On March 31, 2017, eHealth, Inc. (the “Company”) announced that Tom G. Tsao, President, Small Business, Individual and Family Products of the Company, will be terminating employment with the Company effective April 7, 2017. In connection with his departure, Mr. Tsao did not express any disagreement on any matter relating to the Company’s operations, policies or practices.
In connection with Mr. Tsao’s departure, the Company entered into a separation agreement and release with Mr. Tsao on March 31, 2017 (the “Separation Agreement”) and, subject to the effectiveness of that release, will be entering into a consulting agreement with Mr. Tsao as of April 17, 2017 (the “Consulting Agreement”). The Separation Agreement entitles Mr. Tsao to continued salary and benefits during his employment through April 7, 2017. Mr. Tsao’s equity awards will cease vesting as of April 7, 2017 and will otherwise be governed by their terms. The Separation Agreement includes a release of claims by Mr. Tsao in favor of the Company. to the Consulting Agreement, Mr. Tsao will provide consulting services to the Company from April 17, 2017 through December 31, 2017 to assist with the transition of his duties and responsibilities. While Mr. Tsao provides such consulting services, he will receive a consulting fee of $8,000 for April 2017, and thereafter a fee of $16,000 per month, prorated for any partial month.
Copies of the Separation Agreement and Consulting Agreement will be filed as exhibits to the Company’s Quarterly Report on Form 10-Q for the quarter ending March 31, 2017.
About EHEALTH, INC. (NASDAQ:EHTH) eHealth, Inc. provides a private online source of health insurance for individuals, families and small businesses. The Company is the parent company of eHealthInsurance, a private health insurance exchange where individuals, families and small businesses can compare health insurance products from various insurers side-by-side, and purchase and enroll in coverage online through its Websites (www.eHealth.com, www.eHealthInsurance.com, www.eHealthMedicare.com, www.Medicare.com and www.PlanPrescriber.com) or telephonically through its customer care centers. The Company also offers various online and pharmacy-based tools to help seniors navigate Medicare health insurance options, choose the right plan, and enroll in plans online or telephonically. It markets the availability of individual and family, small business and ancillary health insurance plans of various insurance carriers through its e-commerce platforms (www.eHealth.com and www.eHealthInsurance.com).
EHEALTH, INC. (NASDAQ:EHTH) Recent Trading Information EHEALTH, INC. (NASDAQ:EHTH) closed its last trading session up +0.41 at 12.04 with 73,819 shares trading hands.
