Delaware | 001-33459 | 20-3934755 | ||
(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification Number) |
27442 Portola Parkway, Suite 200 Foothill Ranch, CA | 92610 | |
(Address of Principal Executive Offices) | (Zip Code) |
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Exhibit | Description | |
10.1* | Letter Agreement, by and between the Company, Skilled Healthcare, LLC and Boyd W. Hendrickson, dated November 20, 2013 | |
10.2* | Consulting Agreement, by and between Skilled Healthcare, LLC and Hendrickson Investments, LLC, dated November 22, 2013 | |
10.3* | Employment Agreement, by and between the Company, Skilled Healthcare, LLC and Robert H. Fish, dated November 20, 2013 | |
10.4* | Robert H. Fish Restricted Stock Award Agreement, dated November 20, 2013 |
SKILLED HEALTHCARE GROUP, INC. | ||
Date: November 25, 2013 | /s/ Roland G. Rapp | |
Roland G. Rapp | ||
General Counsel, Chief Administrative Officer and Secretary |
Exhibit | Description | |
10.1* | Letter Agreement, by and between the Company, Skilled Healthcare, LLC and Boyd W. Hendrickson, dated November 20, 2013 | |
10.2* | Consulting Agreement, by and between Skilled Healthcare, LLC and Hendrickson Investments, LLC, dated November 22, 2013 | |
10.3* | Employment Agreement, by and between the Company, Skilled Healthcare, LLC and Robert H. Fish, dated November 20, 2013 | |
10.4* | Robert H. Fish Restricted Stock Award Agreement, dated November 20, 2013 |
6. | Nondisclosure of Proprietary Information. |
(a) | Except in connection with the faithful performance of the Services, Consultant shall, in perpetuity, maintain in confidence and shall not directly, indirectly or otherwise, use, disseminate, disclose or publish, or use for Consultant’s benefit or the benefit of any person, firm, corporation or other entity any confidential or proprietary information or trade secrets of or relating to Company or its affiliates that are obtained by Consultant during the term of this Agreement. Confidential or proprietary information, and trade secrets, shall not include any information that has entered the public domain through no fault of Consultant. |
(a) | Upon the termination of Consultant’s engagement with Company, Consultant will promptly deliver to Company any Company property that is then in Consultant’s possession. |
(c) | Nothing in this Agreement shall prohibit Consultant from (i) disclosing information and documents when required by law, subpoena or court order (provided that Consultant shall provide Company with advance written notice of any such contemplated disclosure), (ii) disclosing information and documents to Consultant’s attorney or tax advisor on a confidential basis for the purpose of securing legal or tax advice, or (iii) retaining, at any time, Consultant’s personal correspondence, personal rolodex and documents related to Consultant’s own personal benefits, entitlements and obligations. |
COMPANY: | SKILLED HEALTHCARE, LLC |
By: /s/ Roland Rapp | |
Name: Roland Rapp | |
Title: Chief Administrative Officer and Secretary | |
Date: 11/22/13 Address for Notices: Skilled Healthcare LLC Attn: Legal Department 27442 Portola Parkway, Ste. 200 Foothill Ranch, CA 92610 Attention: General Counsel Facsimile: (949) 282-5820 | |
CONSULTANT: | HENDRICKSON INVESTMENTS, LLC By: /s/ Boyd W. Hendrickson |
Name: Boyd W. Hendrickson Title: Authorized Signatory | |
Date: 11/22/13 Address for Notices: ___________________________ ___________________________ ___________________________ |
1. | Employment. |
(a) | General. The Company shall employ the Executive and the Executive shall enter the employ of the Company, for the period set forth in Section 1(b), in the position set forth in Section 1(c), and upon the other terms and conditions herein provided. |
(b) | Employment Term. The initial term of employment under this Agreement (the “Initial Term”) shall be for the period beginning on November 20, 2013 (the “Effective Date”) and ending on (and including) the first anniversary thereof, unless earlier terminated as provided in Section 3. The employment term hereunder shall automatically be extended for successive one-year periods (“Extension Terms” and, collectively with the Initial Term, the “Term”) unless either party gives written notice of non-extension to the other no later than thirty (30) days and no more than ninety (90) days prior to the expiration of the then-applicable Term and subject to earlier termination as provided in Section 3. |
(c) | Position and Duties. The Executive shall serve as the Chief Executive Officer of the Company with such customary responsibilities, duties and authority as may from time to time be assigned to the Executive by the Board of Directors of the |
(d) | Location. The Executive acknowledges that the Company's principal executive offices are currently located at Foothill Ranch, California. The Executive shall operate principally out of such executive offices, as they may be moved from time to time within 40 miles of their current location in Foothill Ranch, California. The Company expects, and the Executive agrees, that the Executive shall be required to travel from time to time in order to fulfill his duties to the Company. |
