Turns out, you can go home again…
Home sweet home. Home is where the heart is. A man’s home is his castle. I’m sure I’m missing a few other clichâô_Ÿs here. But I just couldn’t help it after reading this exhibit to the 8-K that Regions Financial (RF) filed late yesterday.
As the accompanying press release notes, Executive Chairman Jackson Moore is stepping down at the end of this year and plans to return to Memphis “where he will focus on civic and charitable endeavors” and spend more time with his family. As the release notes, Moore had been CEO of Memphis-based Union Planters (old ticker: UPC), which merged with Regions in 2004 and then AmSouth (old ticker: ASO) last year.
What the release doesn’t say however is that Regions isn’t just paying to move Moore back to Memphis. They’re also covering the cost of his secretary’s move back to Memphis. And paying her salary for the next year, though they do make clear in the agreement that she will be required to do some work for Regions. There’s also a bunch of other goodies including “fully furnished office space at the Company’s offices at 6200 Poplar in Memphis, Tennessee, which office shall have accoutrements (including office equipment and supplies) comparable to those of the Executive’s office at such location prior to his relocation to Alabama.” And, just to be clear, Regions is covering the cost of moving Moore’s accoutrements back to Memphis. The furniture must be pretty nice because back in 2006, when Moore signed this agreement, the furniture was also spelled out: “the Executive shall be permitted to retain all furnishings and furniture from his office at the Company as of immediately prior to the Effective Time.”
There’s other goodies, too, including full vesting of all options, restricted stock and other equity compensation, though it’s hard to put a dollar figure on that because the “Schedule B” which provides the details, is missing from the filing. Ditto for Schedule A which spells out the cash portion of the deal. There’s also the transfer of split-dollar life insurance policies and the transfer of security equipment from Moore’s homes (note the plaural).
Like many banks, this hasn’t been a great year for Regions. The stock has continued to decline since reporting earnings last month. But at least shareholders can breath easier knowing that the company’s accoutrements are in order.