Robert Binder Given Another 115,100 Shares

[mrlevin]

Must not be tied to profit, but Binder was granted a whole lot of new shares this week which will vest in March 2022.  At current price worth almost $2,000,000. 

Edited September 23, 2020 by mrlevin

[Hanoverian]

Perhaps tied to reported record bookings? 

 

https://www.cruiseindustrynews.com/cruise-news/23536-oceania-says-it-had-record-bookings-in-labor-day-sale.html

 

 

[pinotlover]

Rather amazing actually! Shares only come from two sources:

 

1. The company, NCLH, goes out on the open market and buys them, or;

 

2. The shares were already sitting in the company’s treasury and issued.

 

Bleeding cash as fast as they are it would be surprising if you could do #1. I’m surprised they didn’t keep those shares in their treasury in case they needed some quick cash!

 

Now, one must reasonably expect part of the price increase in NCLH stock has to be coming from timed treasury purchases to support the stock! How much more of those Billions borrowed are being used to support/ advance the stock price! 
 

Another interesting part of the posted article was that only five (5) percent of the new bookings came from FCC. Could that be because a large number of cancellations creating FCC are yet to come? 

[njhorseman]

12 minutes ago, pinotlover said:

Rather amazing actually! Shares only come from two sources:

 

1. The company, NCLH, goes out on the open market and buys them, or;

 

2. The shares were already sitting in the company’s treasury and issued.

 

Bleeding cash as fast as they are it would be surprising if you could do #1. I’m surprised they didn’t keep those shares in their treasury in case they needed some quick cash!

 

Now, one must reasonably expect part of the price increase in NCLH stock has to be coming from timed treasury purchases to support the stock! How much more of those Billions borrowed are being used to support/ advance the stock price! 
 

Another interesting part of the posted article was that only five (5) percent of the new bookings came from FCC. Could that be because a large number of cancellations creating FCC are yet to come? 

What price increase in NCLH stock are you talking about? The stock closed today at $15.17.  A month ago on August 24, it closed at $16.74.  Two months earlier, on July 23 it closed at $14.41. Three months ago, on June 23 it closed at $18.03 . Yes, it's higher today than at the start of the pandemic when the cruise industry shut down and the stock market as a whole tanked , but the entire market has rebounded sharply since then . All you're seeing on NCLH stock in the last couple of months are the typical day-to-day fluctuations based on whether there's good news or bad news.

 

No they're not buying back stock right now. They don't have the cash to do it. They bought back stock when the company was making money hand over fist, just like many companies do. It boosts the stock price, enriching the institutions and senior executives who have big stakes in the company.

[pinotlover]

I agree the stocks were sitting in the treasury #2. Whether cash, stock, or other it’s all assets. Just surprised Oceania is burning any assets at this time.

[njhorseman]

52 minutes ago, pinotlover said:

I agree the stocks were sitting in the treasury #2. Whether cash, stock, or other it’s all assets. Just surprised Oceania is burning any assets at this time.

They have lots and lots of stock available to compensate executives. From the latest NCLH 10 Q : "Ordinary shares, $0.001 par value; 490,000,000 shares authorized; 280,798,331 shares issued and 256,347,472 shares outstanding at June 30, 2020."

 

With over 200 million authorized shares that have not been issued and 24 million shares issued but not outstanding  granting 115,100 shares to Binder under the performance incentive plan  is not giving away anything the company needs. Executive incentive compensation one of they are holding the issued but not outstanding shares.

 

And the shares don't vest until March 21, 2022...18 months from now. By the time that 18 months has elapsed they'll either be worthless because the company has been restructured or dissolved in bankruptcy, or the company will have survived the crisis and returned to profitability.

 

Also, see my next post for a further explanation of what's behind this.

Edited September 24, 2020 by njhorseman

[njhorseman]

By the way, the reason for the stock grant is explained in this 8-K filing:

 

http://www.nclhltdinvestor.com/static-files/ed3ea1ff-8175-41af-b5f6-4ba75fd54aa5

 

Binder's employment contract has been extended through and terminates on December 31, 2021. He will then remain employed for three months in a transition role. The 115,000 restricted shares that vest on March 31, 2022 are in granted consideration for his work during the three month extension.

