Business Context and Reporting Period
This Form 8-K filing by Suburban Propane Partners, L.P. reports on events occurring on April 25, 2007, with the report dated April 26, 2007. The filing addresses significant changes in executive leadership, specifically the departure of the Chief Financial Officer and the appointment of a successor.
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 personnel changes and associated compensation arrangements.
Material Changes
- Departure of CFO: Robert M. Plante, Vice President and Chief Financial Officer, will retire effective September 29, 2007, concluding his tenure which began in 1977.
- Appointment of Successor: Michael A. Stivala, currently Controller and Chief Accounting Officer, will be promoted to Chief Financial Officer effective upon Mr. Plante's retirement.
- Transition Plan: Both executives will work closely together for the remainder of the fiscal year to ensure a smooth transition of responsibilities.
Outlook, Risks, and Unusual Items
Compensation and Benefits for Retiring CFO:
- Mr. Plante will remain an employee for up to 24 months post-retirement with a salary of $1,000 per month.
- He is ineligible for new bonuses or awards for fiscal years 2008 and 2009 but remains eligible for incentive payments related to his 2007 service (up to a maximum of $280,500).
- He retains access to the company automobile and eligibility for health, disability, life insurance, and 401(k) plans.
- Existing restricted units (2,753) will continue to vest; any unvested units will immediately vest upon his final cessation of employment.
Compensation for New CFO:
- Mr. Stivala's salary is anticipated to increase, and he may receive additional awards under the Restricted Unit Plan, though specific amounts have not yet been determined by the Compensation Committee.
Risks and Contingencies: The filing notes no material related-party transactions exceeding $120,000 involving Mr. Stivala other than his employment compensation.
Investor Verification Checklist
- Verify the exact effective date of the CFO transition (September 29, 2007).
- Monitor future filings for the finalized compensation package for the new CFO, Michael A. Stivala.
- Review the 2006 Form 10-K (Item 10) for detailed background on Mr. Stivala as referenced in the filing.
- Confirm the vesting schedule and final payout calculations for Mr. Plante's restricted units and incentive plans upon his eventual departure.