Business Context and Reporting Period
This Form 8-K filing by MaxLinear, Inc. reports on events occurring on April 7, 2011. The filing details the approval of 2011 base salaries and the structure of the 2011 Executive Incentive Bonus Plan by the company's compensation committee.
Key Financial Metrics
The filing does not provide consolidated financial metrics such as revenue, profit, cash flow, margins, debt, or liquidity. The document focuses exclusively on executive compensation adjustments.
Material Changes
The primary material change reported is the adjustment of executive compensation effective April 1, 2011. Base salaries were increased for four of the five listed executive officers, while the CEO's salary remained unchanged. Additionally, a new performance-based bonus structure was established.
Guidance, Outlook, and Management Commentary
The 2011 Executive Incentive Bonus Plan ties 70% of potential awards to corporate performance goals (split equally between total revenue and operating income) and 30% to individual performance. The compensation committee retains discretion to adjust financial targets for acquisitions, non-recurring items, stock compensation, restructuring charges, and impairment charges. The committee also holds discretion to award bonuses exceeding target percentages if targets are exceeded or to pay partial bonuses if targets are missed.
Executive Compensation Adjustments
| Executive Officer | Previous Base Salary | New Base Salary | Target Bonus % | Target Bonus Amount |
|---|---|---|---|---|
| Kishore Seendripu, Ph.D. | $350,000 | $350,000 | 85% | $297,500 |
| Adam C. Spice | $250,000 | $265,000 | 50% | $132,500 |
| Kimihiko Imura | $210,000 | $215,000 | 30% | $64,500 |
| Patrick E. McCready | $170,000 | $190,000 | 30% | $57,000 |
| Madhukar Reddy, Ph.D. | $210,000 | $225,000 | 30% | $67,500 |
Important Facts for Investors to Verify
- Verify the specific revenue and operating income targets set for the 2011 fiscal year, as these are not disclosed in this filing.
- Confirm whether the company intends to utilize the committee's discretion to exclude stock compensation or restructuring charges from operating income calculations for bonus purposes.
- Monitor future filings for actual performance against the established targets to determine final bonus payouts.