NEW YORK (AFX) - Komag Inc., a San Jose, Calif.-based maker of thin-film disks used in disk drive manufacturing, said in a filing with the Securities and Exchange Commission on Thursday that its vice president and chief operating officer Michael Russak, will retire, effective Oct. 3.
Under the terms of the separation agreement, Komag expects to pay Russak an aggregate of $401,700, and will give him another year from Oct. 3 of accelerated vesting on his 4,167 unvested options. Russak is also entitled to a $70,000 lump sum payment as part of the company's target incentive plan.
Komag expects to record $1 million in expenses related to its separation agreement with Russak.
Edward Casey, 51, will take over as vice president and chief operating officer. Casey joined Komag in 2000, through the company's merger with HMT Technology Corp.
Under the terms of his employment agreement, Casey will be paid a base salary of $250,000, plus 25,000 shares of restricted stock, and he will be eligible to participate in Komag's employee benefit plans.
The company also said it amended its agreement with executive vice president and chief technical officer Tsutomu T. Yamashita, under which Yamashita will receive a base salary of $350,000, and will receive 25,000 restricted shares.
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