8-KMaterial Agreements

General Motors Co 8-K Report, Agreement Terminated (Oct 6, 2010)

Filed October 6, 2010For Securities:GM

Summary

This Form 8-K filing by General Motors Company (GM) reports the termination of a material definitive agreement. Specifically, the consulting agreement with former CEO Frederick A. Henderson, which was set to expire on December 31, 2010, was terminated effective September 30, 2010. Mr. Henderson had been providing consulting services on international operations for a monthly fee and expense reimbursement, with a non-compete clause in effect during the agreement period. The termination was initiated by Mr. Henderson's notice to join Sunoco Corporation as senior vice president. Investors should note this development as it signifies the formal conclusion of a contractual relationship with a former key executive, reflecting changes in leadership and post-CEO engagement structures at GM.

Key Highlights

  • 1Termination of consulting agreement with former CEO Frederick A. Henderson, effective September 30, 2010.
  • 2The agreement was initially set to expire on December 31, 2010.
  • 3Mr. Henderson provided consulting services on international operations, estimated at 20 hours per month.
  • 4The consulting arrangement included a monthly fee of $59,090 plus expense reimbursement.
  • 5A non-compete clause was part of the agreement, restricting Mr. Henderson from competing with GM.
  • 6The termination was prompted by Mr. Henderson's decision to accept a new role at Sunoco Corporation.

Frequently Asked Questions

This 8-K filing was made to formally announce the termination of a material definitive agreement, specifically the consulting agreement between General Motors Company and its former CEO, Frederick A. Henderson.

The consulting agreement was terminated as of September 30, 2010.

Mr. Henderson terminated the agreement because he intended to join Sunoco Corporation as senior vice president in charge of SunCoke Energy operations.

The agreement involved Mr. Henderson providing approximately 20 hours of consulting per month on international operations, attending one meeting per month, receiving a fee of $59,090 monthly, and reimbursement for reasonable expenses. It also included a non-compete clause preventing him from working for competing automotive businesses.