Business Context and Reporting Period
This Form 8-K filing by E. I. du Pont de Nemours and Company (EIDP, Inc.) reports on events occurring on February 2, 2005, with the report dated February 8, 2005. The filing details the approval of executive compensation awards under the company's Variable Compensation Plan and Stock Performance Plan.
Key Financial Metrics
This filing does not report consolidated revenue, profit, cash flow, margins, debt, or liquidity metrics. It focuses exclusively on specific compensation awards granted to named executive officers (NEOs) for the 2004 performance period.
| Executive Officer | Title | Variable Compensation ($) | Stock Options | Time-Vested RSUs | Performance-Based RSUs |
|---|---|---|---|---|---|
| R. R. Goodmanson | Executive Vice President & COO | 806,000 | 103,500 | 13,500 | 14,900 |
| J. C. Hodgson | Senior Vice President | 581,000 | 57,400 | 7,500 | 7,500 |
| S. J. Mobley | Senior Vice President, CAO & General Counsel | 571,000 | 70,700 | 9,200 | 9,200 |
| G. M. Pfeiffer | Senior Vice President & CFO | 571,000 | 70,700 | 9,200 | 9,200 |
Material Changes
The filing does not provide comparative data against prior periods for these specific awards. It reports the entry into a material definitive agreement regarding the approval of these specific compensation packages.
Guidance, Outlook, and Plan Details
Variable Compensation Plan: Covers approximately 6,600 employees. Awards vary based on company performance (earnings per share, return on investor's capital), business unit performance (operating income, free cash flow, revenue), and individual objectives.
Stock Performance Plan:
- Vesting: Options and time-vested RSUs vest in one-third increments over three years.
- Term: Options have a six-year term.
- Performance Metrics: Performance-based RSUs are paid out based on revenue growth and return on investor's capital relative to peer companies over a three-year period.
The filing references the Variable Compensation Plan and Stock Performance Plan as previously filed in the 2003 Form 10-K (Exhibits 10.5 and 10.4, respectively).
Investor Verification Checklist
- Verify the specific vesting schedules and performance hurdles for the 2004 awards in the referenced 2003 Form 10-K exhibits.
- Confirm the total number of shares authorized under the Stock Performance Plan to assess dilution impact.
- Review the company's 2004 annual report to correlate the variable compensation metrics (EPS, ROIC) with the actual payouts listed.
- Check subsequent filings for any modifications to the performance-based RSU targets or vesting conditions.