[pinotlover]

Binder is 55 and FDR is 65. Does this extension of contract, into 2022, get him to FDR’s retirement we’re he becomes the new COB, or to his own quite comfortable retirement? 

[njhorseman]

30 minutes ago, pinotlover said:

Binder is 55 and FDR is 65. Does this extension of contract, into 2022, get him to FDR’s retirement we’re he becomes the new COB, or to his own quite comfortable retirement? 

If Binder were going to take over for FDR why would his role in during the three month contract extension be strictly to provide transition support?  The wording makes it pretty clear he's not going to be NCLH's CEO. It looks like he's leaving the company...to retire or perhaps do something else.

 

"2. Transition period Beginning on January 1, 2022 and through March 31, 2022 (the “Transition Period”), your services shall be limited to providing transition support during normal business hours to the Company as may be reasonably requested by either the Board of Directors or Chief Executive Officer of Norwegian Cruise Line Holdings Ltd. (“NCLH”) or the new President and Chief Executive Officer of Oceania Cruises from time to time. During the Transition Period, you will continue to receive your base salary and benefits provided under your Employment Agreement, however, you will not be entitled to a Pro-rata Bonus under Section 5.3(b)(iii) of your Employment Agreement for the Transition Period."

Edited September 24, 2020 by njhorseman

[pinotlover]

Yep, it appears that “Binder be gone “soon .

Happy Sailings!

[RJB]

12 minutes ago, pinotlover said:

Yep, it appears that “Binder be gone “soon .

Happy Sailings!

Too bad.  Seems to me that Binder has done a very good job for all the years he has been with O and NCLH and Regent.  Be nice to see him stay for a good long time.   Just my opinion. 

[ORV]

If I remember correctly wasn't FDR going to phase out of management at the start of the NCLH merger that brought Regent and Oceania in with them. The way it turned out he wound up as the head guy. 

 

I believe what happens, not what people say is going to happen. 

[njhorseman]

47 minutes ago, ORV said:

If I remember correctly wasn't FDR going to phase out of management at the start of the NCLH merger that brought Regent and Oceania in with them. The way it turned out he wound up as the head guy. 

 

I believe what happens, not what people say is going to happen. 

I don't recall FDR ever saying that he was going to phase out of management, but even if he had in this case you have a legal document filed with the SEC that includes the actual employment contract modification attached, not just someone's oral statement. Yes, it could be modified in the future but absent that you have a legally binding employment contract that must be assumed to be accurate.

 

 

[pinotlover]

1. He’s made a boatload (pun intended) of money and would like to retire and take it easy.

 

2.  He some other interests he’d like to explore.

 

3.  He’d like to move up to COB and run the show and feels, for whatever reason, FDR has no intentions to retire in the next twenty years, so he’s leaving to better explore other opportunities.

 

I worked once for Occidental Petroleum. Watched both Armand Hammer and Irani run off numerous very talented senior underlings because they had no intent on ever retiring. Both stayed into their 90s, long past their mental capacity to do so!

[Jancruz]

You guys are so funny trying to guess whats going to happen gives me a chuckle..

Jancruz1

[CintiPam]

Bob Binder and his wife were on my very first cruise ever, Istanbul to Athens, in September 2008 on Nautica.  I first encountered them right after I boarded while I was exploring the ship before my luggage arrived in our cabin. They were getting a personal tour of the ship by an officer.  Of course, it only was a couple of days later at breakfast at the Terrace Cafe that someone pointed out to me who they were! 
 

Such great memories of the first of many wonderful Oceania cruises.  I hope that we will be able to add more cruise memories.

[clo]

6 hours ago, Jancruz said:

You guys are so funny trying to guess whats going to happen gives me a chuckle..

Jancruz1

And you're so funny with your insider info 🙂

[njhorseman]

9 hours ago, pinotlover said:

He’d like to move up to COB

FYI, the board chairman is an independent director, Russell W. Galbut, not FDR. I think "He'd like to move up to CEO " would be a better statement.

