8-K/ALeadership Changes

UNITED PARCEL SERVICE INC 8-K/A Report, Executive Changes (May 11, 2015)

Filed May 11, 2015For Securities:UPS

Summary

This 8-K/A filing from United Parcel Service (UPS) on May 11, 2015, primarily serves to supplement an earlier filing regarding executive leadership changes. The key event is the retirement of Senior Vice President and Chief Financial Officer, Kurt P. Kuehn, effective July 1, 2015, and the appointment of Richard Peretz to the CFO role on the same date. Investors should note the compensation adjustments related to this transition. The filing details the Compensation Committee's decisions regarding the new CFO, Richard Peretz, including an increase in his base monthly salary to $38,000 and setting his Long-Term Incentive Performance Plan (LTIP) target at 350% of annual base salary for awards made after January 1, 2016. Additionally, departing CFO Kurt P. Kuehn will receive a $1,000,000 cash bonus in recognition of his extensive contributions and assistance with the transition.

Key Highlights

  • 1Kurt P. Kuehn is retiring as Senior Vice President and Chief Financial Officer, effective July 1, 2015.
  • 2Richard Peretz has been appointed as the new Chief Financial Officer, effective July 1, 2015.
  • 3Richard Peretz's base monthly salary will increase to $38,000 upon assuming the CFO role.
  • 4The LTIP target for the CFO position is set at 350% of annual base salary for awards made after January 1, 2016.
  • 5Outgoing CFO Kurt P. Kuehn will receive a $1,000,000 cash bonus for his service and transition efforts.

Frequently Asked Questions

Richard Peretz will replace Kurt P. Kuehn as the Chief Financial Officer, with the transition effective July 1, 2015.

Richard Peretz's base monthly salary will be increased to $38,000, effective July 1, 2015. His Long-Term Incentive Performance Plan (LTIP) target will be 350% of annual base salary for awards granted after January 1, 2016.

The bonus is a recognition of Kurt P. Kuehn's significant contributions to UPS over his years of service, his role as CFO during 2015, and his assistance in transitioning his duties to the new CFO.