19. SUBSEQUENT EVENTS

Manufacturing Network Redesign As a part of its previously announced initiative to evaluate and implement programs to drive sustainable margin improvement in its hardware and services segments through higher productivity, process efficiency, and, using technology as an enabler, NCR began announcing to its employees, customers and vendors its intention to streamline its manufacturing operations by closing two manufacturing plants in the Columbus, Georgia area and another in Beijing, China. NCR plans to move the manufacturing operations at those plants to other existing NCR facilities and to current third party suppliers.

On April 23, 2018, the Company entered into a Master Services Agreement (Agreement) with Jabil Inc. (Jabil). The Agreement provides for NCR to obtain manufacturing services from Jabil for NCR’s automated teller machines and self-service checkout solutions, primarily for NCR’s customers in the Americas. Once manufacturing is transitioned, the outsourced manufacturing services will cover products that the Company is currently producing in its Columbus, Georgia area manufacturing plants.

Executive Leadership Changes On April 30, 2018, the Company announced the following changes to its executive leadership team and Board of Directors:


•	William R. Nuti, Chairman of the Board and Chief Executive Officer, retired from NCR, effective April 30, 2018, and was appointed as Chairman Emeritus of the Company’s Board of Directors. Mr. Nuti will be retained on a part time basis as a consultant for transition and continuing advisory services.


•	The Company’s Board of Directors appointed Michael D. Hayford to serve as the Company’s President and Chief Executive Officer, and elected Mr. Hayford to the Company’s Board, effective April 30, 2018.


•	The Company’s Board of Directors elected Frank R. Martire to the Company’s Board, and appointed Mr. Martire as Executive Chairman of the Board, effective May 31, 2018.


•	Mr. Chinh E. Chu, a member of the Company’s Board of Directors and the Independent Lead Director, was appointed as Interim Chairman of the Board, to serve in such role until the effectiveness of the election of Frank R. Martire to the Board and the appointment of Mr. Martire as Executive Chairman of the Board.