# EDGAR Filing Document

**Accession Number:** 0000096021
**File Stem:** 0000096021-23-000042
**Filing Date:** 2023-3
**Character Count:** 16496
**Document Hash:** 0cb4a1e5d9a6736545f789999043d9e1
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000096021-23-000042.hdr.sgml**: 20230328

**ACCESSION NUMBER**: 0000096021-23-000042

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 15

**CONFORMED PERIOD OF REPORT**: 20230324

**ITEM INFORMATION**: Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers

**ITEM INFORMATION**: Regulation FD Disclosure

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230328

**DATE AS OF CHANGE**: 20230328

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** SYSCO CORP
- **CENTRAL INDEX KEY:** 0000096021
- **STANDARD INDUSTRIAL CLASSIFICATION:** WHOLESALE-GROCERIES & RELATED PRODUCTS [5140]
- **IRS NUMBER:** 741648137
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 0701

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-06544
- **FILM NUMBER:** 23766262

**BUSINESS ADDRESS:**
- **STREET 1:** 1390 ENCLAVE PKWY
- **CITY:** HOUSTON
- **STATE:** TX
- **ZIP:** 77077
- **BUSINESS PHONE:** 281-584-1390

**MAIL ADDRESS:**
- **STREET 1:** 1390 ENCLAVE PKWY
- **CITY:** HOUSTON
- **STATE:** TX
- **ZIP:** 77077

?xml version="1.0" ? syy-20230324

**UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549**

<br>**FORM 8-K**<br>

**CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE**

**SECURITIES EXCHANGE ACT OF 1934** 

Date of Report (Date of earliest event reported): **March 24, 2023 _______________________**

**Sysco Corporation**

(Exact name of registrant as specified in its charter) **_________________________**

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| | | |
|:---|:---|:---|
| **Delaware** | **1-06544** | **74-1648137** |
| (State or Other Jurisdiction<br>of Incorporation) | (Commission File Number) | (IRS Employer<br>Identification No.) |

---

**1390 Enclave Parkway, Houston, TX 77077-2099**

(Address of principal executive offices) (zip code)

Registrant's telephone number, including area code: **(281) 584-1390**

**&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;N/A&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**

(Former name or former address, if changed since last report)

**_________________________**

&nbsp;&nbsp;&nbsp;&nbsp;Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐&nbsp;&nbsp;&nbsp;&nbsp;Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐&nbsp;&nbsp;&nbsp;&nbsp;Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐&nbsp;&nbsp;&nbsp;&nbsp;Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐&nbsp;&nbsp;&nbsp;&nbsp;Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

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| | | |
|:---|:---|:---|
| **<u>Title of each class</u>** | **<u>Trading Symbol(s)</u>** | **<u>Name of each exchange on which registered</u>** |
| Common stock, $1.00 Par Value | SYY | New York Stock Exchange |
| 1.25% Notes due June 2023 | SYY23 | New York Stock Exchange |

---

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company&nbsp;&nbsp;&nbsp;&nbsp;☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.&nbsp;&nbsp;&nbsp;&nbsp;

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**ITEM 5.02 DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN OFFICERS.**

On March 24, 2023, the Board of Directors (the "**Board**") of Sysco Corporation ("**Sysco**" or the "**Company**") named Mr. Kenny Cheung as Sysco's Executive Vice President and Chief Financial Officer, with an expected effective date of April 17, 2023 (the "**Effective Date**"). Mr. Cheung will succeed Mr. Neil A. Russell, who will be transitioning to serve as the Company's Senior Vice President and Chief Administrative Officer as of the Effective Date.

Mr. Cheung most recently served as Executive Vice President, Chief Financial Officer at the Hertz Corporation ("**Hertz**") since September 2020, overseeing Hertz's global finance organization, including accounting, financial planning and analysis, tax, investor relations, internal audit, and treasury. His prior finance leadership roles with Hertz included Chief Financial Officer for Hertz North America from April 2020 to September 2020 and Senior Vice President of Global Financial Planning and Analysis from December 2018 to April 2020.

Prior to joining Hertz in December 2018, he spent over a decade at Nielsen Holdings, PLC, most recently as Global Chief Audit Executive, and, prior to that, as a regional Chief Operating Officer and regional Chief Financial Officer. He also held financial and operating roles at General Electric across supply chain, operations, and financial planning and analysis. Mr. Cheung holds a bachelor's degree in Finance from the University of Maryland and an M.B.A. from Washington University in St. Louis.

