Armstrong Top Execs Offered Retention Award to Stay Through Spinoff

Lancaster, PA, March 11, 2015—Armstrong World Industries is giving three of its top executives an incentive to stay at the company through the spinoff of its flooring business into a new, independent company next year, reports Lancaster Online.

In a Securities and Exchange Commission filing, the Lancaster-based firm disclosed the signing of retention agreements with president and chief executive officer Matthew J. Espe, chief financial officer David S. Schulz, and general counsel and chief compliance officer Mark A. Hershey.

Lancaster Online reports that Armstrong’s letter to the three recipients said that the retention award “is intended to incentivize you to continue to use your best efforts to ensure optimal corporate performance through the closing of 'the spinoff' and to contribute towards the successful completion of the transaction.”

For Espe and Schulz, the retention payment will be twice their annual base salary; for Hershey, it will be 1.5 times his annual base salary.