GTC Biotherapeutics (fka GTCB)

[DewDiligence]

Re: Change-of-control agreements with executive officers

Hmm… GTC just amended its employment agreements with each of the executive officers to provide them with substantial monetary benefits in the event of a change of control (i.e. a buyout).

The amended agreements ensure that each executive who is not retained after the buyout will receive a severance package consisting of one year’s salary and fringe benefits, a prorated portion of any bonuses that would have been earned, and immediate vesting of all stock options.

Establishing or amending severance payments to take effect on a change of control can be a signal that a company has entered into serious buyout discussions.

The amended change-of-control agreements have been filed as attachments to the current 10Q:

http://sec.gov/Archives/edgar/data/904973/000119312508170051/dex103.htm (Cox)
http://sec.gov/Archives/edgar/data/904973/000119312508170051/dex104.htm (Green)
http://sec.gov/Archives/edgar/data/904973/000119312508170051/dex108.htm (Meade)
http://sec.gov/Archives/edgar/data/904973/000119312508170051/dex1010.htm (Woloshen)
http://sec.gov/Archives/edgar/data/904973/000119312508170051/dex109.htm (Scotland)