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Clarity’s a good thing…

chicos.jpegAs footnoted.org regulars know, we try to find something good in the filings to write about on Fridays. Most weeks — through no fault of our own — we don’t make it. But earlier this week, we spotted this exhibit to an 8-K filed by Chico’s FAS (CHS) that clearly made the cut.

Why? Because the employment agreement for new merchandising officer Michelle Delahunty-Cloutier is unusually easy to read. There”s no 7-point type or mystery meat buried deep in the filing. All of the various compensation components — from the salary to the sign-on bonus — are clearly spelled out, making it easy for even a casual investor to understand. For example, the company spells out that the value of the options and restricted stock that Delahunty-Cloutier will receive is worth $920K and explains how they arrived at the number. Trust me here — that kind of detail is very rare. There’s another interesting wrinkle in this agreement: in addition to the standard change in control, there’s a clause that says that if CEO Scott Edmonds leaves the company during her first year, she can voluntarily terminate her employment within 90 days.

And now for a belated shameless plug: I forgot to mention last week that Kiplinger’s Personal Finance named footnoted.org one of its Blog Best Bets, but was reminded by Charles Kirk, who posted the list yesterday. I’m a fan — as evidenced by my blog-roll — of many of the blogs on the list and definitely plan to check out the others.