(e) | Compliance with Applicable Policies, Standards, Rules and Regulations. Executive agrees that in all aspects of such employment, Executive shall comply in all material respects with all material policies, standards, rules and regulations of the Company, as well as applicable state and federal regulations, established from time to time, and shall perform Executive’s duties faithfully, to the best of Executive’s ability and in the best interest of the Company. The Company has adopted the Skilled Healthcare Group Code of Conduct, the Facility Code of Conduct Handbook, the Employee Handbook and the Employee Dispute Resolution Book (collectively, the “Company Policies”). The Company Policies are available online and Executive acknowledges hereby that he/she has been provided copies of the Company Policies and is required to review and abide by each of the Company Policies. |
(f) | No Conflict. Executive represents and warrants that Executive’s execution of this Agreement, Executive’s employment with the Company, and the performance of Executive’s proposed duties under this Agreement shall not violate any obligations Executive may have to any other employer, person or entity, including |
2. | Compensation and Related Matters. |
(a) | Annual Base Salary. During the Term, the Executive shall receive a base salary at a rate of $700,000 per annum (the “Annual Base Salary”), which shall be paid in accordance with the customary payroll practices of the Company, subject to upward adjustment as may be determined by the Board in its discretion. In the case of such upward adjustment, “Annual Base Salary” shall mean such increased base salary. |
(b) | Annual Bonus. During the Term, the Executive will be eligible to participate in an annual performance-based bonus plan that provides an opportunity of 100% of the Executive’s Annual Base Salary (pro rated for the first year of the Term, if a partial calendar year) on terms substantially the same as the bonus plan adopted by the Board for other senior officers of the Company. Executive will be entitled to receive any such bonus if he is employed with Company on the last day of the applicable performance period for which such bonus is earned, although payment of any annual bonus, to the extent any annual bonus becomes payable, shall be paid to the Executive on or prior to March 15 of the year immediately following the year in which such annual bonus is earned. |
(c) | Equity Plan. During the Term, the Executive shall be eligible to participate in the 2007 Equity Award Plan of Parent, or a successor plan thereto (the “Equity Plan”), pursuant to which, on the Effective Date, the Executive shall receive an award of 800,000 shares of restricted common stock of Parent (the “Restricted Stock Award”) in accordance with the terms of the award agreement attached hereto as Schedule 1. |
(d) | Benefits. During the Term, the Executive shall be entitled to participate in group medical insurance, 401(k) and other standard benefits provided by the Company, as may be amended from time to time, which are applicable to the senior officers of the Company. |
(e) | Vacation. During the Term, the Executive shall not participate in any Company sponsored vacation plan; however the Executive will be expected to work a minimum of forty-eight (48) weeks during each of the Initial Term and any Extension Term, which will allow four (4) weeks off, with pay, during each of the Initial Term and any Extension Term. The minimum work threshold is tied to the applicable Initial Term and/or Extension Term, and no rollover is permitted. Any |
(f) | Expenses. During the Term, the Company shall reimburse the Executive for all reasonable travel and other business expenses incurred by him in the performance of his duties to the Company in accordance with the Company's expense reimbursement policy. |
(g) | Key Person Insurance. At any time during the Term, the Company shall have the right to insure the life of the Executive for the Company's sole benefit. The Company shall have the right to determine the amount of insurance and the type of policy. The Executive shall cooperate with the Company in obtaining such insurance by submitting to physical examinations, by supplying all information reasonably required by any insurance carrier, and by executing all necessary documents reasonably required by any insurance carrier. The Executive shall incur no financial obligation by executing any required document, and shall have no interest in any such policy. |
(h) | Annual Review. Approximately every 12 months during the Term, the Executive and the Board or appropriate committee of the Board shall meet to discuss the Executive's performance and terms of the Executive's employment by the Company. |
3. | Termination. |
(a) | Circumstances. |
(i) | Death. The Term and the Executive's employment hereunder shall terminate upon his death. |
