Business Context and Reporting Period
This Form 8-K Current Report was filed by BlueLinx Holdings Inc. on June 8, 2009, covering events occurring on June 4, 2009. The filing addresses Item 5.02 regarding the formalization of an employment agreement with a senior executive.
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 executive compensation terms.
Material Changes
Effective June 4, 2009, BlueLinx Corporation entered into a new Employment Agreement with Dean A. Adelman, Chief Administrative Officer. This agreement formalizes existing terms for Mr. Adelman, who has served in this role since May 2008. The agreement includes specific provisions regarding salary, bonus potential, termination benefits, and non-compete restrictions.
Guidance, Outlook, and Management Commentary
The filing contains no financial guidance, outlook, or general management commentary regarding business operations. The primary details provided relate to the compensation structure for Mr. Adelman:
- Base Salary: $315,000 per year.
- Bonus Potential: Target of 50% of base salary, with a maximum of 100% of base salary, subject to performance goals.
- Term: Expires June 4, 2011, with automatic one-year renewals unless 90 days' prior written notice is given.
- Termination Benefits: In the event of termination without cause or resignation for good reason, Mr. Adelman is entitled to one year of base salary plus one year of target bonus, payable in 12 monthly installments starting six months after termination.
- Restrictions: Includes a non-compete covenant for 18 months following termination under specific conditions.
Investor Verification Checklist
- Verify the full text of the Employment Agreement filed as Exhibit 10.1 for complete legal terms.
- Confirm the specific performance goals and bonus criteria defined by the Compensation Committee for the current fiscal year.
- Review the company's total executive compensation expense to assess the impact of this agreement on overall operating costs.
- Check for any subsequent filings regarding changes to Mr. Adelman's role or the agreement terms.