ITEM 5.02 DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS;
APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN
OFFICERS.
On January 24, 2023, the Governance, Compensation and Nominating Committee (the
"Committee") of the Board of Directors of Comerica Incorporated ("Comerica")
approved the promotion of several officers. Executive Vice President Peter L.
Sefzik, age 47, has been named Senior Executive Vice President and Chief Banking
Officer; Executive Vice President and Chief Enterprise Technology and Operations
Services Officer Megan D. Crespi, age 49, has been named Senior Executive Vice
President and Chief Operating Officer; Executive Vice President and Chief
Financial Officer James J. Herzog, age 60, has been named Senior Executive Vice
President and Chief Financial Officer; and Executive Vice President and Chief
Risk Officer Jay K. Oberg, age 53, has been named Senior Executive Vice
President and Chief Risk Officer of Comerica and Comerica Bank, all effective
January 27, 2023.
Biographical information is available on pages 35-39 of our definitive proxy
statement for the 2022 Annual Meeting , filed with the Securities and Exchange
Commission on March 15, 2022, which is incorporated herein by reference. There
are no arrangements or understandings between Ms. Crespi and any other persons
pursuant to which she was appointed as an officer, and Ms. Crespi has no direct
or indirect material interest in any transaction required to be disclosed
pursuant to Item 404(a) of Regulation S-K. Ms. Crespi does not have a family
relationship with any member of the Board or any executive officer of Comerica.
In connection with the promotions, Comerica will increase Mr. Sefzik's base
salary to $650,000 per year, Ms. Crespi's base salary to $605,000 per year, Mr.
Herzog's base salary to $675,000 per year and Mr. Oberg's base salary to
$565,000 per year. With the new promotions, the Annual Executive Incentive
Program ("AEI") individual incentive targets under the Comerica Incorporated
2016 Management Incentive Plan, as amended and/or restated from time to time
will be 100% of base salary for Mr. Herzog and 90% for Mr. Sefzik, Ms. Crespi
and Mr. Oberg, and their AEI individual incentive maximum will be 200% and 180%
of base salary, respectively.
The promotions occurred concurrently with Comerica's annual equity grant cycle,
and as part of the annual grant, Mr. Sefzik received equity grants valued at a
total of approximately $1,200,000, Ms. Crespi received equity grants valued at a
total of approximately $850,000, Mr. Herzog received equity grants valued at a
total of approximately $1,300,000, and Mr. Oberg received equity grants valued
at a total of approximately $700,000, all as of the grant date of January 24,
2023. In each case, 60% of the equity award was allocated toward a target number
of performance-based restricted stock units under the senior executive long-term
performance program ("SELTPP"); 30% of the equity award was allocated toward
restricted stock units, and 10% of the equity award was allocated toward stock
options.
All of the equity grants were made under Comerica's Amended and Restated 2018
Long-Term Incentive Plan. The target grant of SELTPP restricted stock units is
subject to an updated form of SELTPP agreement approved by the Committee on
January 24, 2023 and attached hereto as Exhibit 10.1N, and is incorporated
herein by reference. The updated SELTPP agreement amends the calculation method
for Comerica's average return on common equity excluding certain non-performance
items and makes certain clarifying changes regarding TSR calculations, and was
used for all of the January 2023 SELTPP grants. It will be eligible to vest over
a three-year performance period (2023-2025), relative to targets established
toward the beginning of the performance period, with settlement occurring after
the end of the performance period. The description in this Current Report on
Form 8-K of the new form of SELTPP agreement is qualified in its entirety by
reference to the attached exhibit. The grant of restricted stock units is
subject to Comerica's standard employee restricted stock unit agreement (2020
non-cliff vesting version), with 50% of the shares vesting on the second
anniversary of the grant date and 25% vesting on each of the third and fourth
anniversaries of the grant date. The grant of stock options is subject to
Comerica's standard non-qualified stock option agreement, with the stock options
vesting 25% per year over four years and having a term of 10 years. Additional
information about Comerica's executive compensation program can be found in its
2022 Proxy Statement .
ITEM 7.01 REGULATION FD DISCLOSURE.
On January 25, 2023, Comerica issued a press release regarding the
organizational changes. A copy of the press release is attached hereto as
Exhibit 99.1.
The information in Items 7.01 and 9.01 of this report (including Exhibit 99.1
hereto) is being "furnished" and shall not be deemed "filed" for the purposes of
Section 18 of the Securities Exchange Act of 1934, as amended, is not subject to
the liabilities of that section and is not deemed incorporated by reference in
any filing under the Securities Act of
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1933, as amended, or the Securities Exchange Act of 1934, as amended, except as
shall be expressly set forth by specific reference in such a filing.
ITEM 9.01 FINANCIAL STATEMENTS AND EXHIBITS.
(d) Exhibits
10.1N Form of Standard Comerica Incorporated Senior Executive Long-Term
Performance Restricted Stock Unit Award Agreement under the Comerica
Incorporated 2018 Long-Term Incentive Plan (2023 version)
99.1 Press releas e dated January 25 , 2023
104 The cover page from Comerica's Current Report on Form 8-K, formatted in
Inline XBRL
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