Letter Agreement with Michael P. Dastugue dated April 8, 2021
EX-10.1 2 hbi-20210703ex101.htm EX-10.1 Document
This offer is contingent upon the successful completion of the pre-employment drug screen and a background check, which will include the consideration of employment references.
Exhibit 10.1
1000 East Hanes Mill Road Winston-Salem, NC 27105
336 ###-###-#### tel
PERSONAL & CONFIDENTIAL
April 8, 2021
Michael Dastugue
Bentonville, Arkansas
Dear Michael,
Congratulations! This letter is to confirm the details of the offer we discussed. We are excited with the prospect of you joining the HanesBrands team as Chief Financial Officer reporting to me.
Your employment start date is anticipated to be May XX, 2021, or such other date as mutually agreed upon.
Following are the specific details of the offer.
Base Salary:
Your annual gross base salary will be $750,000 which is $62,500 monthly, paid in arrears at the end of each month.
Annual Bonus:
You will be eligible for participation in the Annual Incentive Plan with a target bonus opportunity of 100% (maximum bonus potential of 200%) of your annual actual base salary, based upon achievement of financial and key performance indicators approved by the Compensation Committee of the Board each year, and subject to the provisions of the Company’s Annual Incentive Plan. The plan year for the Company’s incentive plan is the fiscal year with an expected payment distribution in February/March following the plan year.
Your 2021 bonus will be prorated based on your date of hire.
Long-Term Incentive Plan (LTIP):
You will be eligible to participate in the Company’s Long-Term Incentive Program, subject to Compensation Committee discretion from year to year. Equity grants are currently delivered as 50% time-based RSUs and 50% performance-based PSUs. The performance-based award is granted at target with the number of shares that will vest ranging from 0%-200% of the number of units granted based on achievement of applicable company performance metrics. You will initially qualify for awards with an equivalent value of $1,520,000. Annual Awards are currently being granted in January of each year. Your 2021 LTIP awards will be prorated from your date of hire.
The time-based award (RSUs) will vest ratably over a three (3) year timeframe, one-third on the first, second and third anniversary of the grant date. The performance-based award (PSUs) will cliff vest on the third anniversary of the grant date, following a one-year performance period. Both types of grants are subject to the terms of the program.
Benefit Plans:
Effective with your date of employment, you will be eligible for Company provided benefits package at the same level as other similarly situated executives. An Executive Benefits Summary is enclosed for your review.
Relocation/Housing:
You will be eligible for relocation benefits, as outlined in the enclosed Employee Relocation Summary, including
•Home sale assistance, if currently a home owner.
•Transportation of household goods.
•A one-time cash lump sum payment to cover expenses associated with house finding trips, temporary living, return trips and car rental during the temporary living period, payable after starting employment and receipt of an executed Repayment Agreement. The lump sum payment for employees who are homeowners and who are married with dependents will be net $9,000.
•A miscellaneous relocation lump sum payment of $6,000 for current homeowners or $3,000 for renters, less applicable taxes, for incidental expenses associated with relocating you and your family, payable after starting employment and receipt of an executed Repayment Agreement.
•Home finding assistance and closing costs, if currently a home owner.
It is the Company’s expectation that your employment location and residence will be in the same city as the Company’s global headquarters.
Retirement Savings Plan:
You are eligible to participate in the Retirement Savings Plan or 401(k). You will be automatically enrolled in the RSP at a 4% pre-tax contribution level. You have the option to change your contribution at any time. You may contribute 1% - 50% of pay on a pre-tax basis. Our current Plan provides a match of dollar for dollar up to the first 4% of eligible pay, which is fully vested after two years of employment, and also provides a discretionary annual Company contribution of up to 4% of eligible pay, which vests ratably 20% annually and is fully vested after five years of employment.
Vacation:
You will be eligible for five (5) weeks of vacation on a calendar year basis. Your vacation will be prorated from your date of hire.
Reimbursement of Business Expenses:
You will be provided a Company expense card through Mastercard for Company related business and travel related expenses.
Severance/Change in Control:
I will also send you a copy of HanesBrands’ Severance/Change in Control Agreement. This agreement is used with executive officers and provides various protections to you for termination from employment and a change in control of the Company.
Contingency:
This offer is contingent upon the successful completion of the pre-employment drug screen and a background check, which will include the consideration of employment references.
We are very excited to have you join the HanesBrands organization.
If you have any questions on this offer, please call Kristin Oliver, Chief Human Resources Officer, at XXXXXXXXXX.
Sincerely,
/s/ Stephen B. Bratspies
Stephen B. Bratspies
Chief Executive Officer
HanesBrands Inc.
I accept this offer: __X_Yes ___No
Signature:
/s/ Michael P. Dastugue 4/21/2021 5/1/2021
Michael Dastugue Date Start Date
