Corporate GovernanceMay 22, 2026, 04:23 PM
SM Energy Boosts CEO, COO Long-Term Incentives; Amends Severance
AI Summary
SM Energy Company's Board of Directors amended and restated the Change of Control Executive Severance Agreement for CEO Elizabeth A. McDonald, providing significant payments upon a qualifying termination following a change of control. The Board also increased the long-term incentive plan targets for both CEO Elizabeth A. McDonald to $5,800,000 and COO Blake D. McKenna to $2,400,000. Additionally, at its Annual Meeting, stockholders re-elected all incumbent directors, approved the compensation of named executive officers, and ratified Deloitte & Touche LLP as the independent auditor for 2026.
Key Highlights
- SM Energy increased CEO Elizabeth A. McDonald's long-term incentive plan target to $5,800,000.
- CEO's LTI target is granted 40% in restricted stock units and 60% in performance share units.
- COO Blake D. McKenna's long-term incentive plan target was increased to $2,400,000.
- COO's LTI target is granted 50% in restricted stock units and 50% in performance share units.
- CEO's Change of Control Agreement provides severance including 3x base salary and 3x target bonus.
- Stockholders re-elected all incumbent directors at the Annual Meeting.
- Stockholders approved the compensation of named executive officers in a non-binding advisory vote.
- Stockholders ratified Deloitte & Touche LLP as the independent auditor for 2026.
Price Impact
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