*Executive Vice President and Chief Financial Officer Compensation Arrangements*

In connection with Mr. Cheung's appointment as Executive Vice President and Chief Financial Officer, Mr. Cheung and the Company entered into a letter agreement (the "**Cheung Agreement**"), pursuant to which Mr. Cheung will receive an annual base salary of $765,000 and will be eligible to receive: (i) a target annual cash incentive opportunity for fiscal year 2023 equal to 100% of his annual base salary, pro-rated from the Effective Date through July 1, 2023, and (ii) an annual equity award for fiscal year 2024 under the Long Term Incentive ("**LTI**") program with a grant date fair value equal to 325% of his annual base salary.

In addition, under the Cheung Agreement, Mr. Cheung will receive (i) a one-time cash payment equal to $600,000 (the "**Sign-On Bonus**") and (ii) a full annual equity award (the "**FY23 LTI Award**") for the Company's fiscal year 2023, rather than a pro-rated award, under the Company's LTI program, with a grant date fair value equal to 325% of his annual base salary that consists 50% of performance share units, 30% of stock options and 20% of restricted stock units. The award of the Sign-On Bonus, together with the grant of the FY23 LTI Award without pro-ration, are primarily intended to compensate Mr. Cheung for the forfeiture of his outstanding equity awards issued by Hertz.

*Senior Vice President and Chief Administrative Officer Compensation Arrangements*

In connection with his appointment as Senior Vice President and Chief Administrative Officer, Mr. Russell's (i) annual base salary will be increased to $525,000, (ii) target annual cash incentive opportunity will be equal to 100% of his annual base salary, and (iii) long-term incentive opportunity will be increased to an aggregate grant date fair value equal to 200% of his annual base salary. Mr. Russell will also receive a separate, one-time equity award consisting of restricted stock units ("**RSUs**") valued at $500,000 and intended to enhance his retention. The RSU award will vest pro-rata over three years, subject to Mr. Russell's continued employment with the Company through the applicable vesting dates.

In recognition of Mr. Russell's tenure as Interim Chief Financial Officer, Mr. Russell will also be entitled to receive a one-time, cash incentive payment of $125,000.

**ITEM 7.01 REGULATION FD DISCLOSURE**

On March 28, 2023, the Company issued a press release announcing the appointments of Messrs. Cheung and Russell as described above.

A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated into this Item 7.01 by reference. The information in this Item 7.01 is being furnished, not filed, pursuant to Item 7.01 of Form 8-K.

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**SECTION 9 – FINANCIAL STATEMENTS AND EXHIBITS**

**Item 9.01 Financial Statements and Exhibits.**

&nbsp;&nbsp;&nbsp;&nbsp;(a) Financial Statements of Businesses Acquired.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;(b) Pro Forma Financial Information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;(c) Shell Company Transactions.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;(d) Exhibits.

---

| | |
|:---|:---|
| <u>Exhibit Number</u> | <u>Description</u> |
| 99.1 | <u>[Press Release dated as of March 28, 2023](exhibit991pressrelease2023.htm)</u> |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |

---

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**SIGNATURES**

&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Exchange Act of 1934, Sysco Corporation has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Sysco Corporation

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| | | |
|:---|:---|:---|
| Date: March 28, 2023 | By: | /s/ Gerald W. Clanton |
|  |  | Gerald W. Clanton |
|  |  | Vice President, Legal, Deputy General Counsel and Assistant Corporate Secretary |

---

## Exhibit 99.1

**<u>Exhibit 99.1</u>**

![image_0.jpg](image_0.jpg)

**Sysco Names Kenny Cheung Chief Financial Officer**

**Neil Russell Named Chief Administrative Officer**

**HOUSTON, March 28, 2023** – Sysco Corporation (NYSE: SYY), the leading global foodservice distribution company, has appointed Kenny Cheung to the position of Chief Financial Officer (CFO), effective April 17, 2023. Neil Russell, who has served as Interim CFO since January 6, 2023, has been appointed to the newly created position of Chief Administrative Officer (CAO).

"I'm delighted to welcome Kenny to our executive leadership team," said Kevin Hourican, Sysco's President and Chief Executive Officer. "Kenny is a results-oriented leader with proven financial and operational management qualifications and a track record of driving strong performance with a collaborative approach. He has extensive experience building successful financial organizations that create value for shareholders, and we look forward to partnering with him as we continue to execute our Recipe for Growth strategy."

