Boston Scientific has announced that Chief Technology Officer Fredericus Colen stands to receive more than $3 million in payments and other compensation upon his unexpected retirement from the company, the Boston Business Journal reports.
The company internally announced Colen's departure--slated for June 30--on April 23. An SEC filing cites family as the reason for his retirement. Colen will receive benefits under the company's executive retirement plan equal to 2.5 months salary for each year of his more than 10 years of service, or $1.36 million, the filing notes. He also will receive an executive allowance prorated through his retirement date equal to $12,500.
In addition, Colen will receive a lump sum payment equal to his annual base salary of $600,000 shortly after June 30 and will be eligible to receive a prorated bonus of up to 70 percent of his current annual base salary. He also will receive reimbursement of relocation expenses incurred in connection with his previously anticipated relocation to Massachusetts of approximately $40,000, as well as outplacement services not to exceed $25,000.
In March, Boston Scientific said it would absorb up to $1 million of any loss on the sale of Colen's lakefront home in Minnesota. At the time, Colen was being relocated from his home in Minnesota as part of his new role as CTO. Colen purchased his home on Lake Minnetonka in 2005 for $5.17 million, according to Hennepin County real estate records. The home recently was listed for $4.6 million. According to Minnesota public records, the home is still owned by Colen, the Boston Business Journal reports.
According to his bio on the Boston Scientific website, Colen was EVP and and president for the company's Cardiac Rhythm Management Group prior to becoming CTO. He joined the company in 1999 as VP of R&D of SCIMED. He also held positions at Guidant and St. Jude Medical.
His departure comes just after the company received FDA clearance for the two manufacturing changes affecting its cardiac resynchronization therapy defibrillators and implantable cardioverter defibrillators.