UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT
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Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
(b)(c) On January 6, 2023, the Board of Directors (the “Board”) of Texas Roadhouse, Inc. (the “Company”) promoted Regina A. Tobin, age 59, to become President of the Company effective as of January 9, 2023. Ms. Tobin most recently served as the Company’s Chief Learning and Culture Officer from June 2021 through her appointment to President of the Company. Ms. Tobin joined Texas Roadhouse in January 1996 as a Managing Partner in Louisville, Kentucky. Ms. Tobin was named Managing Partner of the Year in 1999. Ms. Tobin was subsequently promoted to Market Partner for the Southwest Florida region, a position she held until being promoted to Vice President of Training. Ms. Tobin has over 30 years of restaurant industry experience. Ms. Tobin does not have any direct or indirect material interest in any transaction required to be disclosed pursuant to Item 404(a) of Regulation S-K. In connection with her appointment to President, Texas Roadhouse Management Corp. and Ms. Tobin entered into a First Amendment to Employment Agreement dated January 9, 2023. In conjunction with Ms. Tobin’s promotion, on January 6, 2023, Gerald L. Morgan, Chief Executive Officer and President of the Company, resigned from his position as President effective as of January 9, 2023. Mr. Morgan will continue to serve as Chief Executive Officer of the Company following his resignation as President. In connection with Mr. Morgan’s resignation as President, Texas Roadhouse Management Corp. and Mr. Morgan entered into a Second Amendment to Employment Agreement dated January 9, 2023.
Additionally, on January 6, 2023, the Board changed the title for Hernan E. Mujica from the Company’s Chief Information Officer to the Company’s Chief Technology Officer effective as of January 9, 2023. In connection with such change in title, Texas Roadhouse Management Corp. and Mr. Mujica entered into a First Amendment to Employment Agreement dated January 9, 2023. Finally, on January 6, 2023, the Board changed the title for Christopher C. Colson from the Company’s General Counsel to the Company’s Chief Legal and Administrative Officer, effective as of January 9, 2023. In addition to overseeing the Company’s legal department, Mr. Colson has been responsible for managing the Company’s human resources department since 2021, including risk and asset protection, compensation and benefits and payroll, as well as providing business support and strategy for the Company. Mr. Colson will continue to serve as the Company’s Corporate Secretary. In connection with such change in title, Texas Roadhouse Management Corp. and Mr. Colson entered into a First Amendment to Employment Agreement dated January 9, 2023.
(e) Pursuant to the terms of the respective 2021 employment agreements with each executive officer, the Compensation Committee of the Board reserved the right to adjust compensation for each executive officer throughout the duration of the term of such employment agreements. On January 6, 2023, the Compensation Committee of the Board exercised its discretion to adjust each executive officer’s compensation in the manner described in this Current Report on Form 8-K with respect to each executive officer’s 2023 fiscal year service in the following manner:
Base Salary. Effective as of January 8, 2023 and continuing thereafter until such time as an executive officer’s annual base salary is adjusted by the Compensation Committee in accordance with the applicable employment agreement, the Compensation Committee establishes an annual base salary as shown in the table below:
2023 ($) | ||||
| Jerry Morgan | 1,200,000 | |||
| Gina Tobin | 650,000 | |||
| Chris Jacobsen | 500,000 | |||
| Chris Colson | 500,000 | |||
| Hernan Mujica | 500,000 | |||
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Incentive Bonus. On January 6, 2023, the Compensation Committee established an annual short-term cash incentive opportunity with a target bonus as set forth in the table below relating to each executive officer’s 2023 fiscal year service. The targets are currently based upon earnings per share growth and pre-tax profits. Depending on the level of achievement of the goals, the bonus may be reduced to a minimum of $0 or increased to a maximum of two times the base target amount under the current incentive compensation policy of the Compensation Committee of the Board.
2023 Target Bonus ($) | 2023 Minimum Bonus ($) | 2023 Maximum Bonus ($) | ||||||||||
| Jerry Morgan | 1,200,000 | 0 | 2,400,000 | |||||||||
| Gina Tobin | 650,000 | 0 | 1,300,000 | |||||||||
| Chris Jacobsen | 400,000 | 0 | 800,000 | |||||||||
| Chris Colson | 400,000 | 0 | 800,000 | |||||||||
| Hernan Mujica | 400,000 | 0 | 800,000 | |||||||||
Stock Awards. On January 6, 2023, the Compensation Committee authorized the grant of the number of service-based restricted stock units equal to the dollar amount described in the table below for each executive officer with respect to their respective 2023 fiscal year service. These service-based restricted stock units were calculated by dividing the dollar amount described in the table below by $93.52 (which was the closing sales price of the Company’s common stock on the Nasdaq Global Select Market on January 6, 2023), with such quotient being rounded up or down to the nearest 100 shares. Additionally, these service-based restricted stock units have a grant date of January 8, 2023 and will vest on January 8, 2024, provided the officer is still employed as of the vesting date.
Service Based Restricted Stock Units ($) | Number
of Service Based Restricted Stock Units | |||||||
| Jerry Morgan | 1,300,000 | 13,900 | ||||||
| Gina Tobin | 500,000 | 5,300 | ||||||
| Chris Jacobsen | 400,000 | 4,300 | ||||||
| Chris Colson | 500,000 | 5,300 | ||||||
| Hernan Mujica | 500,000 | 5,300 | ||||||
Additionally, on January 6, 2023, the Compensation Committee authorized the grant of the number of performance-based restricted stock units as described in the table below for the executive officers described below with respect to their respective 2023 fiscal year service. These performance-based restricted stock units were calculated by dividing the target dollar amount described in the table below by $93.52 (which was the closing sales price of the Company’s common stock on the Nasdaq Global Select Market on January 6, 2023), with such quotient being rounded up or down to the nearest 100 shares. Additionally, these performance-based restricted stock units have a grant date of January 8, 2023 and will vest on January 8, 2024, subject to the achievement of defined goals established by the Compensation Committee of the Board. The performance targets are currently based upon earnings per share growth and pre-tax profits. Depending on the level of achievement of the goals, the number of performance-based restricted stock units may be reduced to zero or increased to a maximum of two times the target amount shown below.
Target
$ of | Minimum
$ of Performance- Based Restricted Stock Units | Maximum
$ of Performance-Based Restricted Stock Units ($) | Target
Number | |||||||||||||
| Jerry Morgan | 1,300,000 | 0 | 2,600,000 | 13,900 | ||||||||||||
| Gina Tobin | 400,000 | 0 | 800,000 | 4,300 | ||||||||||||
| Chris Jacobsen | 400,000 | 0 | 800,000 | 4,300 | ||||||||||||
| Chris Colson | 300,000 | 0 | 600,000 | 3,200 | ||||||||||||
| Hernan Mujica | 300,000 | 0 | 600,000 | 3,200 | ||||||||||||
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Item 9.01. Financial Statements and Exhibits.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Current Report on Form 8-K to be signed on its behalf by the undersigned hereunto duly authorized.
| TEXAS ROADHOUSE, INC. | ||
| Date: January 9, 2023 | By: | /s/ Gerald L. Morgan |
| Gerald L. Morgan | ||
| Chief Executive Officer | ||
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