Business Context and Reporting Period
Company: Portfolio Recovery Associates, Inc.
Filing Type: Form 8-K (Current Report)
Date of Report: January 28, 2008
Subject: Item 5.02 - Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
This filing discloses the award of annual incentive cash bonuses to named executive officers based on the Company's 2007 fiscal year performance targets.
Key Financial Metrics
The filing does not provide revenue, profit, cash flow, margins, debt, or liquidity metrics. The document focuses exclusively on executive compensation details.
Material Changes
No material changes to financial performance or operations are reported in this filing. The document reports the execution of a compensatory arrangement for the 2007 fiscal year.
Management Commentary and Unusual Items
The Compensation Committee recommended the bonuses to provide incentive compensation based on the Company's achievement of certain performance targets and individual executive contributions. The bonuses were paid in 2008 for 2007 performance.
- Steven D. Fredrickson (Chairman and CEO): $550,000
- Kevin P. Stevenson (EVP/CFO): $375,000
- Craig A. Grube (EVP, Acquisitions): $400,000
- Judith S. Scott (EVP, General Counsel & Secretary): $148,000
Investor Verification Checklist
- Verify the specific 2007 performance targets that triggered these bonus amounts in the Company's Annual Report (Form 10-K).
- Confirm the total cash outflow impact of these bonuses on the Company's 2008 liquidity position.
- Review the Company's compensation policy to ensure alignment with shareholder interests regarding the magnitude of these awards.