Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On
The Committee considered the impact of the COVID-19 pandemic on the Company's
business operations, the Company's new strategic focus on accelerating the
adoption of additive manufacturing solutions for applications in growing
markets, and the reorganization of the Company's leadership team under new
President and Chief Executive Officer, Dr.
The Revised Bonus Plan provides for potential cash incentive payments based on achievement of cost-reduction goals during the third and fourth quarters of 2020, subject to the terms of certain executive employment agreements. The Company will accrue an amount to fund payout of the Revised Bonus Plan at target, with funding above target dependent upon the Company's achievement of a minimum specified adjusted EBITDA for the second half of 2020. The target payouts as percentages of salary remained consistent with the Prior Bonus Plan; however, since the Revised Bonus Plan will be based on the performance during the second half of 2020, target payout amounts are prorated for the partial year and will be 47% of the target amounts that could have been earned under the Prior Bonus Plan. The funding levels for the achievement of the resizing and cost-reduction goals range from 0% to 120% of the second half target payout (0% to 56.4% of the full year target payout), depending on the achievement of such goals as certified by the Committee in early 2021. Under the Prior Bonus Plan, the maximum payouts were 150% of the target payout.
© Edgar Online, source