Summary
This 8-K filing from Verizon Communications Inc. announces a significant executive transition in its finance department. Francis J. Shammo, the current Executive Vice President and Chief Financial Officer, has announced his intention to step down from his CFO role on November 1, 2016, and retire from the company by the end of 2016. This marks the end of his tenure and an important leadership change for the company's financial operations. To fill this critical role, the Verizon Board of Directors has appointed Matthew D. Ellis as the new Executive Vice President and Chief Financial Officer, also effective November 1, 2016. In conjunction with his promotion, Mr. Ellis's compensation has been adjusted to reflect his increased responsibilities, including a higher base salary, a significantly increased short-term incentive opportunity, and a boosted long-term incentive opportunity. Investors should monitor the impact of this leadership change on Verizon's financial strategy and performance.
Key Highlights
- 1Francis J. Shammo, EVP and CFO, announced plans to step down as CFO on November 1, 2016, and retire by year-end 2016.
- 2Matthew D. Ellis appointed as the new EVP and CFO, effective November 1, 2016.
- 3Mr. Ellis's compensation package includes a base salary of $700,000.
- 4Mr. Ellis's target short-term incentive opportunity increased from 90% to 150% of base salary.
- 5Mr. Ellis's target long-term incentive opportunity increased from 300% to 500% of base salary.
- 6A press release dated September 1, 2016, detailing these changes is included as an exhibit.