RTI SURGICAL, INC. (NASDAQ:RTIX) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers
Item5.02. Departure of Directors or Certain Officers; Election of
Directors; Appointment of Certain Officers; Compensatory
Arrangements of Certain Officers.
(e) Compensatory Arrangements of Certain Officers
2017 Salaries and Bonus Targets. On March14, 2017, the
Compensation Committee of the Board of Directors (the
Compensation Committee) of RTI Surgical, Inc. (the Company)
approved 2017 salaries and bonus targets (expressed as a
percentage of salary) for each of the Companys executive
officers. The Company disclosed the salaries and bonus targets
for certain executive officers in its Current Report on Form 8-K,
filed March20, 2017 (the March 20 8-K), and indicated that an
amendment would be filed once the Compensation Committee
determined the performance criteria.
On May3, 2017, the Compensation Committee completed a bonus plan
for the 2017 calendar year (the 2017 Bonus Plan) by determining
the performance criteria. The 2017 Bonus Plan, as a whole, sets
target bonus amounts and performance criteria for executive
officers. The performance criteria for each executive officer
identified in the March20 8-K are as follows: 30% based on
attaining certain total revenue benchmarks; 30% based on
attaining certain operating income as a percentage of total
revenues benchmarks; and 40% based on attaining certain free cash
flow benchmarks. As in the past, the Compensation Committee
retains discretion to take other factors into account in
determining bonuses and to award no bonuses even if performance
criteria are met or to increase or lower such bonuses, based upon
other factors. The table below sets forth this information (the
2017 Salary and Bonus Target columns were included in the March
20 8-K and are
repeated here for completeness):
|
Name |
Office |
2017 Salary | Bonus Target |
Bonus Criteria |
||||||||
|
Camille Farhat |
President and Chief Executive Officer | $ | 635,000 | % |
Total Revenues 30.0%, Operating Income as a percentage of Total Revenues 30.0% and Free Cash Flow 40.0% |
|||||||
|
Robert P. Jordheim |
Executive Vice President and Chief Financial Officer | $ | 374,286 | % |
Total Revenues 30.0%, Operating Income as a percentage of Total Revenues 30.0% and Free Cash Flow 40.0% |
|
Roger W. Rose |
President, RTI Donor Services, Executive Vice President | $ | 350,115 | % |
Total Revenues 30.0%, Operating Income as a percentage of Total Revenues 30.0% and Free Cash Flow 40.0% |
|||||||
|
Kevin D. Brandt |
Executive Vice President, Chief Commercial Officer Domestic Direct |
$ | 337,366 | % |
Total Revenues 30.0%, Operating Income as a percentage of Total Revenues 30.0% and Free Cash Flow 40.0% |
|||||||
|
John N. Varela |
Executive Vice President Global Operations | $ | 337,428 | % |
Total Revenues 30.0%, Operating Income as a percentage of Total Revenues 30.0% and Free Cash Flow 40.0% |
About RTI SURGICAL, INC. (NASDAQ:RTIX)
RTI Surgical, Inc. is engaged in producing orthopedic and other surgical implants that repair and promote the natural healing of human bone and other human tissues. The Company uses natural tissues, metals and synthetics process to produce its products. The Company’s business primarily consists of six categories, such as spine, sports medicine, ortho fixation, bone graft substitutes and general orthopedic (BGS and general orthopedic), dental and surgical specialties. It processes donated human musculoskeletal and other tissue, including bone, cartilage, tendon, ligament, fascia lata, pericardium, sclera and dermal tissue, and bovine and porcine animal tissue in producing allograft and xenograft implants utilizing BIOCLEANSE, TUTOPLAST and CANCELLE SP sterilization processes, and manufactures metal and synthetic implants for distribution to hospitals and surgeons. The Company distributes its implants and services in approximately 50 states and in over 45 countries across the world.