[LHT28]

47 minutes ago, CintiPam said:

Bob Binder and his wife were on my very first cruise ever, Istanbul to Athens, in September 2008 on Nautica.  I first encountered them right after I boarded while I was exploring the ship before my luggage arrived in our cabin. They were getting a personal tour of the ship by an officer.  Of course, it only was a couple of days later at breakfast at the Terrace Cafe that someone pointed out to me who they were! 
 

I wonder why they would need a tour of the ship ??

I am sure Mr Binder has seen all of the ships  nooks & crannies 😉

 

[CintiPam]

8 minutes ago, LHT28 said:

I wonder why they would need a tour of the ship ??

I am sure Mr Binder has seen all of the ships  nooks & crannies 😉

 

The officer appeared to be focusing his remarks at Mrs. Binder.  That sums up my memory of that first encounter.

Edited September 25, 2020 by CintiPam

[Jancruz]

1 hour ago, CintiPam said:

Bob Binder and his wife were on my very first cruise ever, Istanbul to Athens, in September 2008 on Nautica.  I first encountered them right after I boarded while I was exploring the ship before my luggage arrived in our cabin. They were getting a personal tour of the ship by an officer.  Of course, it only was a couple of days later at breakfast at the Terrace Cafe that someone pointed out to me who they were! 
 

Such great memories of the first of many wonderful Oceania cruises.  I hope that we will be able to add more cruise memories.

Bob has a significant other Walter so I doubt you had the right people ..he would never take a tour of the ship since he was in on building it..

Jancruz1

[Jancruz]

1 hour ago, LHT28 said:

I wonder why they would need a tour of the ship ??

I am sure Mr Binder has seen all of the ships  nooks & crannies 😉

 

You are right Lyn and there is no Mrs. Binder

Jancruz1

[CintiPam]

57 minutes ago, Jancruz said:

Bob has a significant other Walter so I doubt you had the right people ..he would never take a tour of the ship since he was in on building it..

Jancruz1

Huge mea culpa!  Tonight’s senior moment shows that 12 years ago is longer ago than I thought.

 

Jan, you are absolutely right, and I sincerely apologize for my error. It was the third member of the triumvirate at that time: Joe Watters and wife.  
 

Would Mr. Watters perhaps have someone accompanying them as he gave his wife a tour of the ship? 

 

And certainly now my posts contribute not at all in a thread that is about Bob Binder.  

 

Edited September 25, 2020 by CintiPam

[ORV]

10 hours ago, CintiPam said:

Huge mea culpa!  Tonight’s senior moment shows that 12 years ago is longer ago than I thought.

 

Jan, you are absolutely right, and I sincerely apologize for my error. It was the third member of the triumvirate at that time: Joe Watters and wife.  
 

Would Mr. Watters perhaps have someone accompanying them as he gave his wife a tour of the ship? 

 

And certainly now my posts contribute not at all in a thread that is about Bob Binder.  

 

Oddly enough we met Joe Watters and his wife on a Marriott shuttle bus from the airport to hotel in Miami a couple of years ago. We were the only people on there and when we mentioned we were going on a cruise and told them it was Oceania they told us who they are. I believe Ms Watters is a Godmother of one of the R ships. They were in Miami for a Marine Max convention, which I think he said he was on the board of directors of. 

 

I certainly was confused when you mentioned Bob Binder's wife, I thought I'd gotten something wrong again. 

[Jancruz]

18 hours ago, CintiPam said:

Huge mea culpa!  Tonight’s senior moment shows that 12 years ago is longer ago than I thought.

 

Jan, you are absolutely right, and I sincerely apologize for my error. It was the third member of the triumvirate at that time: Joe Watters and wife.  
 

Would Mr. Watters perhaps have someone accompanying them as he gave his wife a tour of the ship? 

 

And certainly now my posts contribute not at all in a thread that is about Bob Binder.  

 

Hi no problem did not mean to embarrass you..and certainly no apology necessary..Joe and Virginia Watters also knew the ships back and forth..so maybe whoever told you was mistaken..Virginia is God Mother of Insignia..

Jancruz1