2017/2018 Executive Change in Control Report

In recent years, external forces have continued to advocate for more transparency and executive compensation changes. Recent examples are the tax reform bills, which contain several provisions aimed at curbing (or at least further taxing) executive compensation. Change in control provisions for executives are often easy targets for criticism; however, many business reasons support the need for companies to maintain these types of plans. Now more than ever, it is important to ensure that your change in control arrangements are in line with the market and strike the appropriate balance of furthering the company’s strategic goals without resulting in an unwarranted windfall to executives.

To assist companies in understanding the current environment regarding executive change in control arrangements, Alvarez & Marsal analyzed the pay practices of the top 200 public companies across 10 different industries for the seventh edition of the Executive Change in Control Report. This year, Alvarez & Marsal is happy to partner with Equilar, which has added additional commentary on recent actual transactions in the U.S.

This edition of Tax Advisory Weekly explores the key findings of the analysis. Find the comprehensive report with the full study results, including industry-specific analysis here. [1]

Key Findings

The analysis focused on change in control protections provided to the chief executive officer (CEO) and other named executive officers (Other NEOs). Below is a summary of some of our key findings…

https://www.alvarezandmarsal.com/insights/20172018-executive-change-control-report-0