Business Context and Reporting Period
This Form 8-K Current Report was filed by Applied Materials, Inc. on July 22, 2016. The report addresses corporate governance changes, specifically the appointment of a new director to the Board of Directors.
Key Financial Metrics
The filing does not provide financial performance data such as revenue, profit, cash flow, margins, debt, or liquidity. The document focuses exclusively on director compensation arrangements.
Material Changes
The primary material change reported is the appointment of Judy Bruner as a member of the Board of Directors and the Audit Committee, effective immediately on July 22, 2016.
Management Commentary and Compensation Details
Ms. Bruner will receive standard non-employee director compensation, including:
- An annual retainer of $65,000, prorated based on service during the year.
- A fee of $2,000 for each committee meeting attended.
- An automatic grant of restricted stock units (RSUs) valued at $200,000, divided by the market value of Applied common stock on the appointment date.
The RSUs are prorated based on the period from the appointment date to the 2017 Annual Meeting of Stockholders and are scheduled to vest in full on March 1, 2017, subject to continued service.
Investor Verification Points
- Confirm the exact number of RSUs granted based on the stock price on July 22, 2016.
- Verify the vesting schedule and conditions for the restricted stock units.
- Review the total annual compensation package for non-employee directors to ensure consistency with prior filings.