FedEx Corporation (NASDAQ:FDX) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
Item5.02.
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Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers. |
As reported in FedEx Corporations (FedEx) Form 8-K dated
September23, 2016 and filed on September26, 2016, T. Michael
Glenn will retire as FedExs Executive Vice President Market
Development Corporate Communications, effective December31, 2016.
On December21, 2016, FedEx entered into a consulting agreement
with Mr.Glenn. A summary of the key terms of Mr.Glenns consulting
agreement follows.
Term. The term of the agreement begins on
January1, 2017 and ends on December31, 2021. The agreement may be
terminated earlier by either party upon 90 days prior written
notice.
Services Provided. Mr.Glenn will provide
strategic marketing and communications advice as determined by,
and upon the request of, FedExs Chairman and Chief Executive
Officer. Mr.Glenns services will be limited to no more than 30
hours per month.
Payment for Services.On January31, 2017, Mr.Glenn
will receive $884,112. In addition, on the last day of each
calendar quarter during the term of the agreement, beginning on
March31, 2017, Mr.Glenn will receive $54,800. During the term of
the agreement, FedEx will also provide Mr.Glenn:
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Reasonable administrative assistance in connection with his performance of consulting services; |
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Reimbursement for any required travel expenses on terms consistent with FedExs expense reimbursement policies and procedures; |
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Computer and communications equipment, systems and support on a basis similar to that provided to FedEx executive management; |
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Access to FedEx email on a basis consistent with that afforded to FedEx executive management; and |
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Home security monitoring services on a basis comparable to such services provided to Mr.Glenn at the time of the agreement and to those provided to FedEx executive management. |
FedEx will reimburse Mr.Glenn for the costs of preparing and
filing his 2016 income tax returns in accordance with FedExs
generally applicable policies for reimbursing officers for such
costs, provided that Mr.Glenn submits such request for
reimbursement in writing no later than August31, 2017. In
addition, Mr.Glenn will be reimbursed for reasonable and
necessary out-of-pocket expenses incurred in the performance of
his consulting services on a basis consistent with that of FedEx
executive management.
Non-Compete Agreement. During the term of the
agreement, Mr.Glenn has agreed that he will not engage as a
principal, employee, agent, consultant, or independent contractor
for, or act in any other capacity with, the United States Postal
Service, United Parcel Service, Amazon.com or DHL, except with
the prior written consent of FedEx.
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