Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
Compensatory Arrangements
On May 5, 2021, the Compensation Committee (the “Committee”) of the Board of Directors of the Company approved certain changes to the compensation arrangements for Alexander Timm, Co-Founder and Chief Executive Officer; Daniel Rosenthal, Chief Financial Officer; and Daniel Manges, Co-Founder and Chief Technology Officer (collectively, the “Executive Officers”).
Mr. Timm’s annual base salary was increased to $750,000, with an effective date of February 1, 2021. Mr. Timm’s target annual bonus under the Company’s annual short-term incentive plan will be 150% of his annual base salary. Mr. Timm’s target annual equity grant under the Company’s 2020 Equity Incentive Plan (the “Plan”) will have a value of $6,000,000.
In addition, Mr. Rosenthal’s and Mr. Manges’ annual base salaries were increased to $500,000, with an effective date of February 1, 2021. They will each have a target annual bonus under the Company’s annual short-term incentive plan of 125% of his annual base salary and a target annual equity grant under the Plan with a value of $3,460,000.
The annual equity awards granted to the Executive Officers for 2021 consisted of restricted stock units, with one-quarter of the shares underlying such awards vesting on February 1, 2022 and the remainder vesting quarterly thereafter.