Business Context and Reporting Period
This Form 8-K Current Report was filed by Monolithic Power Systems, Inc. on September 12, 2005. The filing discloses the entry into a material definitive agreement regarding the amendment of executive compensation for Section 16 officers for fiscal years 2005 and 2006.
Key Financial Metrics
The filing does not provide consolidated financial metrics such as revenue, profit, cash flow, margins, debt, or liquidity. The document focuses exclusively on executive compensation adjustments and disbursements.
Material Changes
The Compensation Committee amended base salaries and maximum performance cash bonuses for specific officers. Additionally, the Committee ratified cash performance bonus disbursements paid in January and July 2005.
- 2005 Base Salary Adjustments (Effective July 1, 2005):
- Michael R. Hsing: $280,000
- C. Richard Neely, Jr.: $240,000 (Started September 6, 2005)
- Deming Xiao: $250,000
- 2006 Base Salary Adjustments:
- Michael R. Hsing: $280,000
- C. Richard Neely, Jr.: $240,000
- Deming Xiao: $250,000
- Maximum Performance Bonuses:
- 2005: Michael R. Hsing ($80,000), Deming Xiao ($60,000). No 2005 bonus listed for C. Richard Neely, Jr.
- 2006: Michael R. Hsing ($80,000), C. Richard Neely, Jr. ($50,000), Deming Xiao ($60,000).
- Ratified Bonus Disbursements:
- Michael R. Hsing: $57,000 (Jan 2005), $23,000 (Jul 2005)
- Tim Christofferson: $40,800 (Jan 2005), $12,600 (Jul 2005)
- Deming Xiao: $43,200 (Jan 2005), $23,000 (Jul 2005)
- Jim Moyer: $14,350 (Jan 2005), $14,000 (Jul 2005)
- Saria Tseng: $7,000 (Jul 2005)
Guidance, Outlook, and Risks
The filing contains no guidance, outlook, management commentary on operations, or discussion of risks and contingencies. The performance bonuses are noted to be based on the achievement of certain Company and/or individual goals, though specific targets are not detailed in this report.
Investor Verification Checklist
- Verify the total compensation expense impact of the ratified bonuses and salary adjustments on the upcoming quarterly financial statements.
- Confirm the specific performance goals tied to the maximum bonus amounts for fiscal years 2005 and 2006.
- Review the employment agreements for C. Richard Neely, Jr. to understand the terms of his start date and compensation structure.
- Check subsequent filings for any further amendments to executive compensation or changes in Section 16 officer status.