8-K/ALeadership Changes

T-Mobile US, Inc. 8-K/A Report, Executive Changes (Aug 14, 2007)

Filed August 14, 2007For Securities:TMUSTMUSZTMUSITMUSL

Summary

This 8-K filing by T-Mobile US, Inc. (TMUS), specifically an Amendment to a previous filing, details significant changes to the compensation package of Mr. Thomas C. Keys following his appointment as President and Chief Operating Officer. The amendment clarifies his new base salary, a prorated cash performance award based on his new role, and an additional stock option grant. Investors should note that these adjustments reflect the company's recognition of Mr. Keys' expanded responsibilities. The compensation changes include a base salary of $375,000, a target bonus of 85% of his base salary for the remainder of 2007, and a separate prorated bonus for his prior duties. Additionally, Mr. Keys received options for 400,000 shares with a vesting schedule, indicating a long-term incentive tied to his performance in the new executive role.

Key Highlights

  • 1Mr. Thomas C. Keys' compensation was adjusted following his appointment as President and Chief Operating Officer.
  • 2His new annual base salary is set at $375,000, retroactive to his appointment date.
  • 3A cash performance award with a target bonus of 85% of base salary was granted for the period from his appointment to December 31, 2007.
  • 4This new performance award is in addition to a previously granted award for his prior duties.
  • 5Mr. Keys was granted options to purchase 400,000 shares of common stock at an exercise price of $31.76.
  • 6The stock options have a staggered vesting schedule, with one-fourth vesting after one year and the remainder vesting monthly over the following 36 months.
  • 7Mr. Keys does not have a formal employment agreement but participates in standard executive compensation programs.

Frequently Asked Questions

The main purpose of this 8-K Amendment is to formally report the updated compensation and benefits for Mr. Thomas C. Keys, who was recently appointed as President and Chief Operating Officer.

Mr. Keys' new compensation package includes an annual base salary of $375,000, a target cash performance award of 85% of his base salary for the remainder of 2007, and an award of 400,000 stock options with a graded vesting schedule.

Yes, Mr. Keys will receive two performance bonuses. One is a new bonus for his role as President and COO, prorated from his appointment date to December 31, 2007. The other is a prorated bonus related to his previous duties as Senior Vice President, Market Operations, West, covering the period from January 1, 2007, to his appointment date.

Mr. Keys was granted options to purchase 400,000 shares at $31.76 per share. These options vest over time: 25% vest one year after the grant date, and the remaining 75% vest in equal monthly installments over the subsequent 36 months.