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SEC Filings

DEF 14A
ARCH COAL INC filed this Form DEF 14A on 03/18/2019
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        The following table shows the amounts each NEO would have received if his employment had terminated on December 31, 2018 as a result of his death or disability:

 
  John W. Eaves   John T. Drexler   Paul A. Lang   John A. Ziegler, Jr.   Robert G. Jones  

Cash payments:

                               

Cash severance

                     

Healthcare coverage

                     

Life insurance premiums

                     

Incentive awards(1)

  $ 2,203,750   $ 963,150   $ 1,305,000   $ 506,250   $ 607,500  

Retention awards

  $ 750,000   $ 575,000   $ 340,000   $ 0   $ 0  

Retirement benefits

                     

Financial counseling and outplacement services

                     

Accrued vacation

                     

Acceleration of equity awards:(2)

                               

Restricted stock units (time-based)

  $ 6,406,828   $ 2,634,933   $ 3,809,241   $ 1,203,355   $ 1,385,933  

Restricted stock units (performance-based)

  $ 6,364,538   $ 2,270,067   $ 3,514,858   $ 1,333,431   $ 1,440,567  

Total

  $ 15,725,116   $ 6,443,150   $ 8,969,099   $ 3,043,036   $ 3,434,000  

(1)
For purposes of estimating the amounts payable under our annual cash incentive awards or our long-term cash incentive awards, we have assumed that we achieved target levels of performance under those awards.

(2)
For purposes of estimating the amounts payable under the restricted stock unit awards, we have assumed a share price of $82.99 (which was the closing price on the last trading day of 2018). In addition, for the performance-based awards, we have assumed that the performance goals were achieved at the following levels: 60.70% for the 2016 award and 71.20% for the 2017 award, both of which reflect the percentages that would have been achieved based on the VWAP calculations up through December 31, 2018, and 45.00% for the 2018 award, which reflects threshold performance although such performance level had not yet been achieved as of December 31, 2018. The award agreements provide that, upon death or disability, the performance-based awards will remain subject to the performance condition (meaning that the actual percentage at which the performance goal is achieved will be determined based on the highest VWAP in the stated performance periods).

        Retirement —  The change in control agreements provide that, in the event an NEO's employment is terminated as a result of his retirement, then we will pay the executive an amount equal to the executive's accrued and unpaid base salary, unused vacation time and all other amounts, including payouts under our annual cash incentive awards, that the executive has earned but which have not yet been paid. Any performance units held by the executive will vest based on the portion of the vesting period that preceded such termination, subject to attainment of the applicable performance goals.

        The RSU award agreements provide for the following treatment of the awards if an NEO's employment is terminated as a result of his retirement:

    For the time-based RSU awards, a prorated portion of the RSU will vest (based on the portion of the three-year vesting period that the NEO was employed) as of the date of such termination, and any remaining unvested portions will be forfeited.

    For the performance-based RSU award, the service condition will be deemed attained with respect to a prorated portion of the RSUs (based on the portion of the three-year performance period that the NEO was employed), and such prorated portion of the award will remain subject to the VWAP performance condition. The remaining portion of the award will be forfeited.

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