(ii) | Disability. If the Executive has incurred a Disability, the Company may terminate the Term and the Executive's employment hereunder. |
(iii) | Termination for Cause. The Company may terminate the Term and the Executive's employment hereunder for Cause. |
(iv) | Termination without Cause. The Company may terminate the Term and the Executive's employment hereunder without Cause. |
(v) | Resignation by the Executive other than for Good Reason. The Executive may resign his employment and terminate the Term for any reason other than Good Reason. |
(vi) | Non-extension of Term by the Company. The Company may give notice of non-extension of the Term to the Executive pursuant to Section 1(b). |
(vii) | Non-extension of Term by the Executive. The Executive may give notice of non-extension of the Term to the Company pursuant to Section 1(b). |
(viii) | Resignation by the Executive for Good Reason. The Executive may resign his employment and terminate the Term for Good Reason. |
(b) | Notice of Termination. Any termination of the Executive's employment by the Company or by the Executive under this Section 3 (other than termination pursuant to paragraph (a)(i)) shall be communicated by a written notice to the other party indicating the specific termination provision in this Agreement relied upon, and specifying a Date of Termination which, if submitted by the Executive, shall be at least two weeks following the date of such notice (a “Notice of Termination”) or, unless pursuant to Section 3(a)(viii), such earlier date as the Company may prescribe. A Notice of Termination submitted by the Company may provide for a Date of Termination on the date the Executive receives the Notice of Termination, or any date thereafter elected by the Company in its sole discretion, provided that in the event of a termination pursuant to Section 3(a)(vi), the Date of Termination must be the date of expiration of the then-applicable Term. |
(c) | Company Obligations Upon Termination. Upon termination of the Executive's employment, the Executive (or the Executive's estate) shall be entitled to receive the sum of the Executive's Annual Base Salary through the Date of Termination not theretofore paid, any expenses owed to the Executive under Section 2(f), and, except as otherwise provided herein, any amount accrued and arising from the Executive's participation in, or benefits accrued under any employee benefit plans, programs or arrangements under Section 2(d), which amounts shall be payable in accordance with the terms and conditions of such employee benefit plans, programs or arrangements, and such other or additional benefits as may be, or become, due to him under the applicable terms of applicable plans, programs, agreements, corporate governance documents and other arrangements of the Company and its parent and subsidiaries (collectively, the “Company Arrangements”). |
(d) | Resignation of Directorships. Upon termination of the Executive's employment for any reason, the Executive shall be deemed to have resigned from all offices and directorships, if any, then held with the Company or any subsidiary or affiliate thereof, and, at the Company’s request, Executive shall execute such documents as the Company determines to be necessary or desirable to effectuate such resignations. |
4. | Severance Payments. |
(a) | Termination for Cause, Resignation by the Executive other than for Good Reason, Non-extension of Term by the Executive or the Company, death or Disability. If the Executive's employment is terminated pursuant to Section 3(a)(iii) for Cause, pursuant to Section 3(a)(v) for Resignation by the Executive other than for Good Reason, or pursuant to Section 3(a)(vii) due to non-extension of the Term by the Executive, the Executive shall not be entitled to any severance payment or benefits. If the Executive's employment is terminated pursuant to Section 3(a)(i) as a result of Executive's death or pursuant to Section 3(a)(ii) as a result of the Executive's Disability, the Company shall, subject to the Executive or his estate, as applicable, signing, within twenty-one (21) days (or forty-five (45) days if necessary to comply with applicable law) following the Date of Termination, a separation and release agreement in the form attached hereto at Annex A (the “Release”) and not revoking the Release within seven (7) days thereafter, (i) pay to the Executive or his estate, as applicable, an amount equal to the product of (x) the bonus that the Executive would have earned during the calendar year in which the Date of Termination occurs, if any, and (y) a fraction, the numerator of which is the number of days that elapsed in such calendar year through the Date of Termination and the denominator of which is 365, payable when bonuses would have otherwise been payable had the Executive's employment not terminated, but in no event later than March 15 of the year following the year in which the Date of Termination occurs, (ii) pay (as taxable compensation), within sixty (60) days following the Date of Termination, a lump sum amount equal to the aggregate health insurance premium cost for the Executive (unless the Term was terminated pursuant to Section 3(a)(i)) and his spouse and dependents under the Company’s group health plans for a period of twelve (12) months, based on the premium level and coverage in effect for the Executive and his spouse and dependents as of the Date of Termination (the “Supplemental Amount”), and (iii) in the case of termination pursuant to Section 3(a)(ii) as a result of the Executive's Disability, pay to the Executive, in a lump sum within sixty (60) days following the Date of Termination, an amount equal to the excess, if any, of (x) the amount that would have been payable to the Executive pursuant to Section 4(b)(i) if the Executive |
