8-KLeadership Changes

ENTERPRISE PRODUCTS PARTNERS L.P. 8-K Report, Executive Changes (Jan 2, 2015)

Filed January 2, 2015For Securities:EPDEPDU

Summary

This 8-K filing from Enterprise Products Partners L.P. (EPD) reports a significant executive departure and associated separation agreement. Effective December 31, 2014, Stephanie C. Hildebrandt departed from her roles as Senior Vice President, General Counsel, and Secretary of the partnership's general partner. The filing details a separation agreement between Ms. Hildebrandt and Enterprise Products Company (EPCO), an affiliate. Under this agreement, EPCO will provide Ms. Hildebrandt with a lump sum payment of $4,000,000 and 12 months of medical benefits as settlement for all obligations. In exchange for these payments, Ms. Hildebrandt has agreed to several covenants, including confidentiality of trade secrets and a non-solicitation agreement for EPCO employees for one year post-departure. She also waived her right to pursue certain legal claims against EPCO or its affiliates. Investors should note this event as a change in a key executive position and understand the financial implications of the separation package. The filing is primarily informational, detailing the terms of this executive's departure and the financial settlement involved.

Key Highlights

  • 1Stephanie C. Hildebrandt has departed from her roles as Senior Vice President, General Counsel, and Secretary, effective December 31, 2014.
  • 2A separation agreement has been executed between Ms. Hildebrandt and Enterprise Products Company (EPCO), an affiliate of EPD.
  • 3EPCO will pay Ms. Hildebrandt a lump sum of $4,000,000 as part of the separation.
  • 4Ms. Hildebrandt will receive twelve months of medical benefits following her departure.
  • 5The agreement includes non-disclosure and non-solicitation clauses for Ms. Hildebrandt.
  • 6Ms. Hildebrandt has waived her right to bring certain claims against EPCO or its affiliates.
  • 7The filing date for this report is January 2, 2015.

Frequently Asked Questions

This 8-K filing is primarily to report the departure of Stephanie C. Hildebrandt from her executive positions and to disclose the terms of her separation agreement with Enterprise Products Company (EPCO), an affiliate.

The separation agreement involves a payment of $4,000,000 and 12 months of medical benefits, which are being provided by EPCO, an affiliate. While the direct financial impact on EPD's consolidated financials is not detailed in this 8-K, it represents a cost associated with executive transition within the affiliated group.

Yes, as part of the agreement, Ms. Hildebrandt has agreed to not disclose confidential information or trade secrets of EPCO or its affiliates and has also agreed not to solicit employees of EPCO for employment for a period of one year following December 31, 2014.

Yes, in exchange for the settlement payments and benefits, Ms. Hildebrandt waived her right to bring certain claims against EPCO or its affiliates.