-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, A6ifA2ef9PeKZ5yikOJ2RASgB2BiSk5QDvNW0nl8No7rucWzfiKf4yjORBtJrvKt XGCfq8eioUXayzbYzx1zeg== 0001104659-06-018884.txt : 20060323 0001104659-06-018884.hdr.sgml : 20060323 20060323160533 ACCESSION NUMBER: 0001104659-06-018884 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20060322 ITEM INFORMATION: Entry into a Material Definitive Agreement ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20060323 DATE AS OF CHANGE: 20060323 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ADOBE SYSTEMS INC CENTRAL INDEX KEY: 0000796343 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-PREPACKAGED SOFTWARE [7372] IRS NUMBER: 770019522 STATE OF INCORPORATION: DE FISCAL YEAR END: 1130 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-15175 FILM NUMBER: 06706240 BUSINESS ADDRESS: STREET 1: 345 PARK AVE CITY: SAN JOSE STATE: CA ZIP: 95110-2704 BUSINESS PHONE: 4085366000 MAIL ADDRESS: STREET 1: 345 PARK AVENUE CITY: SAN JOSE STATE: CA ZIP: 95110-2704 8-K 1 a06-7466_28k.htm CURRENT REPORT OF MATERIAL EVENTS OR CORPORATE CHANGES

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 


 

FORM 8-K

 

CURRENT REPORT

 

Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934

 

Date of Report (date of earliest event reported): March 22, 2006

 

Adobe Systems Incorporated
(Exact name of Registrant as specified in its charter)

 

Delaware

 

0-15175

 

77-0019522

(State or other jurisdiction of
incorporation)

 

(Commission File Number)

 

(I.R.S. Employer Identification No.)

 

345 Park Avenue
San Jose, California 95110-2704
(Address of principal executive offices and zip code)

 

Registrant’s telephone number, including area code: (408) 536-6000

 

Not Applicable

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

 

o  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

o  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

o  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

o  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 



 

Section 1 – Registrant’s Business and Operations

 

Item 1.01 Entry into a Material Definitive Agreement.

 

On March 22, 2006, Adobe Systems Incorporated (the “Company”) entered into an Employment Transition Agreement (the “Transition Agreement”) with Murray J. Demo, the Executive Vice President and Chief Financial Officer.

 

Pursuant to the terms of the Transition Agreement, Mr. Demo will continue to serve as the Company’s Chief Financial Officer until June 16, 2006 or such earlier time as the Company requests that he resign from that position. Mr. Demo will continue to be a full-time employee of the Company through June 16, 2006 and be provided the same base salary and employee benefits that he currently receives.

 

From June 17 through December 1, 2006, Mr. Demo will become a part-time employee working up to 20 hours per week, and paid on an as-worked non-exempt basis at a rate of $223.55 per hour worked. Mr. Demo’s duties for the remainder of his employment will consist of providing transition assistance as requested by the Company. The terms of Mr. Demo’s equity awards will not be modified in any way by the Transition Agreement and will continue to be determined in accordance with the terms of the applicable equity award plans and/or agreements. Mr. Demo will be eligible for COBRA insurance coverage and, except as provided below, will receive other employee fringe benefits in accordance with the Company’s respective plans as applicable to part-time employees.

 

If Mr. Demo remains an employee in good standing with the Company through at least June 16, 2006, he will receive a pro-rated portion of his Annual Incentive Plan (“AIP”) bonus for fiscal 2006, which award will be based on his AIP target percentage multiplied by his actual base salary earnings during fiscal 2006 and actual corporate results. Any AIP bonus earned will be paid to Mr. Demo in accordance with the payment terms of the AIP, which is expected to be paid in January 2007.

 

If Mr. Demo begins employment for another company at any time prior to December 2, 2006, his employment with the Company will terminate on the day immediately preceding the start of such alternate employment, and all Adobe benefits and bonus programs will terminate in accordance with the terms of the respective plans and programs, except with respect to the AIP as described above.

