In the event of Management/Corporate consolidation in a merger/acquisition, how are LCC Upper, Midlevel, and Junior Executive Officer's Change of Control Contingencies, Protections and Provisions defined and triggered in executive contracts? If Pilots surrender COC protections and provisions, will executive officers also cede reward, protections, and provisions defined in their contract under COC?
Questions for the BPR, NAC, and Attorneys
- Thread starter Graceson
- Start date
“A leader is one who knows the way, goes the way, and shows the way.” ~John C. Maxwell
With prevailing assurances, Management is also invited to cede their contractural protections. Lead by example, go the way you ask of your followers.
http://quote.morningstar.com/stock-filing/Proxy-Statement/2012/6/14/t.aspx?t=XNYS:LCC&ft=DEF%2014A&d=398b2642e107bccbfb60ec2a90aeee33
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 14A
Effective Date 6/14/2012
Potential Payments Upon Termination or Change in Control:
The Parker Agreement also provides for certain change in control and severance benefits, as described more fully below.
This section describes payments that would be made to our named executive officers upon a change in control of the Company or following a qualifying termination of employment. In the first part of this section, we describe benefits under general plans that apply to any executive officer participating in those plans. We then describe specific benefits to which each named executive officer is entitled, along with estimated amounts of benefits assuming termination and/or a change in control as of December 31, 2011 for specified reasons.
Executive Change in Control Agreements for Messrs. Kirby, Isom, Johnson and Kerr
Messrs. Kirby, Isom, Johnson and Kerr have each entered into our form of Executive Change in Control Agreement, effective as of November 28, 2007 or, in the case of Mr. Johnson, when he joined the Company on March 16, 2009. These agreements have an initial term of two years and automatically renew for successive two year terms unless we provide at least 180 days advance written notice to the executive. These agreements provide benefits to the executives upon a termination of employment, by us for any reason other than “misconduct” or disability or by the executive with “good reason,” in each case within 24 months following a “change in control” (each as defined in the Executive Change in Control Agreements) or, subject to certain conditions described below, prior to a change in control in contemplation of that change in control.
With prevailing assurances, Management is also invited to cede their contractural protections. Lead by example, go the way you ask of your followers.
http://quote.morningstar.com/stock-filing/Proxy-Statement/2012/6/14/t.aspx?t=XNYS:LCC&ft=DEF%2014A&d=398b2642e107bccbfb60ec2a90aeee33
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 14A
Effective Date 6/14/2012
Potential Payments Upon Termination or Change in Control:
The Parker Agreement also provides for certain change in control and severance benefits, as described more fully below.
This section describes payments that would be made to our named executive officers upon a change in control of the Company or following a qualifying termination of employment. In the first part of this section, we describe benefits under general plans that apply to any executive officer participating in those plans. We then describe specific benefits to which each named executive officer is entitled, along with estimated amounts of benefits assuming termination and/or a change in control as of December 31, 2011 for specified reasons.
Executive Change in Control Agreements for Messrs. Kirby, Isom, Johnson and Kerr
Messrs. Kirby, Isom, Johnson and Kerr have each entered into our form of Executive Change in Control Agreement, effective as of November 28, 2007 or, in the case of Mr. Johnson, when he joined the Company on March 16, 2009. These agreements have an initial term of two years and automatically renew for successive two year terms unless we provide at least 180 days advance written notice to the executive. These agreements provide benefits to the executives upon a termination of employment, by us for any reason other than “misconduct” or disability or by the executive with “good reason,” in each case within 24 months following a “change in control” (each as defined in the Executive Change in Control Agreements) or, subject to certain conditions described below, prior to a change in control in contemplation of that change in control.
A320 Driver
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You know? That's a great question! One that should be posed to Kirby on Friday when he visits USAPA headquarters.
If I'm to give up CoC without argument, are the execs giving up the same thing?
Driver...
If I'm to give up CoC without argument, are the execs giving up the same thing?
Driver...
With their LPPs, yes. I'd gratefully be terminated for tons less than they're guaranteed under contract. But the scraps of our LPPs under contract should at least offer the smallest luxury of actually working for the meager wage...
BoeingBoy
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Nope, you don't get what they'd get any more than your annual pay equals their annual pay. You get the same percentage of your pay as they get of theirs. Still want to take that deal?
Jim
Thanks, Jim..
I agree. The terms and scope of executive protective provisions are dissimilar to the terms and scope of pilot protective provisions. A hybrid of the two doesn't seem well suited for either party.
