The Situation
During the early part of 2008, a series of group meetings had taken place between Tom Eliot and Bill Flinder and their respective advisers. It seemed clear to both parties that both FVC and RSE could profit from the merger. By early May, a broad outline of the merger seemed to be developing. Flinder Valves was as to preserve FVC's identity. The two sides had explored some of the governance and compensation issues in the merger. Flinder would be retained along with his top management team and all other employees. No layoffs were contemplated, This reflected RSE;s intention to invest in and grow the FVC operation. FVC's solid management team was one of the factors that had attracted RSE in the first place, and Eliot wanted to keep the same management in place after the merger. Flinder would receive a generous option-based incentive bonus that could result in a salary in crease of between $50,000 and $200,000 per year. Because Flinder was 62 years old and nearing retirement, the compensation package was meant to retain him in the coming years as he trained a new chief executive.
The SituationDuring the early part of 2008, a series of group meetings had taken place between Tom Eliot and Bill Flinder and their respective advisers. It seemed clear to both parties that both FVC and RSE could profit from the merger. By early May, a broad outline of the merger seemed to be developing. Flinder Valves was as to preserve FVC's identity. The two sides had explored some of the governance and compensation issues in the merger. Flinder would be retained along with his top management team and all other employees. No layoffs were contemplated, This reflected RSE;s intention to invest in and grow the FVC operation. FVC's solid management team was one of the factors that had attracted RSE in the first place, and Eliot wanted to keep the same management in place after the merger. Flinder would receive a generous option-based incentive bonus that could result in a salary in crease of between $50,000 and $200,000 per year. Because Flinder was 62 years old and nearing retirement, the compensation package was meant to retain him in the coming years as he trained a new chief executive.
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The Situation
During the early part of 2008, a series of group meetings had taken place between Tom Eliot and Bill Flinder and their respective advisers. It seemed clear to both parties that both FVC and RSE could profit from the merger. By early May, a broad outline of the merger seemed to be developing. Flinder Valves was as to preserve FVC's identity. The two sides had explored some of the governance and compensation issues in the merger. Flinder would be retained along with his top management team and all other employees. No layoffs were contemplated, This reflected RSE;s intention to invest in and grow the FVC operation. FVC's solid management team was one of the factors that had attracted RSE in the first place, and Eliot wanted to keep the same management in place after the merger. Flinder would receive a generous option-based incentive bonus that could result in a salary in crease of between $50,000 and $200,000 per year. Because Flinder was 62 years old and nearing retirement, the compensation package was meant to retain him in the coming years as he trained a new chief executive.
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