Business Context and Reporting Period
This Form 8-K Current Report was filed by American Water Works Company, Inc. on April 27, 2022. The filing discloses a significant change in executive leadership, specifically the appointment of a new Chief Financial Officer.
Key Financial Metrics
The filing does not provide operational financial metrics such as revenue, profit, cash flow, margins, debt, or liquidity. The document focuses exclusively on executive compensation and appointment details.
Material Changes
On May 16, 2022, John C. Griffith will join the Company as Executive Vice President and Chief Financial Officer, serving as the principal financial officer. Concurrently, M. Susan Hardwick's title will change from President, Chief Executive Officer, and Chief Financial Officer to President and Chief Executive Officer, while remaining the principal executive officer.
Guidance, Outlook, and Compensation Details
Management commentary is limited to the announcement of the appointment. The filing details the following compensatory arrangements for Mr. Griffith:
- Base Salary: $725,000 annually.
- Annual Performance Plan: Prorated 2022 award opportunity equal to 100% of annual base salary (at target).
- Long-Term Performance Plan: 2022 awards based on an aggregate target of 250% of annual base salary (not prorated), including standard post-retirement vesting.
- Sign-on Bonus: $950,000 cash payment.
- Relocation: $120,000 lump-sum cash payment in lieu of specific relocation benefits.
- Other Benefits: Eligibility for Executive Severance Policy, Change of Control Severance Policy, and nonqualified deferred compensation plans.
Mr. Griffith brings experience as Managing Director of Mergers and Acquisitions for Bank of America Securities' Global Regulated Utilities and Renewable Energy Practice.
Investor Verification Checklist
- Verify the effective date of the leadership transition (May 16, 2022).
- Confirm the total initial cash compensation package ($725,000 base + $950,000 sign-on + $120,000 relocation).
- Review the vesting terms for the Long-Term Performance Plan awards.
- Check for any subsequent filings regarding the departure of the previous CFO or changes to the company's financial strategy.