8-KLeadership ChangesShareholder MattersExhibits & Filings

PayPal Holdings, Inc. 8-K Report, Executive Changes (May 21, 2026)

Filed May 21, 2026For Securities:PYPL

Summary

This 8-K filing from PayPal Holdings, Inc. (PYPL) reports on key outcomes from their 2026 Annual Meeting of Stockholders and a departure of a senior executive. Notably, the "2026 Equity Incentive Award Plan" was approved by stockholders, replacing the prior 2015 plan. This new plan authorizes the issuance of a significant number of shares, both newly authorized and those from expired awards under the old plan, providing a framework for future equity compensation to employees and executives. Investors should monitor how this new plan influences executive compensation and employee motivation. The filing also confirms the election of all 11 director nominees, indicating continued confidence in the current board leadership. Additionally, the appointment of PricewaterhouseCoopers LLP as the independent auditor for 2026 was ratified. On the executive front, EVP, General Manager, Consumer Group, Diego Scotti, is departing effective June 2, 2026, and will receive severance benefits as per the company's established plan. The advisory vote on executive compensation passed with strong support, suggesting general shareholder approval of the company's compensation practices.

Key Highlights

  • 1Stockholders approved the PayPal Holdings, Inc. 2026 Equity Incentive Award Plan, which will serve as the primary vehicle for future equity awards.
  • 2The new 2026 Equity Incentive Award Plan authorizes up to 39,100,000 new shares, plus shares from expired awards under the 2015 plan.
  • 3All 11 director nominees were elected to serve until the 2027 Annual Meeting of Stockholders.
  • 4The appointment of PricewaterhouseCoopers LLP as the independent auditor for 2026 was ratified by stockholders.
  • 5EVP, General Manager, Consumer Group, Diego Scotti, is departing the company effective June 2, 2026.
  • 6Mr. Scotti is eligible to receive severance payments and benefits under the Company's Executive Change in Control and Severance Plan.
  • 7The advisory vote to approve the compensation of named executive officers received strong support, passing with 90.2% of the votes cast.

Frequently Asked Questions

The 2026 Equity Incentive Award Plan, approved by stockholders, is important because it outlines the framework for how PayPal will grant equity (like stock options or restricted stock units) to its employees and executives going forward. It allows for the issuance of a substantial number of shares, which can be used to attract, retain, and motivate talent, aligning their interests with those of shareholders. Investors should pay attention to how this plan is utilized in future compensation packages.

The departure of Diego Scotti from his role as EVP, General Manager, Consumer Group, is a notable executive change. While the filing states he will receive severance benefits according to the company's standard plan for termination without cause, the specific reasons for his departure are not detailed. Investors may want to understand the impact on the Consumer Group and look for future announcements regarding his successor or any realignment of responsibilities within that division.

The most significant outcomes were the approval of the new 2026 Equity Incentive Award Plan and the election of all director nominees, reflecting shareholder confidence in the board. The advisory vote on executive compensation also passed with strong support. However, two stockholder proposals regarding services in conflict zones and reducing the threshold to call a special meeting did not pass.

No, the appointment of PricewaterhouseCoopers LLP as PayPal's independent auditor for 2026 was ratified by the stockholders, meaning they will continue in this role.