Knowles Corporation Form 8-K Summary
Business Context and Reporting Period
This Current Report on Form 8-K was filed by Knowles Corporation (KN) on October 29, 2019. The report details corporate governance actions taken by the Board of Directors regarding executive compensation.
Key Financial Metrics
The filing text does not provide a clear value for revenue, profit, cash flow, margins, debt, or liquidity. This report focuses exclusively on the adoption of a new compensation plan and does not contain financial performance data.
Material Changes
On October 29, 2019, the Board of Directors approved the adoption of the Knowles Corporation Deferred Compensation Plan, effective December 1, 2019. This represents a material change in the company's compensatory arrangements for select management and highly compensated employees.
Guidance, Outlook, and Management Commentary
The filing does not contain financial guidance, outlook, or general management commentary regarding business performance. The primary commentary relates to the structure of the new Deferred Compensation Plan:
- Eligibility: Select management and highly compensated employees, including executive officers.
- Deferral Limits: Participants may defer up to 75% of base salary and up to 100% of annual incentive awards, sales incentives, restricted stock units, and performance share units.
- Company Contributions: The Plan permits matching, profit sharing, and discretionary contributions.
- Distribution: Payments occur upon separation of service, change of control, or a specified date. Options include a single cash payment or up to 15 annual installments.
- Risk: Deferred compensation represents an unsecured obligation of the Company.
Investor Verification Checklist
- Review the full text of the Knowles Corporation Deferred Compensation Plan filed as Exhibit 10.1.
- Verify the specific eligibility criteria for "select management" and "highly compensated employees."
- Confirm the impact of the unsecured obligation on the company's balance sheet liabilities.
- Check for any subsequent filings regarding the actual participation rates or costs associated with the plan.