Business Context and Reporting Period
This Form 8-K is filed by CB Richard Ellis Group, Inc. (CBRE) on February 10, 2011. The report details actions taken by the Compensation Committee on February 2 and February 10, 2011, regarding executive compensation for the 2010 fiscal year and targets for 2011.
Key Financial Metrics
The filing does not provide consolidated revenue, profit, cash flow, margins, debt, or liquidity metrics. It focuses exclusively on executive compensation figures.
| Executive Officer | 2010 Bonus Awarded | 2011 Bonus Target | 2011 Base Salary Change |
|---|---|---|---|
| Brett White (CEO) | $3,230,000 | $1,700,000 | No change |
| Robert E. Sulentic (President) | $1,900,000 | $1,000,000 | No change |
| Gil Borok (CFO) | $570,000 | $400,000 | +$50,000 |
| Calvin W. Frese, Jr. (Group President) | $1,710,000 | $900,000 | No change |
| Robert Blain (President, Asia Pacific) | $856,134 | $520,000 | No change |
| Michael J. Strong (President, EMEA) | $1,026,565 | $640,000 | No change |
Note: Michael J. Strong is eligible for an additional bonus from the U.K. business profit share pool.
Material Changes
- 2010 Performance Awards: The Compensation Committee approved specific bonus amounts for 2010 based on financial performance and individual operational objectives under the Executive Incentive Plan (EIP) and Executive Bonus Plan (EBP).
- 2011 Targets: Target bonus amounts for 2011 were established, generally lower than the actual 2010 awards paid.
- Base Salary Adjustment: Base salaries remained unchanged for most executives, except for CFO Gil Borok, who received a $50,000 increase based on an independent compensation study.
Guidance, Outlook, and Risks
The filing does not contain financial guidance, market outlook, or specific risk factors. Management commentary is limited to the rationale for the CFO's salary increase and the basis for the 2010 awards (financial performance and operational objectives). The company notes that further details on 2010 compensation will be included in the 2011 proxy statement, expected to be filed around March 30, 2011.
Investor Verification Checklist
- Verify the final 2010 compensation details in the upcoming 2011 proxy statement (expected ~March 30, 2011).
- Confirm the specific financial performance metrics used to calculate the 2010 bonuses, as the filing states they were based on "financial performance" without listing specific targets.
- Review the independent compensation study by Frederic W. Cook & Co., Inc. referenced for the CFO's salary adjustment.
- Monitor the U.K. business profit share pool results to determine the final total compensation for Michael J. Strong.