01—Abstract
Summary
Summary of the 8-K/A filed July 22, 2022. Cited figures are marked; the original filing is the authoritative source.
United Rentals, Inc. (URI) has filed an 8-K/A amendment on July 22, 2022, to disclose details of an employment agreement with William (Ted) Grace, effective July 29, 2022, appointing him as Interim Chief Financial Officer.
This appointment and compensation structure are key changes for investors to note, as they impact executive leadership and financial oversight during a transitional period. The agreement outlines Mr. Grace's interim base salary of $550,000a and a bonus target of 90% of his base salary.
Additionally, he will receive a one-time restricted stock unit (RSU) grant valued at $325,000,b vesting over three years. The filing also details severance provisions and restrictive covenants, including non-competition and non-solicitation clauses, which provide insights into the terms governing his executive role and potential future transitions.
02—Key points
Key Highlights
- William (Ted) Grace appointed as Interim Chief Financial Officer, effective July 29, 2022.
- Interim annual base salary for Mr. Grace set at $550,000.
- Interim bonus target of 90% of base salary approved for Mr. Grace.
- One-time restricted stock unit (RSU) grant valued at $325,000, vesting over three years, awarded to Mr. Grace.
- Severance package includes 100% of base salary and target annual incentive if terminated without cause or resigns for good reason.
- Mr. Grace is subject to indefinite confidentiality and non-disparagement, and 12-month post-termination non-competition and non-solicitation covenants.
03—Questions
Frequently Asked Questions
What is the primary purpose of this 8-K/A filing?
The primary purpose of this 8-K/A filing is to provide details regarding the employment agreement for William (Ted) Grace, who has been appointed as the Interim Chief Financial Officer of United Rentals, Inc.
What is the compensation package for the new Interim CFO?
Mr. Grace will receive an interim annual base salary of $550,000, a bonus target of 90% of his base salary, and a one-time restricted stock unit (RSU) grant with a fair value of $325,000 that vests over three years.
What are the severance benefits if Mr. Grace's employment is terminated?
In the event of termination by the Company without cause or resignation for good reason, Mr. Grace is entitled to accrued salary and expenses, continued COBRA coverage for up to 12 months, and a lump sum payment equal to 100% of his base salary and 100% of his target annual incentive, paid over a 12-month period.
Are there any post-employment restrictions for Mr. Grace?
Yes, Mr. Grace is subject to indefinite confidentiality and non-disparagement restrictions, as well as 12-month post-termination non-competition and non-solicitation covenants.
04—Continue