Amarillo Biosciences, Inc. (OTCMKTS:AMAR) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain OfficersItem 5.02.
Compensatory Arrangements of Certain Officers.
On March 28, 2018, the Company entered into employment contracts with Stephen T Chen, the Company's President and CEO; and with Bernard Cohen, the Company's Vice-President and CFO. The contracts are identical except for job descriptions, duties and titles, and compensation amounts. The contracts are for a three-year term, subject to earlier termination by the Company for certain acts of Employee constituting illegality or breach of fiduciary duty. Compensation for Dr. Chen is set at $240,000 per annum in cash, payable bi-monthly, and $100,000 per annum payable in shares of the Company's unregistered, voting common stock. Compensation for Mr. Cohen is set at $70,000 per annum in cash, payable bi-monthly, and $12,000 per annum payable in shares of the Company's unregistered, voting common stock. Compensation under each contract may be adjusted by the Company in certain cases involving disability of the employee, and the contracts may be terminated by the Company in the event of an employee's permanent and total disability.
Each contract provides that the Employee shall devote his entire productive time, ability, attention and energies to the business of the Company. In addition, the contracts protect the property rights of the Company, including inventions and other intellectual property, trade secrets, and proprietary information. The contracts also prohibit Employee from competing directly or indirectly with the business of the Company or its controlled subsidiaries, both during the term of the contracts, and continuing for a period of three years after termination of the contracts. Employees are permitted, however, to invest without restriction in professionally managed mutual funds, and to purchase and own stock and other securities as long as the affected Employee is not directly or indirectly an affiliate of the issuer of such stock or other securities.
About Amarillo Biosciences, Inc. (OTCMKTS:AMAR)
Amarillo Biosciences, Inc. is engaged in the business of biopharmaceutical research and development. The Company develops biologics for the treatment of human and animal diseases. The Company’s focus is research aimed at the treatment of human disease indications, particularly influenza, hepatitis C, thrombocytopenia and other indications using natural human interferon alpha that is administered in a low dose oral form. The Company owns or licenses approximately two issued patents related to the low-dose oral delivery of interferon and it owns an issued patent on its dietary supplement, Maxisal. It has a pending patent, which applies low dose oral interferon to the treatment of Thrombocytopenia.