HOUSTON, May 12, 2017 /PRNewswire/ -- Carriage
Services, Inc. (NYSE: CSV) In response to recent shareholder
engagement regarding our 2017 proxy statement, the Board of
Directors of Carriage Services announces an additional amendment to
Melvin C. Payne's Employment
Agreement dated, March 14, 2012, to
address language related to potential payments and equity awards
under certain circumstances relating to a voluntary
resignation. The amended changes ensure Mr. Payne's
employment agreement is consistent with our outstanding executive
employment agreements and our proposed Omnibus Incentive Plan so
that potential severance payments will be subject to a 'double
trigger'. It is the Board's intent to include 'double
trigger' provisions in all future executive employment agreements
consistent with this amendment.
Melvin C. Payne, Chief Executive
Officer, stated, "When I recently heard as a result of our current
outreach that some of our large shareholders and a proxy advisory
firm had an issue with my employment agreement related to a
"Modified Single-Trigger Arrangement" if I voluntarily leave after
a change in control, my first reaction was, "What is that anyway,
as I didn't ask for it or even know I had it!" (This arrangement
was subsequently determined to be carryover provision from a
previous employment contract.) It was explained that we need
to amend my employment agreement to have a "Double-Trigger"
provision which is more of a good governance standard for executive
officers of a public company - to which my second reaction was,
"That sounds twice as bad as a Single-Trigger!"
The dirty little secret with me is that I have never asked for
or frankly wanted an employment agreement in my entire
career. I have always believed that my ability to learn and
build knowledge and skill (mostly from making mistakes) and to have
the leadership vision that others wanted to follow is better
employment protection than any agreement that any lawyers could
conjure up. Anyone who has thoughtfully read and reflected on
my recent 40 page Annual Shareholder Letter would completely
understand this point.
Finally, I spend 100% of my time and leadership capacity
developing other like-minded leaders so that as a team we are
thinking and leading the outstanding execution of our three core
models with a goal of creating outsized shareholder returns over
the next 5 to 10 years. In other words, we are focused
completely on the long term upside for our company and its
shareholders. We may be considered a small capitalization
company, but put it in the bank that we are big thinkers when it
comes to what we can achieve over the next 5 to 10 years for
employees, leaders, and long term shareholders," concluded Mr.
Payne.
Carriage Services is a leading provider of funeral and cemetery
services and merchandise in the United
States. Carriage operates 171 funeral homes in 28 states and
32 cemeteries in 11 states.
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SOURCE Carriage Services, Inc.