(b) | Termination without Cause or for Good Reason. If the Executive's employment shall be terminated by the Company without Cause pursuant to Section 3(a)(iv), or by the Executive for Good Reason pursuant to Section 3(a)(viii), the Company shall, subject to the Executive signing the Release within twenty-one (21) days (or forty-five days (45) if necessary to comply with applicable law) following the Date of Termination and not revoking the Release within seven (7) days thereafter: |
(i) | pay to the Executive, in a lump sum within sixty (60) days following the Date of Termination, an amount equal to the Annual Base Salary that the Executive would have been entitled to receive if the Executive had |
(ii) | pay to the Executive an amount equal to the product of (x) the bonus that the Executive would have earned during the calendar year in which the Date of Termination occurs, if any, and (y) a fraction, the numerator of which is the number of days that elapsed in such calendar year through the Date of Termination and the denominator of which is 365, payable when bonuses would have otherwise been payable had the Executive's employment not terminated, but in no event later than March 15 of the year following the year in which the Date of Termination occurs; and |
(iii) | pay (as taxable compensation), within sixty (60) days following the Date of Termination, the Supplemental Amount. |
(c) | Survival. The expiration or termination of the Term shall not impair the rights or obligations of any party hereto, which shall have accrued prior to such expiration or termination. |
(d) | Section 409A Six-Month Delay. Notwithstanding anything to the contrary in this Section 4, no payments in this Section 4 will be paid during the six-month period following the Executive's termination of employment unless the Company determines, in its good faith judgment, that paying such amounts at the time or times indicated in this Section would not cause the Executive to incur an additional tax or penalties under Code Section 409A (in which case such amounts shall be paid at the time or times indicated in this Section). If the payment of any amounts are delayed as a result of the previous sentence, on the first day following the end of the six-month period, the Company will pay the Executive a lump-sum amount equal to the cumulative amounts that would have otherwise been previously paid to the Executive under this Section 4. Thereafter, payments will resume in accordance with this Section. |
5. | Executive’s Covenants. |
(a) | The Executive shall not, at any time during the Term directly or indirectly engage in, have any equity interest in, or manage or operate any person, firm, corporation, |
(b) | The Executive shall not at any time during the Term or during the two-year period following the Date of Termination, directly or indirectly, recruit or otherwise solicit or induce or encourage any employee of the Company to terminate his or her employment or relationship with the Company. The Executive shall not at any time during the Term or thereafter use any trade secret of the Company or its subsidiaries or affiliates to solicit, induce, or encourage any customer, client, contractor, supplier or other party doing business with the Company (i) to terminate its relationship therewith or transfer its business from the Company, (ii) to otherwise change its relationship with the Company, or (iii) to establish any relationship with the Executive or any other person, firm, corporation or other entity for any business purpose competitive with the business of the Company. |
(c) | In the event the terms of this Section 5 shall be determined by any court of competent jurisdiction to be unenforceable by reason of its extending for too great a period of time or over too great a geographical area or by reason of its being too extensive in any other respect, it will be interpreted to extend only over the maximum period of time for which it may be enforceable, over the maximum geographical area as to which it may be enforceable, or to the maximum extent in all other respects as to which it may be enforceable, all as determined by such court in such action. |
(d) | As used in this Section 5, the term “Company” shall include Parent, the Company and their respective direct or indirect subsidiaries. |
