Summary
Western Digital Corporation (WDC) announced a significant leadership transition via an 8-K filing on September 10, 2012. Effective January 2, 2013, current President Stephen D. Milligan will succeed John F. Coyne as President and Chief Executive Officer. Mr. Coyne, who has served as CEO for over five years, will retire on that date. This transition follows Mr. Milligan's recent return to WDC in March 2012 as President through the acquisition of Hitachi Global Storage Technologies (HGST). The filing also details Mr. Milligan's updated employment agreement, including his base salary, bonus potential, and severance plan participation. Furthermore, it outlines substantial long-term incentive awards granted to Mr. Milligan on September 6, 2012, comprising performance shares, restricted stock units, and stock options, reflecting a significant investment in his leadership and future performance.
Key Highlights
- 1John F. Coyne, CEO of Western Digital, will retire effective January 2, 2013.
- 2Stephen D. Milligan, currently President, will assume the roles of President and CEO on January 2, 2013.
- 3Mr. Milligan will also join the Board of Directors and its Executive Committee upon becoming CEO.
- 4Mr. Milligan's new employment agreement includes an annual base salary of $1 million and a target bonus of 150% of base salary.
- 5Significant long-term incentive awards, including performance shares, restricted stock units, and stock options, were granted to Mr. Milligan on September 6, 2012.
- 6Mr. Milligan previously served as President of HGST before its acquisition by WDC and has held other executive finance roles within WDC.