Norwegian Cruise Line Holdings Ltd. entered into an employment agreement and granted a restricted share unit award to John W. Chidsey, its President and Chief Executive Officer, effective from his appointment on February 12, 2026. The agreements establish his compensation, including a base salary, bonus structure, and a significant equity award designed to align his incentives with long-term shareholder value creation.
Key takeaways
John W. Chidsey was appointed President and Chief Executive Officer effective February 12, 2026, with an employment agreement effective the same date and an initial term through March 1, 2030.
Mr. Chidsey's annual base salary is $1,715,000, with a fixed bonus of $2,900,000 for fiscal 2026 and a target annual bonus opportunity of at least 175% of base salary beginning in fiscal 2027.
He was granted a target award of 2,139,892 restricted share units as an inducement, with an intended value of approximately $48 million, structured as a 'front-loaded' grant covering four years.
The equity award consists of 967,254 time-based RSUs vesting in four annual installments and 1,172,638 performance-based PSUs that cliff-vest based on achieving TSR CAGR targets over a four-year performance period ending December 31, 2029.
Severance terms include a payment equal to two times base salary for a Qualifying Termination, with enhanced terms including a payment equal to two times target annual bonus if such termination occurs near a change in control.
Unlike other executives, Mr. Chidsey's agreement does not entitle him to participate in the Company's 2013 Performance Incentive Plan or any successor equity incentive plan.