Summary
Lumentum Holdings Inc. (LITE) announced on February 4, 2016, the departure of Craig Cocchi, Senior Vice President of Operations, effective April 1, 2016. This is a standard executive departure, and the company has entered into a separation agreement with Mr. Cocchi. Investors should note the terms of the separation agreement, which include severance benefits outlined in the company's 2015 Change in Control and Severance Benefits Plan. These benefits include accelerated vesting of certain equity awards, a cash payment equivalent to nine months of base salary, and continued COBRA benefits for up to nine months, contingent upon Mr. Cocchi not being terminated for cause and signing a release of claims. The company has also filed the separation agreement as an exhibit to this 8-K.
Key Highlights
- 1Departure of Senior Vice President of Operations, Craig Cocchi, effective April 1, 2016.
- 2Separation agreement entered into with Mr. Cocchi.
- 3Severance benefits are in accordance with the company's 2015 Change in Control and Severance Benefits Plan.
- 4Key severance components include accelerated vesting of equity awards (9 months' time-based vesting), a lump sum cash payment equal to 9 months' base salary, and 9 months of company-paid COBRA.
- 5Severance is contingent on Mr. Cocchi not being terminated for 'Cause' and signing a release of claims.
- 6The separation agreement is filed as Exhibit 10.1 to the 8-K.
- 7The 2015 Plan was previously filed as Exhibit 10.5 to an August 6, 2015 8-K.