Kite Pharma, Inc. (NASDAQ:KITE) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On December 22, 2016, the Compensation Committee (the “Committee”) of the Board of Directors (the “Board”) of Kite Pharma, Inc. (“Kite”) reviewed the annual base salary of Arie Belldegrun, M.D., FACS, President and Chief Executive Officer, Cynthia M. Butitta, Chief Operating Officer, David Chang, M.D., Chief Medical Officer and Executive Vice President of Research and Development, Helen Kim, Executive Vice President of Business Development, Paul Jenkinson, Chief Financial Officer, and Jeff Wiezorek, M.D., Senior Vice President of Clinical Development.

In recognition of Ms. Butitta’s, Dr. Chang’s, Mr. Jenkinson’s, Ms. Kim’s, and Dr. Wiezorek’s achievements and as a retention measure, the Committee approved an increase in (1) each of Ms. Butitta’s and Dr. Chang’s annual base salary for 2017 from $490,000 to $510,000, (2) Ms. Kim’s annual base salary for 2017 from $425,000 to $445,000, (3) Mr. Jenkinson’s annual base salary for 2017 from $400,000 to $410,000, and (4) Dr. Wiezorek’s annual base salary for 2017 from $350,000 to $400,000. In recognition of extraordinary performance and as an additional retention measure, the Committee also approved for (1) each of Ms. Butitta and Dr. Chang stock options for 90,600 shares of common stock and 24,800 restricted stock units (“RSUs”), (2) Ms. Kim stock options for 38,500 shares of common stock and 10,600 RSUs, (3) Mr. Jenkinson stock options for 24,200 shares of common stock and 6,600 RSUs and (4) Dr. Wiezorek stock options for 38,500 shares of common stock and 5,600 RSUs.

In addition, based on Dr. Belldegrun’s achievements and as a retention measure, the Committee recommended to the Board (1) an increase in Dr. Belldegrun’s annual base salary for 2017 from $600,000 to $650,000, (2) that his target annual cash bonus opportunity for 2017 be amended to provide that he may receive a performance bonus up to 90% of his annual base salary, and (3) stock options for 159,700 shares of common stock and 43,800 RSUs. The Board approved the Committee’s recommendations relating to Dr. Belldegrun’s compensation on December 27, 2016.

The options and RSUs granted to the Kite officers will be issued to Kite’s 2014 Equity Incentive Plan. The options will have an exercise price equal to the closing price of Kite’s common stock as reported on the NASDAQ Global Select Market on December 22, 2016, other than Dr. Belldegrun’s options, which will have an exercise price equal to the closing price of Kite’s common stock as reported on the NASDAQ Global Select Market on December 27, 2016. The options will have the following vesting schedule: 25% of the shares subject to the options will vest on the 12-month anniversary of the grant date, and 1/36th of the remaining shares subject to the options will vest in equal monthly installments over the next three years. The RSUs will vest in four equal annual installments, other than Dr. Belldegrun’s RSUs, which will vest in three equal annual installments.

In recognition of Kite’s achievement of all of its 2016 corporate goals and each officer’s efforts towards successful achievement of such goals, the Committee approved for each Kite officer, other than Dr. Belldegrun, the payment to each of the Kite officers of 50% of their target bonus opportunity for 2016 (prorated for any partial year of employment). In addition, the Committee recommended to the Board, and the Board approved, the payment to Dr. Belldegrun of 50% of his target bonus opportunity for 2016.

At 50% of the target bonus opportunity, Dr. Belldegrun will receive $450,000, each of Ms. Butitta and Dr. Chang will receive $245,000, Ms. Kim will receive $212,500, Mr. Jenkinson will receive $125,479 and Dr. Wiezorek will receive $175,000.

About Kite Pharma, Inc. (NASDAQ:KITE)

Kite Pharma, Inc. is a clinical-stage biopharmaceutical company. The Company is focused on the development and commercialization of cancer immunotherapy products to eradicate cancer cells. The Company offers engineered autologous cell therapy (eACT), which is an approach to the treatment of cancer. It is conducting over four pivotal studies of its lead product candidate, KTE-C19, a CAR-based therapy. It is conducting a Phase II clinical trial (ZUMA-1) of KTE-C19 in patients with refractory diffuse large B cell lymphoma (DLBCL), including primary mediastinal B cell lymphoma (PMBCL) and transformed follicular lymphoma (TFL). It is also conducting a Phase II clinical trial (ZUMA-2) of KTE-C19 in patients with relapsed/refractory mantle cell lymphoma (MCL), a Phase I-II clinical trial (ZUMA-3) of KTE-C19 in adult patients with relapsed/refractory acute lymphoblastic leukemia (ALL), and a Phase I-II clinical trial (ZUMA-4) of KTE-C19 in pediatric patients with relapsed/refractory ALL.

Kite Pharma, Inc. (NASDAQ:KITE) Recent Trading Information

Kite Pharma, Inc. (NASDAQ:KITE) closed its last trading session 00.00 at 47.72 with 547,695 shares trading hands.