Plains All American Pipeline, L.P. (NYSE:PAA) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain OfficersItem 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On July 5, 2017, the board of directors of PAA GP Holdings LLC, the general partner of Plains GP Holdings, L.P., the sole member of Plains All American GP LLC, the general partner of Plains AAP, L.P., the sole member of PAA GP LLC, the general partner of Plains All American Pipeline, L.P. (the “Partnership” or “PAA”), approved various changes to the compensation arrangements for Named Executive Officers. These changes reflect a recognition of current and expected market conditions and are designed to ensure top level performance in an uncertain environment.
The changes approved by the board included the following grants of phantom units to our Named Executive Officers under our Long-Term Incentive Plans:
|
NameandTitle |
No.ofPhantomUnitsGranted |
|
Wilfred (Willie) C. Chiang, Executive Vice President and Chief Operating Officer (U.S.) |
65,000 |
|
Al Swanson, Executive Vice President and Chief Financial Officer |
35,000 |
|
Richard McGee, Executive Vice President, General Counsel and Secretary |
35,000 |
|
Daniel J. Nerbonne, Executive Vice President — Operations and Engineering |
35,000 |
The phantom units will vest (become payable 1-for-1 in PAA common units) in full on the May2019 distribution date and include tandem distribution equivalent rights.
In connection with the intent to lower annual bonus awards, the board also approved salary increases for our Named Executive Officers (other than Mr. Armstrong) in amounts ranging from $100,000 to $150,000.
For more information regarding compensation of our Named Executive Officers and our equity compensation plans, please see our 2016 Annual Report on Form10-K filed with the SEC on February23, 2017.