Intelsat’s most senior staff received good news on December 22nd when the company’s bankruptcy court approved the request for a series of Key Employee Incentive Payments (KEIP) for 2021. But the court made some major adjustments to the core requests.

The total three tier KEIP plan is trimmed downwards to $6,720,038 for the lower ‘Threshold’ incentive tier, then $13,440,075 for the higher ‘Target’ tier, and finally $19,003,606 under the KEIP ‘Stretch’ performance level.

The highest reward level (‘Stretch’) now requires Intelsat to achieve EBITDA revenues of $256.5 million, $255.6 million, $255.1 million, and $250.8 million in the first, second, third, and fourth quarters, respectively.

The recently acquired Gogo airline connectivity business is also included, and its ‘Stretch’ targets increased to $57.4 million, $65.3 million, $76 million, and $92.7 million in the first, second, third, and fourth quarters, respectively.

Other important key target levels were also set by the bankruptcy court and include performance achievements for the transition of C-band frequencies under the FCC’s migration plan.

If the above targets are met then Steve Spengler (President & CEO) will receive $2.25 million under the ‘Threshold’ level, $4.5 million under the ‘Target’ level and $6.345 million under the maximum level. Other C-class executives get smaller pay-outs. For example, the CFO will receive $1.3 million, $2.6 million or $3.666 million under the 3 target options.

Other posts by :

1. Amazon Leo satellites en route to French Guiana
2. Deutsche Bank reveals targets for AST SpaceMobile
3. AST SpaceMobile boss outlines benefits
4. Report: LEO build-out accelerates
5. Germany outlines space commitment
6. Analysis: Impact of AT&T on US telcos and cable
7. Bezos rocket production boosted
8. Musk delays Moon landing until 2027
9. Hughes Satellite facing cash crunch

Categories: Articles, Business

Tags: FCC, Intelsat, Steve Spengler