Q: If I lose my job because of the merger, what severance benefits would be applicable to me?
The standard benefits available under the Sprint Separation Plan are available to employees until the approval and close of the merger.
Pending approval and after the close of the merger, the Sprint Separation Plan would continue to provide the same benefits for an additional 18 months.
Continue to refer to these FAQs which will be updated as more information becomes available.
Q: Ive earned 100 percent of my TIA when we achieved a
150-day
volume weighted average price (VWAP) of
$8 on March 9, 2017. If the deal is approved, what will happen to my TIA?
Your Sprint TIA awards will be converted at closing of the transaction
into
T-Mobile
TIA awards using the exchange ratio. For example, assume you were granted 1,500 Sprint TIA awards on Sept. 21, 2016. On Sept. 21, 2018, you vest in 500 of your Sprint TIA awards. Assume the
merger closes on June 30, 2019, without achieving a $10 VWAP and when you have 1,000 Sprint TIA awards outstanding. At closing, without any action on your part, your Sprint TIA awards will be converted into 103
T-Mobile
TIA awards, calculated by multiplying 1,000 by the exchange ratio of 0.10256 and rounding up to the nearest whole share. Of these 103
T-Mobile
TIA awards, if
you remain employed by the combined company, 51
T-Mobile
shares will vest at the scheduled vesting date of Sept. 21, 2019 and 52 shares will vest on Sept. 21, 2020, and will be delivered to you net of taxes as
soon as practicable after those dates. However, if you are involuntarily terminated without cause within 18 months after the closing date, any unvested shares will be delivered as soon as practicable after your last day worked.
Q: I received my TIA on May 24, 2017 and we have not earned them yet. If the deal closes and we have not yet achieved a
150-day
VWAP of $8, what will happen to my TIA?
The Business Combination Agreement we entered into with
T-Mobile
provides that your Sprint TIA awards will be earned at 100 percent if they have not been earned at the transaction closing. Your Sprint TIA awards will then be converted at closing of the transaction
into
T-Mobile
TIA awards using the exchange ratio. For example, assume you were granted 1,500 Sprint TIA awards that vests 50 percent on May 24, 2021 and 50 percent on May 24, 2022. Assume
the merger closes on June 30, 2019, without Sprint achieving an $8 VWAP. At closing, without any action on your part, your Sprint TIA awards will be converted into 154
T-Mobile
TIA awards, calculated by
multiplying 1,500 by the exchange ratio of 0.10256 and rounding up to the nearest whole share. Of these 154
T-Mobile
TIA awards, if you remain employed by the combined company,77
T-Mobile
shares will vest at the scheduled vesting date of May 24, 2021 and 77
T-Mobile
shares will vest on May 24, 2022, and will be delivered to you net of
taxes as soon as practicable after those dates. However, if you are involuntarily terminated without cause within 18 months after the closing date, any unvested shares will be delivered as soon as practicable after your last day worked.
Q: What happens to my RSUs if the deal is approved?
Your
Sprint RSU awards will be converted at closing of the transaction into
T-Mobile
RSUs using the exchange ratio. For example, assume you were granted 3,546 performance-based Sprint RSUs on May 24, 2017 that
vest on May 24, 2020. Assume the merger closes on June 30, 2019.