Item 5.02. Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers. Effective June 12, 2009, Owen Denman, President and Chief Executive Officer of Barrier Systems, Inc. ("BSI"), a wholly-owned subsidiary of Lindsay Corporation (the "Company"), will step down from his position due to a health issue. Mr. Denman's employment agreement will terminate as of that date. Chris Sanders, currently Chief Operating Officer of BSI, will succeed Mr. Denman as President of BSI.
Under the Company's short-term disability plan, Mr. Denman will receive up to 75% of his base compensation for a period not to exceed six months following his date of disability. It is expected that Mr. Denman will apply for long-term disability benefits under the Company's long-term disability income insurance policy. Any long-term disability benefits received by Mr. Denman are fully insured and are not paid by the Company. Following separation of employment, Mr. Denman has agreed to provide certain consulting services to the Company for the next two years. In consideration of these consulting services, the Company will provide Mr. Denman with group family health insurance coverage for a period of two years. If health permits and other conditions are met, Mr. Denman may also have the opportunity to receive up to $105,000 for additional consulting services during this period. Also, in light of his disability, the Compensation Committee approved acceleration of vesting of 3,950 restricted stock units (RSUs) which would have vested on November 1, 2009 had Mr. Denman remained an employee as of such date. These RSUs will vest and be payable to Mr. Denman on June 19, 2009. All remaining, unvested RSUs will be forfeited.