IMAX Corporation (NYSE:IMAX) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain OfficersItem 5.02Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On December18, 2017, IMAX Corporation (the “Company”) came to an agreement (the “Agreement”) with Robert D. Lister with respect to the terms of his continued employment as Chief Legal Officer and Senior Executive Vice President of the Company. Mr.Lister’s current employment agreement (the “Prior Agreement”) is set to expire on December31, 2017.
Under the Agreement, Mr.Lister’s new employment term will begin on January1, 2018 and will expire on December31, 2020 (the “Term”). Mr.Lister’s base salary remains unchanged at $700,000 per year of the Term, and his annual target bonus remains equal to 60% of his base salary. In addition, consistent with the Prior Agreement, Mr.Lister will receive annual equity grants during each year of the Term with a grant date fair value equal to $1.4million. The annual equity grants will consist of 75% restricted share units and 25% stock options, and will vest in four equal annual installments beginning on the first anniversary of each applicable grant date. Mr.Lister will also be entitled to medical and other welfare and fringe benefits on the same basis as generally available to other senior executives of the Company.
In the event the Company does not offer to renew Mr.Lister’s employment on substantially similar terms following the expiration of the Term, the Company will pay Mr.Lister his base salary, automobile payments and a pro-rated target bonus for a period equal to twelve months (increasing to eighteen months in the event the non-renewal occurs following a change of control). In addition, any options or RSUs that remain unvested as of December31, 2020, but which would have vested by March 2021, shall be accelerated to vest on December31, 2020. Any other unvested equity will be forfeited.
All other terms, including with respect to termination, resignation, and restrictive covenants are substantially similar to the Prior Agreement, as previously disclosed by the Company.
About IMAX Corporation (NYSE:IMAX)
Imax Corp is a Canada-based entertainment technology company. The Company operates through the following segments: the IMAX systems, the theater system maintenance, the joint revenue sharing arrangements, film production and IMAX DMR, film distribution, film post-production and other. The IMAX systems segment designs, manufactures, sells or leases IMAX theater projection system equipment. The theater system maintenance segment maintains IMAX theater projection system equipment in the IMAX theater network. The joint revenue sharing arrangements segment provides IMAX theater projection system equipment to exhibitors. The film production and IMAX DMR segment produces films and performs film re-mastering services. The film distribution segment distributes films. The film post-production segment provides film post-production and film print services. The other segment includes certain IMAX theaters that the Company owns and operates, camera rentals and other miscellaneous items.