6. | Nondisclosure of Proprietary Information. |
(a) | Except in connection with the faithful performance of the Executive's duties hereunder or pursuant to Section 6(c), the Executive shall, in perpetuity, maintain in confidence and shall not directly, indirectly or otherwise, use, disseminate, disclose or publish, or use for his benefit or the benefit of any person, firm, corporation or other entity any confidential or proprietary information or trade secrets of or relating to the Company (including, without limitation, intellectual property in the form of patents, trademarks and copyrights and applications therefor, ideas, inventions, works, discoveries, improvements, information, documents, formulae, practices, processes, methods, developments, source code, modifications, technology, techniques, data, programs, other know-how or materials, owned, developed or possessed by the Company, whether in tangible or intangible form, information with respect to the Company's operations, processes, products, inventions, business practices, finances, principals, vendors, suppliers, customers, potential customers, marketing methods, costs, prices, contractual relationships, regulatory status, prospects and compensation paid to employees or other terms of employment), or deliver to any person, firm, corporation or other entity any document, record, notebook, computer program or similar repository of or containing any such confidential or proprietary information or trade secrets. The parties hereby stipulate and agree that as between them the foregoing matters are important, material and confidential proprietary information and trade secrets and affect the successful conduct of the businesses of the Company (and any successor or assignee of the Company). Confidential Information shall not include any information which has entered the public domain through no fault of the Executive. |
(b) | Upon termination of the Executive's employment with the Company for any reason, the Executive will promptly deliver to the Company all correspondence, drawings, manuals, letters, notes, notebooks, reports, programs, plans, proposals, financial documents, or any other documents concerning the Company's customers, business plans, marketing strategies, products or processes. |
(c) | The Executive may respond to a lawful and valid subpoena or other legal process but shall give the Company the earliest possible notice thereof, shall, as much in advance of the return date as possible, make available to the Company and its counsel the documents and other information sought and shall assist such counsel at Company's expense in resisting or otherwise responding to such process. |
(d) | As used in this Section 6 and Section 7, the term “Company” shall include the Company and its direct or indirect parents, if any, and subsidiaries. |
(e) | Nothing in this Agreement shall prohibit the Executive from (i) disclosing information and documents when required by law, subpoena or court order (subject to the requirements of Section 6(c) above), (ii) disclosing information and documents to his attorney or tax adviser on a confidential basis for the purpose of securing legal or tax advice, (iii) disclosing the post-employment restrictions in this Agreement in confidence to any potential new employer, or (iv) retaining, at any time, his personal correspondence, his personal rolodex and documents related to his own personal benefits, entitlements and obligations. |
7. | Inventions. |
8. | Injunctive Relief. |
9. | Assignment and Successors. |
10. | Certain Definitions. |
(a) | Cause. The Company shall have “Cause” to terminate the Term and the Executive's employment hereunder upon: |
(i) | the Executive's failure to perform substantially his duties as an employee of the Company (other than any such failure resulting from the Executive's incapacity due to physical or mental illness), which is not cured within 15 days after a written demand for performance is given to the Executive by the Board specifying in reasonable detail the manner in which the Executive has failed to perform substantially his duties as an employee of the Company; |
(ii) | the Executive's failure to carry out, or comply with, in any material respect any lawful and reasonable directive of the Board consistent with the terms of this Agreement that, if capable of cure, is not cured by the Executive within 15 days after written notice given to the Executive describing such failure in reasonable detail; |
(iii) | the Executive's conviction, plea of no contest, plea of nolo contendere, or imposition of unadjudicated probation for any felony or, to the extent involving fraud, dishonesty, theft, embezzlement or moral turpitude, any other crime; |
(iv) | the Executive's violation of a material regulatory requirement relating to the business of the Company and its subsidiaries that, in the good faith judgment of the Board, is injurious to the Company in any material respect; |
