Cvs Health Corporation · NYSE:CVS
Cvs Health — Shareholder Meeting (May 2020)
12 slides from Cvs Health's shareholder meeting presentation, May 6, 2020
Slide 1: Annual Meeting Stockholder Engagement May 2020
Annual Meeting Stockholder Engagement May 2020
Slide 2: Cautionary statement concerning forward-looking statements
2 Cautionary statement concerning forward - looking statements This presentation includes forward - looking statements. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward - looking statements made by or on behalf of CVS Health Corporation. By their nature, all fo
Slide 3: Strategic priorities to accelerate growth and transform the way health care is delivered
3 Strategic priorities to accelerate growth and transform the way health care is delivered Grow and differentiate our businesses Deliver transformational products and services Create a consumer - centric technology infrastructure Modernize Enterprise functions and capabilities The most consumer - ce
Slide 4: COVID-19 response: providers and communities
4 Providers • Enabled Aetna - contracted health care providers to focus on patient care by streamlining processes , including: – Changed prior authorization requirements for post - acute hospitals and long - term acute hospitals nationally to help hospitals make room for more patients – Streamlined
Slide 5: Executive compensation program supports achievement of strategic priorities
5 Executive compensation program supports achievement of strategic priorities Performance metric Weighting Metric rationale Annual Cash Incentive 18% of 2019 CEO Target Pay Mix MIP Adjusted Operating Income 80% • Key measure of profitability followed closely by investors Retail Customer Service, PBM
Slide 6: Accelerated PSUs to our CEO align long-term incentives to integration and transformation
6 Accelerated PSUs to our CEO align long - term incentives to integration and transformation • The decision to award the PSUs at this time was intended to most effectively align our CEO’s long - term incentives to the completion of the Aetna integration and the first phase of the Company’s initiativ
Slide 7: Accelerated PSUs to our CEO align with shift in business strategy and debt reduction
7 Accelerated PSUs to our CEO align with our shift in business strategy and commitment to reduce debt and drive long - term growth Equity Awards Vehicle 2017 2018 2019 2020 2021 2022 2023 2024 2025 2017 LTIP Award (50%) • Return on Net Assets, subject to rTSR modifier • 3 - year performance period 2
Slide 8: Accelerated PSUs to our Chief Policy and External Affairs Officer/General Counsel
8 Accelerated PSUs to our Chief Policy and External Affairs Officer/General Counsel to retain his services through the Aetna integration and execution of our Transformation initiatives ► Tom Moriarty is critical to the Company’s ongoing successful navigation of the regulatory, legal and public polic
Slide 9: Compensation program reflects stockholder input and leading practices
9 Compensation program reflects stockholder input and leading practices Recent enhancements to compensation program x Performance measures aligned with strategy x Majority of total compensation opportunity is performance - based x No excise tax gross - ups x No option repricing x No recycling of sha
Slide 10: Our governance practices enhance effective oversight
10 Our governance practices enhance effective oversight We recommend stockholders vote AGAINST the proposal to reduce the ownership threshold to request a stockholder action by written consent to 3% x We provide stockholders with a written consent right at a 25% ownership threshold x Reducing the ow
Slide 11: We ask for your vote at the 2020 Annual Meeting
11 We ask for your vote at the 2020 Annual Meeting Our Board values your support for its recommendations on the following ballot items: Item 1 FOR the election of the 13 director nominees to serve on the Board Item 2 FOR the ratification of appointment of Ernst & Young LLP as the Company’s independe
Slide 12: CVS Health
¥ CVSHealth.