Robert Arzbaecher will receive $3 million in stock options for his role as interim president and chief executive officer of Actuant Corp., according to an SEC filing by the company.
Menomonee Falls-based Actuant announced Aug. 25 that Arzbaecher, who served as president and CEO of the diversified industrial company from its August 2000 inception to his January 2014 retirement, would return to his role until a new leader can be hired.
Arzbaecher, who is chairman of the board of directors, is filling the role vacated by Mark Goldstein, who resigned from Actuant and its board on Monday to “pursue other interests.”
In his interim role, Arzbaecher will receive an $800,000 base salary, and will be eligible for a bonus in 2016 of up to $2 million, pro rated depending on when he leaves the role.
His $3 million in stock options will vest in annual installments over three years, with an expiration in 10 years.
The company also provided details of its separation and release agreement with Goldstein. He will receive $870,000 in cash over the next 14 months, continued health coverage through Nov. 1, 2016, and vesting of some of his outstanding stock options. The stock options awarded on Oct. 29, 2014 and Jan. 20, 2015 have been forfeited, but Goldstein can exercise other outstanding stock options through their expiration and is eligible for other performance shares.
With Goldstein’s departure, the board of directors has resolved to decrease its size to eight members.
Actuant’s earnings have fallen in each of the past four quarters. The company reported fiscal 2014 net income of $163.6 million.