Torrid Holdings Inc.
10/07/2024 | Press release | Distributed by Public on 10/07/2024 04:01
Management Change/Compensation Form 8 K
Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On October 4, 2024, the employment of Ms. Elizabeth Muñoz-Guzman, the Executive Vice President and Chief Creative Officer of Torrid Holdings Inc. (the "Company"), was terminated, effective as of October 4, 2024 (the "Effective Date"). In connection with such termination, Ms. Muñoz-Guzman entered into a Separation Agreement (the "Agreement") with the Company on the Effective Date.
The Agreement provides that, subject to Ms. Muñoz-Guzmannot revoking the Agreement within a seven-day period, Ms. Muñoz-Guzmanwill become entitled to the following separation benefits: (i) a cash payment equal to $1,400,000, payable in equal installments over the 12 month period starting on October 25, 2024 (such date, the "Payment Date"); (ii) a cash payment equal to $3,600,000, payable in a lump sum on the Payment Date; and (iii) COBRA benefits through the earliest of (x) 12 months following the Effective Date, (y) the date on which Ms. Muñoz-Guzman is no longer eligible for COBRA continuation coverage, and (z) the date on which she is eligible for coverage through another employer.
The Agreement includes a customary release of claims by Ms. Muñoz-Guzman in favor of the Company, Sycamore Partners Torrid, L.L.C. and each of their respective affiliates and subsidiaries, as well as other customary restrictive covenants.
The foregoing is a summary description of certain terms of the Agreement and, by its nature, is incomplete. It is qualified in its entirety by the full text of the Agreement, a copy of which will be filed with the Company's Form 10-Q for the quarter ending November 2, 2024.