(5) | TheseReflects the amounts consist offor 401(k) matching contributions the cost ofand payments for medical benefits and life and disability insurance premiums.
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(6) | For the 2021 proxy statement, we disclosed the value of performance-based restricted stock awards in the summary compensation table based on the legal grant date, rather than the grant date for accounting purposes in accordance with ASC 718. We have revised the table to disclose the value of these performance-based restricted stock awards in the summary compensation table based on the grant date fair value determined in accordance with ASC 718. As a result, the value of the 2020 stock awards disclosed in the table above was reduced by $200,000 for Mr. Enloe and $498,600 for Mr. Lake, compared to the amounts historically presented. These performance-based restricted stock awards have been included in the value of the 2021 stock awards in the summary compensation table based on their grant date fair values of $120,793 for Mr. Enloe and $162,175 for Mr. Lake.
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Narrative Disclosure to Summary Compensation Table
Elements of Compensation
Base Salaries. Each named executive officer’s base salary is a fixed component of annual compensation for performing specific duties and functions, and has been established by our Compensation Committee or Board of Directors taking into account each individual’s role, responsibilities, skills, and expertise. Our Compensation Committee or Board of Directors reviews the base salaries of our executive officers, including our named executive officers, from time to time and makes adjustments as it determines to be reasonable and necessary to reflect the scope of an executive officer’s performance, contributions, responsibilities, experience, prior salary level, position (in the case of a promotion) and market conditions.
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During 2022, we entered into employment agreements withpaid annual base salaries of $575,000 and $440,000 for Mr. Enloe and Mr. Lake, pursuant to which Mr. Enloe’s and Mr. Lake’s base salaries were initially set at $550,000 and $425,000, respectively. For additional information regarding the employment agreements of our named executive officers, see subsection entitled “Employment Arrangements with our Named Executive Officers.”
In January 2022,2023, the Compensation Committee approved the following base salaries for our named executive officers: $575,000$625,000 for Mr. Enloe and $440,000$455,000 for Mr. Lake.Lake, each effective February 13, 2023.
Following the Separation, we ceased to directly pay an annual salary to Mr. Lake with respect to the period prior to December 15, 2020. However, in 2020, we reimbursed Baudax Bio approximately 50% of Mr. Lake’s cash compensation earned before his resignation as Chief Financial Officer of Baudax Bio in December 2020. The amounts that we reimbursed to Baudax Bio are reflected in the “Salary” column to the Summary Compensation Table above.
Annual Performance Cash Bonuses
Mr. Enloe and Mr. Lake were each eligible in 20212022 to earn an annual performance cash bonus from Societal based on the achievement of pre-established corporate and individual objectives as determined by our Board and our Compensation Committee, in consultation with Pay Governance, and additionally, with respect to Mr. Lake, and upon review of the recommendations of our CEO. Mr. Enloe and Mr. Lake were assigned a target bonus opportunity expressed as a percentage of their respective base salaries. Their actual bonus payments could behave been higher or lower than the target bonus amount, based on the achievement of corporate and individual objectives. The Compensation Committee retains the discretion to make adjustments to the calculated bonus amount based on unexpected or unplanned events, our overall financial condition, extraordinary performance or underperformance or other factors deemed appropriate by the Compensation Committee. The target bonus opportunity in 20212022 for Mr. Enloe and Mr. Lake was 60%70% and 50% of their respective base salaries.
In determining the amountlight of the performance bonus award actually paid, ourDecember 2022 Special Bonus to Mr. Enloe and Mr. Lake (see below), the Compensation Committee determined the level of achievement of the corporate goals and individual goals for the year. These goals primarily included meeting certain revenue and EBITDA levels, development of new business, maintaining high quality standards, managingnot to grant performance cash to budget and delivering manufactured products on time in full. The Compensation Committee and the Board determined that the percentage attainment of our corporate goals for 2021 was 104.3%. In determining Mr. Lake’s individual performance, our Compensation Committee reviewed and considered the recommendations of Mr. Enloe. Our Compensation Committee approved a 2021 annual bonus paymentbonuses to Mr. Enloe and Mr. Lake for 2022.
December 2022 Special Bonus
In December 2022, we (i) through our wholly owned subsidiary, Societal CDMO Gainesville, LLC, or Societal Gainesville, sold certain real estate located in Gainesville, Georgia to Tenet Equity Funding SPE Gainesville, LLC, a subsidiary of Tenet Equity L.P., for a purchase price of $39.0 million, or the Sale-Leaseback Transaction; (ii) entered into a Credit Agreement, or the RBC Credit Agreement, by and among us, our subsidiaries named as guarantors therein, Royal Bank of Canada, in its capacity as the administrative agent, or RBC, and the lenders named therein, which provided us with a term loan in the principal amount of $36.9 million; and (iii) completed separate, concurrent underwritten public offerings of our securities, or the Equity Financing, which provided aggregate gross proceeds of approximately $35.6 million, before underwriting discounts and commissions and estimated offering expenses.
The proceeds of the Sale-Leaseback Transaction, RBC Credit Agreement and Equity Financing were used to repay in full all outstanding indebtedness under the Credit Agreement, dated as of November 17, 2017, as amended from time to time, by and among us, our subsidiaries named as guarantors therein, the lenders party thereto, and Athyrium Opportunities III Acquisition LP, or the Athyrium Debt, which had previously provided us with $100 million in a term loan due on December 31, 2023, at an amountinterest rate equal to 114.3%the three-month LIBOR rate, with a 1% floor plus 8.25% per annum.
In recognition of his target bonus amountthe significant efforts of Mr. Enloe and Mr. Lake, in an amount equal to 114.3%completing the Sale-Leaseback Transaction, the RBC Credit Agreement, the Equity Financing, and the repayment of his targetthe Athyrium Debt, on December 28, 2022, our Board approved a one-time discretionary cash transaction success bonus amount. This amount is reflected in the “Non-Equity Incentive Plan Compensation” columnamount of the Summary Compensation $400,000 to Mr. Enloe and $225,000 to Mr. Lake.
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Equity Compensation
In 20202021 and 2021,2022, we awarded equity compensation under our 2018 Amended and Restated Equity Incentive Plan, or the 2018 Plan, to our named executive officers in the form of time-vesting stock options and time- and