(v) | the Executive's unlawful use (including being under the influence) or possession of illegal drugs on the Company's premises or while performing the Executive's duties and responsibilities under this Agreement; |
(vi) | the Executive's breach of this Agreement in any material respect that, if capable of cure, is not cured by the Executive within 15 days after written notice given to the Executive describing such breach in reasonable detail; or |
(vii) | the Executive's commission of an act of fraud, embezzlement, misappropriation, willful misconduct, gross negligence or breach of fiduciary duty with respect to the Company or any of its affiliates; |
(b) | Date of Termination. “Date of Termination” shall mean (i) if the Executive's employment is terminated by his death, the date of his death; (ii) if the Executive's employment is terminated pursuant to Section 3(a)(ii)-(v) either the date indicated in the Notice of Termination or the date specified by the Company pursuant to Section 3(b), whichever is earlier; (iii) if the Executive's employment is terminated pursuant to Section 3(a)(vi) or Section 3(a)(vii), the expiration of the then-applicable Term; or (iv) if Executive’s employment is terminated pursuant to Section 3(a)(viii), the date indicated in the Notice of Termination sent by Executive within the time periods described in Section 10(d) below. |
(c) | Disability. “Disability” shall mean, at any time the Company or any of its affiliates sponsors a long-term disability plan for the Company's employees in which the Executive participates, “disability” as defined in such long-term disability plan for the purpose of determining a participant's eligibility for benefits, provided, however, if the long-term disability plan contains multiple definitions of disability, “Disability” shall refer to that definition of disability which, if the Executive qualified for such disability benefits, would provide coverage for the longest period of time. The determination of whether the Executive has a Disability shall be made by the person or persons required to make disability determinations under the long-term disability plan. At any time the Company does not sponsor a long-term disability plan for its employees in which the Executive participates, Disability shall mean the Executive's inability to perform, with or without reasonable accommodation, the essential functions of his position hereunder for a total of six months during any 12-month period as a result of incapacity due to mental or physical illness as determined by a physician selected by the Board and acceptable to the Executive or the Executive's legal representative, such agreement as to acceptability not to be unreasonably withheld or delayed. Any refusal by the Executive to submit to a medical examination for the purpose of determining Disability shall be deemed to constitute conclusive evidence of the Executive's Disability. |
(d) | Good Reason. The Executive shall have “Good Reason” to terminate the Term and the Executive's employment hereunder upon: |
(i) | a material reduction in the Executive’s Annual Base Salary; |
(ii) | a material reduction in Executive’s target annual bonus opportunity; |
(iii) | a material reduction in Executive’s job title, authority or duties; or |
(iv) | a relocation of the Company’s principal executive offices, from which Executive principally operates, more than 40 miles from the current location in Foothill Ranch, California. |
11. | Governing Law. |
12. | Validity. |
13. | Notices. |
(a) | If to the Company: |
(b) | If to the Executive, to his most recent address on the Company’s books and records. |
14. | Counterparts. |
15. | Entire Agreement. |
16. | Amendments; Waivers. |
17. | No Inconsistent Actions. |
18. | Construction. |
19. | Arbitration. |
20. | Enforcement. |
21. | Withholding. |
22. | Indemnification. |
23. | Code Section 409A. |
(a) | To the extent applicable, this Agreement shall be interpreted and applied consistent and in accordance with Section 409A of the Code and Department of Treasury regulations and other interpretive guidance issued thereunder (“Section 409A”). If, however, the Company determines that any compensation or benefits payable under this Agreement may be or become subject to Section 409A, the |
(b) | Notwithstanding anything herein to the contrary, Executive acknowledges and agrees that in the event that any tax is imposed under Section 409A in respect of any compensation or benefits payable to Executive, whether under or in connection with this Agreement or otherwise, then (i) the payment of such tax shall be solely Executive’s responsibility, and (ii) neither the Company, its affiliates nor any of their respective past or present directors, officers, employees or agents shall have any liability for any such tax (unless caused by the Company’s intentional misconduct). |
