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BLACKBAUD TIGHTENS CEO'S CONTRACT

Marc Chardon, BlackbaudBlackbaud has tightened the terms of its employment for CEO Marc Chardon that includes the elimination of its automatic renewal, generally making them less liberal.  After December 31, 2012, it will no longer automatically renew for one-year periods, but must be extended annually by the board of directors.
The board eliminated an annual equity bonus payable in stock appreciation rights and replaced it with "a possible annual performance-based equity bonus payable in restricted stock units with a target value of $500,000." The decision was pictured as reinforcing the company's commitment to pay-for-performance. The amendment also changed the vesting policy for restricted stock units if Chardon is terminated without cause or resigns for good reason. A clawback provision was added under which Chardon must return all incentive-based compensation "to the extent required by any Blackbaud clawback or recoupment policy, Section 954 of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 and/or Section 303 of the Sarbanes Oxley Act of 2002." Provisions about health benefits were also made less liberal if he is terminated with cause. Instead of continuing his health plan on a pre-tax basis, the company would reimburse any COBRA premiums that Chardon might pay.
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