Current Report Filing (8-k)
March 06 2020 - 4:16PM
Edgar (US Regulatory)
0000064803
false
0000064803
2020-03-03
2020-03-03
iso4217:USD
xbrli:shares
iso4217:USD
xbrli:shares
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The
Securities Exchange Act of 1934
Date
of Report (Date of earliest event reported): March 6, 2020 (March 3, 2020)
CVS HEALTH CORPORATION
(Exact name of registrant as specified
in its charter)
Delaware
|
001-01011
|
05-0494040
|
(State or other jurisdiction of incorporation)
|
(Commission
File Number)
|
(IRS Employer
Identification No.)
|
|
|
|
One CVS Drive, Woonsocket, Rhode Island
|
02895
|
(Address of principal executive offices)
|
(Zip Code)
|
|
|
Registrant’s telephone number, including area code:
(401) 765-1500
Former name or former address, if changed since last report: N/A
Check the appropriate box below if the Form 8-K filing is intended
to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o Written communications
pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material
pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications
pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
Securities
registered pursuant to Section 12(b) of the Act:
Title of each class
|
Trading Symbol(s)
|
Name of each exchange on which registered
|
Common Stock, par value $0.01 per share
|
CVS
|
New York Stock Exchange
|
Indicate by check mark whether the registrant is an emerging growth
company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange
Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company
☐
If an emerging growth company, indicate by check mark if the registrant
has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided
pursuant to Section 13(a) of the Exchange Act. ☐
Section 5 – Corporate Governance and Management
Item 5.02 Departure of Directors or Certain Officers; Election
of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
(e) On February 12, 2020, CVS Health Corporation (“CVS Health”,
and together with its subsidiaries, the “Company”) announced that Derica W. Rice, former Executive Vice President
of CVS Health and President of CVS Caremark, would be leaving CVS Health effective March 1, 2020 (the “Separation Date”).
In connection with Mr. Rice’s departure, on March 3, 2020,
CVS Pharmacy, Inc., a wholly-owned subsidiary of CVS Health, entered into a separation agreement (the “Separation Agreement”)
with Mr. Rice. Under the Separation Agreement, the Company has agreed to provide Mr. Rice with 18 months of continued base salary
as severance following his last day of employment (the “Severance Period”). Mr. Rice’s equity awards will
vest and be settled in accordance with their existing terms. Specifically, Mr. Rice’s stock options and restricted stock
unit awards (other than his Partnership Equity Program restricted stock units (“PEP RSUs”)) will continue to
vest through the end of the Severance Period. His outstanding performance stock unit (“PSU”) awards will vest
on a pro-rated basis through the Separation Date based on actual performance through the end of the applicable performance period.
The unvested portion of Mr. Rice’s PEP RSUs will vest on a pro-rated basis through the Separation Date. Under
the Separation Agreement, Mr. Rice also is entitled to (1) a bonus for performance year 2019 of $1,847,000, (2) a pro-rated bonus
for performance year 2020 of $275,000, (3) a one-time lump sum cash payment of $300,000 in lieu of remaining entitlements under
the Company’s relocation policy and (4) reimbursement of up to $15,000 for tax planning and financial planning services.
The Separation Agreement also contains a release
of claims against the Company, with customary confidentiality and cooperation covenants, and incorporates by reference any other
covenants to which Mr. Rice already is subject, including his restrictive covenant agreement, as amended pursuant to the Separation
Agreement to conform the non-competition period to applicable law.
Section 9 –
Financial Statements and Exhibits
Item 9.01 Financial Statements and Exhibits
(d) Exhibits.
The exhibit to this Current Report on Form 8-K is as follows:
INDEX TO EXHIBITS
104 Cover
Page Interactive Data File (the cover page XBRL tags are embedded within the Inline XBRL document).
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act
of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
|
|
CVS HEALTH CORPORATION
|
|
|
|
Date: March 6, 2020
|
By:
|
/s/ Colleen M. McIntosh
|
|
|
Colleen M. McIntosh
|
|
|
Senior Vice President, Chief Governance Officer, Corporate Secretary
and Assistant General Counsel
|
CVS Health (NYSE:CVS)
Historical Stock Chart
From Apr 2024 to May 2024
CVS Health (NYSE:CVS)
Historical Stock Chart
From May 2023 to May 2024