When LSI purchased Agere Systems in 2007, it agreed to maintain roughly the same benefits to former Agere executive for a period of two years with a plan to have a unified perquisite program for all executive officers in 2009.
However, last week LSI agreed to extend special benefits for an additional year for one former Agere executive, Andrew Micallef, who now serves as LSI’s executive vice president in charge of worldwide manufacturing, according to a filing today with the SEC. The benefits are related to his location in Singapore and are “intended to allow individuals receiving its benefits to work in a country other than their home country and experience a similar standard of living to what they could experience in their home country.”
What does that entail? For Micallef, the extra benefits include:
- Payment of 100 percent of the cost of his children’s education at an international school within normal commuting distance from his overseas residence, including tuition, registration fees, textbooks, uniforms, other school supplies, and local transportation.
- An “expatriate premium” allowance of $4,200 a month in addition to his annual salary of $225,000.
- Reimbursement for “reasonable and customary” home sale expenses
- Paying for for shipment of family household goods moved via van line and protected with replacement value coverage to a maximum of $100,000, along with storage of household goods for 2 years.
- Spousal assistance including reimbursement of work permit costs,job search consulting services,resume preparation and career counseling and an additional car allowance
- A resettlement relocation allowance of $20,833 to help pay “miscellaneous costs associated with your repatriation”
The cost of these benefits and the payment of the taxes for them totaled $632,369 last year. At the time of the merger with LSI, Micallef also received a cash retention bonus totaling $275,000 over three years, 50,000 shares or restricted stock and an option grant covering 100,000 shares.