Pfizer Inc. has announced modifications to its long-term incentive plans for employees, including executive officers, in response to the impact of the COVID-19 pandemic on its stock price. On July 24, 2024, the Compensation Committee approved changes to the Five-Year Total Shareholder Return Units (TSRUs) and Performance Share Awards (PSAs) granted in 2022 and 2023. These modifications, affecting up to 9,000 active employees, are designed to retain key personnel and align their compensation with the company's long-term performance. The adjustments include the option for eligible participants to extend the terms of their TSRUs by two years, changing the settlement period to 2029 for 2022 grants and to 2030 for 2023 grants. Additionally, the vesting period will be extended to the fifth anniversary of the grant...Show More

Pfizer Inc. has announced modifications to its long-term incentive plans for employees, including executive officers, in response to the impact of the COVID-19 pandemic on its stock price. On July 24, 2024, the Compensation Committee approved changes to the Five-Year Total Shareholder Return Units (TSRUs) and Performance Share Awards (PSAs) granted in 2022 and 2023. These modifications, affecting up to 9,000 active employees, are designed to retain key personnel and align their compensation with the company's long-term performance. The adjustments include the option for eligible participants to extend the terms of their TSRUs by two years, changing the settlement period to 2029 for 2022 grants and to 2030 for 2023 grants. Additionally, the vesting period will be extended to the fifth anniversary of the grant date. The PSAs will also have an extended performance period, with vesting and settlement pushed to 2027 and 2028 for the 2022 and 2023 grants, respectively. The Committee, with advice from an independent compensation consultant, believes these changes will motivate and retain key talent while focusing on stock price recovery. Pfizer plans to initiate a tender offer to allow active employees to accept the modifications, with details to be provided in the Modification Offer documents to be filed with the SEC.