|FIRST DATA CORP filed this Form DEF 14A on 03/15/2017|
Transition to Public Company Pay Practices
Our common stock first became publicly traded on October 15, 2015. The Committee is committed to adopting additional public company best pay practices over time, if it determines such changes are in the best interest of shareholders.
Our Compensation Philosophy and Strategy
We structure our compensation to reinforce growth goals and sustained share value creation. In particular:
Use of Equity and Share Retention Requirements
The Committee seeks to align management with shareholders by granting a significant portion of our NEOs total compensation in equity that increases in value as our financial performance improves. The Committee also seeks to retain management by requiring employment through equity vesting periods to receive the full value of equity-based awards. As further described below, the Committees first quarter 2017 equity-based awards reflect this approach: the awards generally vest over three years and generally require continued employment through each vesting date.
As described in more detail below, our CEO must retain at least 90% of the stock acquired from equity compensation, net of taxes, transaction costs, and charitable donations, until employment termination. Our other NEOs must retain at least 75% of the stock from equity compensation, net of taxes, transaction costs and charitable donations, through employment termination. These are among the most rigorous share retention requirements of any public company.