Summary
United Rentals, Inc. (URI) filed an 8-K report on February 5, 2009, to announce a change in its executive legal team. Effective February 18, 2009, Jonathan M. Gottsegen will assume the role of Senior Vice President, General Counsel, and Corporate Secretary. This appointment coincides with the departure of Roger E. Schwed from his positions as Executive Vice President and General Counsel, effective February 17, 2009. The company has entered into a Separation Agreement with Mr. Schwed, outlining his transition and post-employment compensation. Investors should note the details of Mr. Schwed's severance package, which includes continued base salary during a transition period, severance benefits equivalent to 190% of his base salary paid over one year (with a delay due to Section 409A of the Internal Revenue Code), a lump sum payment in lieu of bonuses, vesting of certain restricted stock units, and COBRA payment assistance. Additionally, Mr. Schwed will serve as a consultant to the company for six months following his departure, receiving a fixed consulting fee.
Key Highlights
- 1Appointment of Jonathan M. Gottsegen as Senior Vice President, General Counsel, and Corporate Secretary, effective February 18, 2009.
- 2Departure of Roger E. Schwed from his roles as Executive Vice President and General Counsel, effective February 17, 2009.
- 3United Rentals entered into a Separation Agreement and General Release with Mr. Schwed.
- 4Mr. Schwed will receive continued base salary through March 31, 2009, as part of his transition.
- 5Severance benefits for Mr. Schwed include 190% of base salary over one year, with a Section 409A-related delay.
- 6Mr. Schwed will receive a $180,000 lump sum payment in lieu of 2008 and 2009 bonuses.
- 7Mr. Schwed will serve as a paid consultant for six months following his employment termination.