mr. Mullen has prior executive experience as CEO of Patheon N.V. and Biogen.
  • 4Severance payments to Mr. Mullen from Patheon ($2.2 million over 24 months) will continue through August 2019.
  • 5Severance payments are not contingent on continued service and were pre-existing.
  • 6Mr. Mullen will receive standard compensation for non-employee directors.

Frequently Asked Questions

James C. Mullen is a new director elected to Thermo Fisher Scientific's Board, effective November 8, 2018. His appointment is significant due to his extensive executive experience, including leading Patheon N.V. (which Thermo Fisher acquired) and Biogen. He will also serve on the Strategy and Finance Committee, indicating his expertise will be utilized in key areas.

Mr. Mullen will continue to receive severance payments from his previous employment with Patheon N.V., totaling $2.2 million over 24 months, through August 2019. These payments were established prior to his appointment as a director and are not contingent on his service to Thermo Fisher, thus they represent a pre-existing obligation from the Patheon acquisition and not a new expense related to his directorship.

Mr. Mullen will be compensated according to Thermo Fisher's standard agreements and arrangements for non-employee directors. This includes the company's standard form of indemnification agreement.