T-Mobile US, Inc. (TMUS, Financial) has recently announced amendments to its executive compensation agreements, aimed at ensuring leadership stability and aligning executive incentives with company performance. On March 17, 2025, T-Mobile entered into an amendment to the outstanding time-based restricted stock unit (RSU) and performance-based restricted stock unit (PRSU) awards for key executives, including Jonathan A. Freier, Callie R. Field, and Ulf Ewaldsson. These amendments provide specific conditions under which these executives may receive benefits if their employment is terminated without cause or for good reason.
Additionally, on March 18, 2025, T-Mobile finalized a compensation letter agreement with Michael J. Katz, President of Marketing, Strategy, and Products. This agreement outlines Mr. Katz's continued employment terms, including an annual base salary of no less than $975,000, an annual target short-term cash incentive opportunity of at least 200% of his eligible annual earnings, and annual target long-term incentive awards with a target grant-date value of no less than $8,575,000.
The agreement further stipulates that Mr. Katz's salary and long-term incentives will be adjusted annually to remain competitive within the company's peer group. In the event of termination without cause or for good reason, Mr. Katz will be entitled to specific benefits, contingent upon the execution of a release of claims and compliance with restrictive covenants. The agreement also includes provisions for legal fee reimbursement and potential adjustments to avoid excise taxes under the Internal Revenue Code.
These strategic amendments reflect T-Mobile's commitment to retaining top talent and aligning executive compensation with the company's long-term goals. The full text of these agreements will be filed with the Securities and Exchange Commission in due course.
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