 

The foregoing description of the Transition Agreement is qualified in its entirety by reference to the Transition Agreement, a copy of which is attached to this report as Exhibit 10.1.

 

Section 9 – Financial Statements and Exhibits

 

Item 9.01. Financial Statements and Exhibits.

 

(d)         Exhibits

 

10.1 Employment Transition Agreement with Murray J. Demo

 

 

2



 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

 

ADOBE SYSTEMS INCORPORATED

 

 

 

 

 

 

 

 

 

 

Date: March 23, 2006

 

By:

 

/s/ KAREN O. COTTLE

 

 

 

 

 

Karen O. Cottle
Senior Vice President, General
Counsel and Secretary

 

3



 

EXHIBIT INDEX

 

Exhibit
No.

 

Description

10.1

 

Employment Transition Agreement with Murray J. Demo

 

4


EX-10.1 2 a06-7466_2ex10d1.htm MATERIAL CONTRACTS

Exhibit 10.1

 

March 21, 2006

 

Re:  Employment Transition Agreement

 

Dear Murray:

 

You have decided to resign from your employment with Adobe (also referred to as “the Company” below).  In order to assist both you and Adobe in our respective transition planning, we have agreed that our employment relationship will continue, and then terminate, on the following terms:

 

                  you hereby resign voluntarily from your employment with the Company effective as of December 1, 2006;

 

                  you will continue to be a full-time employee of the Company through June 16, 2006; from June 17-December 1, 2006, you will be a part-time employee working up to 20 hours per week, and paid on an as-worked non-exempt basis;

 

                  you will continue to serve as the Company’s Chief Financial Officer until June 16, 2006 or such earlier time as the Company requests that you resign from that position; upon such request, you will promptly resign from any officer positions that you hold with the Company or any of its affiliated entities by delivering a written notice of such resignation(s) and other reasonably requested documentation to the Company in a form satisfactory to the Company; once you resign from your position as Chief Financial Officer, your duties for the remainder of your employment will consist of (a) completing an orderly transition of your duties to the Company’s new CFO, (b) reviewing the Company’s Q2 2006 Quarterly Report on Form 10-Q, (c) providing ongoing support and consultation for the new CFO, (d) performing special projects as requested by the Company’s Chief Executive Officer, (e) fulfilling your duties as needed for affiliated entities, and (f) any other reasonable duties that may be assigned to you from time-to-time by the Company;

 

                  during the remainder of your full-time employment, you will continue to receive the base salary and employee fringe benefits that you currently receive from the Company;

 

                  during your part-time employment your pay rate will be $223.55 per hour worked.  As you will be regularly scheduled to work less than 24 hours per week, you will be eligible for COBRA insurance coverage and will receive other employee fringe benefits in accordance with the Company’s applicable plans (including option vesting, which will continue), except with respect to the Annual Incentive Plan;

 

                  if you begin employment for another company at any time prior to December 2, 2006, your employment with Adobe will terminate on the day immediately preceding the start of such alternate employment (or any earlier date that you resign), and all Adobe benefits and bonus programs will terminate in accordance with the terms of the respective plans and programs, except with respect to the Annual Incentive Plan;

 

                  if you remain an employee in good standing of the Company through at least June 16, 2006, you will receive a pro-rated portion of your Annual Incentive Plan bonus for FY 2006, which award will be based on your AIP target percentage (65%) multiplied by your actual base salary earnings during FY 2006 and actual corporate results.   Any AIP bonus earned will be paid to you in accordance with the payment terms of the AIP, which is expected to be on or about January 2007; and

 

                  nothing in this agreement alters your “at will” employment status with the Company.

 



 

Please sign and date this agreement in the spaces below to confirm your acceptance of its terms.

 

Sincerely,

 

Adobe Systems Incorporated

 

By:

/s/ Peg Wynn

 

 

Its:

Senior Vice President, Human Resources

 

 

 

I agree to and accept the terms of this Employment Transition Agreement.

 

 

/s/ Murray Demo

 

Dated: March 22, 2006

 

Murray Demo

 

 


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