Business Context and Reporting Period
This Form 8-K Current Report was filed by Applied Materials, Inc. on December 13, 2005. The report details actions taken by the Human Resources and Compensation Committee of the Board of Directors regarding executive and director compensation, effective December 19, 2005, and for fiscal year 2006.
Key Financial Metrics
This filing does not contain financial performance data such as revenue, profit, cash flow, margins, debt, or liquidity. The document focuses exclusively on compensation adjustments.
Material Changes
The filing reports the following material changes to compensation structures:
- Executive Officer Salaries: Annual base salaries were adjusted for three named executive officers, effective December 19, 2005. Salaries for Michael R. Splinter, Mark R. Pinto, and Thomas St. Dennis remained unchanged.
- Nonemployee Director Compensation: Cash compensation retainers for Board Committee Chairs were updated for fiscal year 2006. Directors holding multiple chair positions will receive only the retainer for the highest-paying position.
Guidance, Outlook, and Risks
The filing contains no guidance, outlook, management commentary on business operations, risks, contingencies, or unusual items. The scope is limited to the approval of specific compensation packages.
Important Facts for Investors
- Executive Salary Adjustments: Franz Janker's salary is set at $500,000; Nancy H. Handel's at $440,000; and Farhad Moghadam's at $475,000. These represent increases from prior levels.
- Unchanged Executive Salaries: Michael R. Splinter ($945,000), Mark R. Pinto ($416,160), and Thomas St. Dennis ($450,000) retained their previous salary levels.
- Director Retainers: New annual retainers for Committee Chairs are $35,000 (Audit), $30,000 (Human Resources and Compensation), and $25,000 (Corporate Governance and Nominating).
- Effective Dates: Executive salary changes are effective December 19, 2005; Director compensation changes apply to fiscal year 2006.