NABORS INDUSTRIES LTD. (NYSE:NBR) 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 December31, 2018, Nabors Industries Limited (“Nabors Bermuda”) and Nabors Industries,Inc. (“Nabors Delaware”) entered into a sixth amendment to the executive employment agreement with Anthony G. Petrello, Chairman, President and Chief Executive Officer of each of Nabors Bermuda and Nabors Delaware (the “Petrello Amendment”). The Petrello Amendment provides for the following: (i)a reduction of the annual rate of base salary payable under Mr.Petrello’s employment agreement from $1.75 million per year to $1.575 million per year for an interim period commencing as of the first pay period for fiscal year 2019 and ending on the end of the last pay period for fiscal year 2019; (ii)if Total Shareholder Return is negative at the end of the Performance Period with respect to a TSR Award, the number of shares that may vest with respect to such TSR Award shall not exceed the number of shares that would vest if the performance goals with respect to Total Shareholder Return set forth in the applicable award agreement were achieved at Target Performance; and (iii)any TSR Shares that remain unvested at the time of a Change in Control shall become fully vested upon such Change in Control as if the performance goals with respect to Total Shareholder Return set forth in the applicable award agreement were achieved at maximum levels.

Also on December31, 2018, Nabors Bermuda and Nabors Delaware entered into a fifth amendment to the executive employment agreement with William Restrepo, Chief Financial Officer of each of Nabors Bermuda and Nabors Delaware (the “Restrepo Amendment”). The Restrepo Amendment provides for the following: (i)if Total Shareholder Return is negative at the end of the Performance Period with respect to a TSR Award, the number of shares that may vest with respect to such TSR Award shall not exceed the number of shares that would vest if the performance goals with respect to Total Shareholder Return set forth in the applicable award agreement were achieved at Target Performance; and (ii)any TSR Shares that remain unvested at the time of a Change in Control shall become fully vested upon such Change in Control as if the performance goals with respect to Total Shareholder Return set forth in the applicable award agreement were achieved at maximum levels.

Finally, also on December31, 2018, the Compensation Committee of Nabors Bermuda (the “Committee”) approved a transaction to which Mr.Petrello forfeited awards granted to him on January2, 2018, consisting of an aggregate of 848,142 restricted shares having a grant date fair value of approximately $4.0 million (calculated using the Monte Carlo valuation method), which would have been eligible to vest at the end of a three-year performance period based on the relative total shareholder return of Nabors Bermuda common shares as compared to a peer group of companies over such period the (“2018 TSR Shares”). In exchange for such forfeiture, Mr.Petrello received an award of 750 restricted shares, having a grant date fair value of $1,500, that vests in equal installments on the first three anniversaries of the date of grant.

The cap on the award of TSR Shares in the Amendments was in response to shareholder comments regarding best governance practices. Mr. Petrello initiated the exchange of his 2018 TSR Shares with a grant date value of approximately $4.0 million for $1,500 in time-based restricted shares to reduce his total compensation for 2018. Additionally, as he has done in the past, Mr. Petrello reduced his base salary as part of an initiative to support cost reductions for 2019.

The descriptions above of the Petrello Amendment and the Restrepo Amendment (together, the “Amendments”) are qualified in their entirety by reference to the Amendments, which are attached hereto as Exhibit10.1 and Exhibit10.2, respectively, and are incorporated by reference herein. All capitalized terms used but not defined in the foregoing descriptions of the Amendments have the meanings given such terms in the respective employment agreements, as amended, of Messrs.Petrello and Restrepo.