Hourican continued, "Neil has done an outstanding job as Interim CFO and we are pleased that he is now taking on the role of Chief Administrative Officer, expanding his responsibilities at Sysco. Neil is an exceptional leader that has made significant contributions to Sysco across his 17 years with the company. His deep understanding of our business, people and culture will be an important asset as we continue to execute our transformation programs."

Cheung joins Sysco with nearly 20 years of financial and operational executive experience. He most recently served as Executive Vice President, Chief Financial Officer at The Hertz Corporation, where he led the company's Global Finance Organization, including accounting, financial planning and analysis, tax, investor relations, internal audit, and treasury operations. Previously, Kenny also managed procurement and global franchise operations. He was an integral part of the team that led Hertz through its successful restructuring and Chapter 11 emergence in June 2021, and later resulted in a re-IPO in November 2021. Prior to his appointment as CFO, Cheung served as Executive Vice President, Chief Operational Finance and Restructuring Officer and in several finance leadership roles, including SVP of Global Financial Planning and Analysis and CFO for Hertz North America. Before joining Hertz in 2018, he spent over a decade at Nielsen Holdings, PLC, most recently as Global Chief Audit Executive, and prior to that, as a Regional Chief Operating Officer and Regional Chief Financial Officer. Kenny gained extensive international experience while working at Nielsen over-seas. Prior to joining Hertz, Kenny worked at General Electric within the finance department supporting supply chain, operations and FP&A. Cheung holds a bachelor's degree in finance from the University of Maryland and an M.B.A. from Washington University in St. Louis.

------

"I'm thrilled to join Sysco at such an exciting time for the industry and organization," said Cheung. "The company is well-positioned to continue to grow its industry leading platform and further strengthen its customer-centric approach. I look forward to working with Kevin, the management team, the talented finance team, and Sysco colleagues to help the Company execute its strategic vision."

As CAO, Russell will be responsible for implementing Sysco's portfolio of strategic initiatives including the Recipe For Growth. He will work collaboratively with the Sysco Executive Leadership Team to ensure transformational programs are on track and delivering the required financial returns. In addition, Russell will have responsibility for leading and managing the company's government and investor relations, communications and public relations, sustainability and community relations.

"I am proud to have served as Interim CFO and excited to take on the expanded role as Chief Administrative Officer. At Sysco, we recognize that our global leadership position comes with responsibility, and I look forward to leading transformative initiatives that elevate our performance and drive value for stakeholders," said Russell.

**About Sysco**

Sysco is the global leader in selling, marketing and distributing food products to restaurants, healthcare and educational facilities, lodging establishments and other customers who prepare meals away from home. Its family of products also includes equipment and supplies for the foodservice and hospitality industries. With more than 71,000 colleagues, the company operates 333 distribution facilities worldwide and serves approximately 700,000 customer locations. For fiscal year 2022 that ended July 2, 2022, the company generated sales of more than $68 billion. Information about our Sustainability program, including Sysco's 2022 Sustainability Report and 2022 Diversity, Equity & Inclusion Report, can be found at <u>www.sysco.com</u>.

For more information, visit <u>www.sysco.com</u> or connect with Sysco on Facebook at <u>www.facebook.com/SyscoFoods</u>. For important news and information regarding Sysco, visit the Investor Relations section of the company's Internet home page at <u>investors.sysco.com</u>, which Sysco plans to use as a primary channel for publishing key information to its investors, some of which may contain material and previously non-public information. In addition, investors should continue to review our news releases and filings with the SEC. It is possible that the information we disclose through any of these channels of distribution could be deemed to be material information.

**Forward-Looking Statements**

Statements made in this press release that look forward in time or that express management's beliefs, expectations or hopes are forward-looking statements under the Private Securities Litigation Reform Act of 1995. Such forward-looking statements reflect the views of management at the time such statements are made and are subject to a number of risks, uncertainties, estimates, and assumptions that may cause actual results to differ materially from current expectations. These include statements concerning our expectations regarding our financial guidance in fiscal 2023. It is important to note that actual results could differ materially from those projected in such forward-looking statements based on numerous factors, including those outside of Sysco's control. For more information concerning factors that could cause actual results to differ from those expressed or forecasted, see our Annual Report on Form 10-K for the year ended July 2, 2022, as filed with the SEC, and our subsequent filings with the SEC. We do not undertake to update our forward-looking statements, except as required by applicable law.