Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
2021 LTIP Awards Under the 2019 Executive Incentive Plan
As previously disclosed in the Centrus Energy Corp. (the 'Company') Proxy Statement on Schedule 14A filed with the Securities and Exchange Commission ('SEC') on April 28, 2021 (the 'Proxy Statement'), the Compensation, Nominating and Governance Committee (the 'Committee') of the Board of Directors of the Company had previously approved an Executive Incentive Plan in 2019 (the '2019 EIP'), which arises under and is subject to the terms of the Company's 2014 Equity Incentive Plan, as may be amended and/or restated from time to time (the '2014 Plan').
As described in detail in the Proxy Statement, the 2019 EIP includes a multi-year long-term incentive program ('LTIP') consisting of equity denominated awards. The LTIP provides for a series of three-year overlapping performance periods tied to equity performance. Each three year period provides for potential award based on one-third of the participant's base salary.
On September 15, 2021, the Committee approved the LTIP awards covering the 2021 to 2023 performance period (the '2021 LTIP Awards'). As set forth in the Proxy Statement, at the time of the filing of the Proxy Statement, the Committee expected that the 2021 LTIP Awards would be awarded 50% in stock options and 50% in performance based restricted stock units. However, as permitted by the 2019 EIP and the 2014 Plan, based on advice and feedback received from the Company's independent compensation consultant, the Committee determined that the 2021 LTIP Awards should be awarded 50% in notional shares and 50% in share appreciation rights, and are subject to the Company meeting a net income performance threshold.