Scientific Games formulates protection plan for executives
Scientific Games has adopted a Change in Control (CIC) Protection Plan designed to ensure the company's top executives receive significant financial compensation if they are axed “without good reason” under a new ownership regime.
Under the plan, any executives who have their employments terminated without just cause within 18 months of a change of control at the company would be entitled to the pay-outs.
The CIC covers president and chief executive Barry Cottle, and executive vice-president, chief financial officer, treasurer and corporate secretary, Michael Eklund, as well as the business' wider senior leadership team.
Also protected are SG Lottery chief executive Patrick McHugh; SG Gaming CEO Matthew Wilson; James Sottile, chief legal officer; and Michael Winterscheidt, senior vice-president and chief accounting officer.
The cash severance payments would comprise the sum of the base salary and a severance bonus amount multiplied by two for Cottle and Wilson, and multiplied by one-and-a-half for the other executives.
The bonus amount payable would be equivalent of the highest annual incentive compensation paid to the executive in the two most recent fiscal years, but not more than the target bonus for the then-current financial year, unless otherwise specified in the individual’s employment contract.
Read the full story on iGB North America.