Business Context and Reporting Period
This Form 8-K Current Report was filed by Leidos Holdings, Inc. on April 30, 2021. The filing primarily addresses significant changes in executive leadership, specifically the departure of the Chief Financial Officer and the appointment of successors effective July 5, 2021.
Key Financial Metrics
The filing text does not provide a clear value for revenue, profit, cash flow, margins, debt, or liquidity metrics. This report focuses exclusively on personnel changes and compensatory arrangements rather than financial performance data.
Material Changes
- Departure of CFO: James C. Reagan is leaving his role as Chief Financial Officer effective July 5, 2021, as part of his planned retirement.
- Appointment of New CFO: Christopher R. Cage, a 22-year company veteran previously serving as Senior Vice President, Chief Accounting Officer and Corporate Controller, was appointed as the new Chief Financial Officer effective July 5, 2021.
- Appointment of New CAO: Carly Kimball was appointed as Senior Vice President, Chief Accounting Officer and Corporate Controller, effective July 5, 2021.
Compensatory Arrangements and Outlook
James C. Reagan (Outgoing CFO):
- Will serve in an advisory capacity through the end of 2021.
- Consulting rate: $317.31 per hour.
- Maximum working hours: 1,860 hours in any 12-month period.
- Benefits include continued medical insurance and participation in the Leidos Retirement Plan.
- Will receive a one-time award on August 6, 2021, under the 2017 Omnibus Incentive Plan.
- Award composition: 50% performance shares, 30% performance restricted stock units, and 20% stock options.
- Total Fair Market Value of the award: $758,000.
- Previously served as CFO at CACI Products Company Inc. and Assurance Senior Manager at Ernst & Young LLP.
- Compensatory details for this specific appointment are not detailed in the text beyond the effective date.
The filing does not contain specific guidance, outlook, or risk factors related to financial performance.
Investor Verification Checklist
- Verify the transition timeline for the CFO role between July 5, 2021, and the end of 2021.
- Review the full text of the Consulting Employee Agreement (Exhibit 10.1) for additional terms regarding Mr. Reagan's advisory role.
- Confirm the vesting schedules and performance metrics for Mr. Cage's $758,000 equity award.
- Monitor future filings for the impact of these leadership changes on financial reporting and strategic direction.