(c) | To the extent that any payments or reimbursements provided to Executive under this Agreement are deemed to constitute compensation to which Treasury Regulation Section 1.409A-3(i)(1)(iv) would apply, such payments or reimbursements shall be made or provided in accordance with the requirements of Section 409A, including, where applicable, the requirement that (i) any reimbursement is for expenses incurred during Executive’s lifetime (or during a shorter period of time specified in this Agreement), (ii) the amount of expenses eligible for reimbursement during a calendar year may not affect the expenses eligible for reimbursement in any other calendar year, (iii) the reimbursement of an eligible expense will be made on or before the last day of the calendar year following the year in which the expense is incurred, and (iv) the right to reimbursement is not subject to liquidation or exchange for another benefit. |
24. | Clawback. |
25. | Cooperation in Litigation. |
26. | Employee Acknowledgement. |
SKILLED HEALTHCARE, LLC. | |
By: | /s/ Roland G. Rapp |
Name: Roland G. Rapp | |
Title: General Counsel, Secretary and Chief Administrative Officer |
EXECUTIVE | |
By: | /s/ Robert H. Fish |
Name: Robert H. Fish | |
Title: Chief Executive Officer |
SKILLED HEALTHCARE GROUP, INC. | |
/s/ Roland G. Rapp | |
Name: Roland G. Rapp | |
Title: General Counsel, Secretary and Chief Administrative Officer |
EMPLOYER: | [_______________], LLC |
By: __________________________ | |
Name: | |
Title: | |
Date: ____________________ |
Address for Notices: c/o Skilled Healthcare, LLC Attn: Legal Department 27442 Portola Parkway, Ste. 200 Foothill Ranch, CA 92610 Facsimile: 949-282-5820 | |
EMPLOYEE: | ________________________ |
Print Name: | |
Date: ____________________ |
Address for Notices: ________________________ ________________________ Facsimile: ___________________ |
Holder: | Robert H. Fish |
Grant Date: | November 20, 2013 |
Total Number of Shares of Restricted Stock: | 800,000 |
Vesting: As of the Grant Date, 100% of the Shares will be subject to the Forfeiture Restriction (as defined in the Restricted Stock Agreement). Subject to the terms and conditions of the Plan, this Grant Notice and the Restricted Stock Agreement, the Forfeiture Restriction shall lapse as to the Shares as follows: 1. Installments. The Restricted Stock Award shall be comprised of three installments (each, an “Installment”), as follows: (i) 266,666 of the Shares shall be allocated to the first Installment; (ii) 266,667 of the Shares shall be allocated to the second Installment; and (iii) 266,667 of the Shares shall be allocated to the third Installment. 2. Vesting of Installments. Subject to Section 3, the Forfeiture Restriction shall lapse with respect to each Installment as set forth on Schedule A hereto. 3. Termination of Service. Except as provided in Schedule A hereto, in no event shall the Forfeiture Restriction lapse as to any additional Shares following Holder’s Termination of Service. Except as otherwise expressly provided herein, all accounting terms not otherwise defined herein shall have the meanings assigned to them in conformity with generally accepted accounting principles. |
SKILLED HEALTHCARE GROUP, INC.: | HOLDER: | ||
By: | /s/ Roland G. Rapp | By: | /s/ Robert Fish |
Print Name: | CAO & Secretary | Print Name: | /s/ Robert Fish |
Title: | |||
Address: | 27442 Portola Parkway, Suite 200 | Address: | |
Foothill Ranch, CA 92610 |
Very truly yours, SKILLED HEALTHCARE GROUP, INC.: | |||||
By: | |||||
Name: Title: | |||||
Address: | 27442 Portola Parkway, Suite 200 | ||||
Foothill Ranch, CA 92610 | |||||
HOLDER: | |||||
Address | |||||
ESCROW AGENT: | |||||
By: | |||||
Secretary Skilled Healthcare Group, Inc. | |||||
Address | 27442 Portola Parkway, Suite 200 | ||||
Foothill Ranch, CA 92610 |
1. | Complete Section 83(b) election form (attached as Attachment 1) and make four (4) copies of the signed election form. (Your spouse, if any, should sign the Section 83(b) election form as well.) |
2. | Prepare the cover letter to the Internal Revenue Service (sample letter attached as Attachment 2). |
3. | Send the cover letter with the originally executed Section 83(b) election form and one (1) copy via certified mail, return receipt requested to the Internal Revenue Service at the address of the Internal Revenue Service where you file your personal tax returns. We suggest that you have the package date-stamped at the post office. The post office will provide you with a white certified receipt that includes a dated postmark. Enclose a self-addressed, stamped envelope so that the Internal Revenue Service may return a date-stamped copy to you. However, your postmarked receipt is your proof of having timely filed the Section 83(b) election if you do not receive confirmation from the Internal Revenue Service. |
4. | One (1) copy must be sent to Skilled Healthcare Group, Inc. for its records and one (1) copy must be attached to your federal income tax return for the applicable calendar year. |
5. | Retain the Internal Revenue Service file stamped copy (when returned) for your records. |
Re: | Election under Section 83(b) of the Internal Revenue Code of 1986 Taxpayer: Taxpayer’s Social Security Number: Taxpayer’s Spouse: Taxpayer’s Spouse’s Social Security Number: |