SERVICEMASTER GLOBAL HOLDINGS,INC. (NYSE:SERV) Files An 8-K Other Events

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SERVICEMASTER GLOBAL HOLDINGS,INC. (NYSE:SERV) Files An 8-K Other Events

Item 8.01.Other Events.

As previously disclosed, on July 21, 2016,Terminix International
USVI, LLC (TMX USVI) and The Terminix International Company
Limited Partnership (TMX LP), each an indirect, wholly-owned
subsidiary of ServiceMaster Global Holdings, Inc. (the
Company),entered into a superseding Plea Agreement (the
Superseding Plea Agreement)in connection with the investigation
initiated by the United States Department of Justice
Environmental Crimes Section (the DOJ) into allegations that a
local Terminix branch used methyl bromide as a fumigant at a
resort in St. John, U.S. Virgin Islands. The Superseding Plea
Agreement was intended to resolvefourmisdemeanor charges of
violations of the Federal Insecticide, Fungicide, and Rodenticide
Act related to improper applications of methyl bromide. Those
charges were set forth in an Information, dated March29, 2016, in
the matter >

On January 20, 2017, TMX USVI and TMX LP entered into a new Plea
Agreement (the New Plea Agreement) with the DOJ, which has been
filed with the District Court, and replaces the Superseding Plea
Agreement. Under the New Plea Agreement, TMX USVI and TMX LP have
agreed to plead guilty tofourmisdemeanor charges of violations of
the Federal Insecticide, Fungicide, and Rodenticide Act related
to improper applications of methyl bromide, as set forth in a new
Information filed on January 20, 2017 with the District Court
that is substantially similar to the March 29, 2016 Information.
Under the terms of the New Plea Agreement, the parties agree and
jointly recommend to the District Court that(i) TMX USVI and TMX
LP each pay a fine of $4 million (total of $8 million); (ii) TMX
USVI pay$1million to the United States Environmental Protection
Agency (the EPA) for costs incurred by the EPA for the response
and clean-up of the affected units at the resort in St. John;
(iii) TMX USVI make a community service payment of $1 million to
the National Fish and Wildlife Foundation for the purpose of
engaging a third party to provide training to pesticide
applicators in the U.S. Virgin Islands; and (iv) both TMX USVI
and TMX LP serve athree-year probation period, subject to the
special conditions of probation under the New Plea Agreement. The
total financial terms of the recommended sentence under the New
Plea Agreement are equivalent in total amount to the financial
terms under the Superseding Plea Agreement.Unlike the Superseding
Plea Agreement, however, the New Plea Agreement is non-binding on
the District Court. It is possible that the District Court could
use its discretion to impose fines or other terms different than
those in the New Plea Agreement. If approved by the District
Court, and upon compliance with the terms and conditions of the
New Plea Agreement, the New Plea Agreement will resolve the
federal criminal consequences associated with the DOJ
investigation. The New Plea Agreement does not bind any other
federal, state or local authority; however, the EPA has indicated
that it does not intend to initiate any administrative
enforcement action or refer the matter to the DOJ for any civil
enforcement action if the New Plea Agreement is approved by the
District Court.

The Company has previously recorded total charges of$10million in
connection with the aforementioned criminal matter.

Theamount and extent of any further potential penalties, fines,
sanctions, costs and damages that the federal or other
governmental authorities may yet impose, investigation or other
costs and reputational harm, as well as theimpact of any
additional civil,criminal or other claims or judicial,
administrative or regulatory proceedings resulting from or
related to the U.S. Virgin Islands matter,which could be
material, is not currentlyknown or reasonably estimable, and any
such further penalties, fines, sanctions, costs or damages would
not be covered under the Companys general liability insurance
policies.

The foregoing descriptions of the New Plea Agreement and the
Information are qualified in their entirety by reference to the
complete terms and conditions of the New Plea Agreement and the
Information, which are attached hereto as Exhibits 10.1 and 99.1,
respectively, and incorporated herein by reference.

Information Regarding Forward-Looking Statements

This report contains forward-looking statements and cautionary
statements, including statements regarding our intentions,
beliefs, assumptions or current expectations concerning the
timing and impact of hearings before the United States District
Court of the U.S. Virgin Islands. Forward-looking statements are
subject to known and unknown risks and uncertainties, many of
which may be beyond our control, including modifications to, and
approval of, the New Plea Agreement by the District
Court;lawsuits, enforcement actions and other claims by third
parties or other federal, state or local governmental
authorities; compliance with, or violation of, the special
conditions of probation and other environmental, health and
safety laws and regulations; and the risks and uncertainties
discussed in the Risk Factors and

Information Regarding Forward-Looking Statements sections in the
Companys Quarterly Report on Form 10-Q for the quarter ended
September 30, 2016. We caution you that forward-looking
statements are not guarantees of future performance or outcomes
and that actual performance and outcomes may differ materially
from those made in or suggested by the forward-looking statements
contained in this report.

All forward-looking statements made in this report are qualified
by the above-referenced cautionary statements. These
forward-looking statements are made only as of the date of this
report, and the Company does not undertake any obligation, other
than as may be required by law, to update or revise any
forward-looking or cautionary statements to reflect changes in
assumptions, the occurrence of events, anticipated or otherwise,
and changes in future operating results over time, or otherwise.

Item 9.01.Financial Statements and Exhibits.

(d)Exhibits

October 30

Exhibit

Description of Exhibit

10.1

Plea Agreement entered into on January 20, 2017 by The
Terminix International Company Limited Partnership and
Terminix International USVI, LLC

99.1

Information, dated January 20, 2017, in the matter >


About SERVICEMASTER GLOBAL HOLDINGS, INC. (NYSE:SERV)

ServiceMaster Global Holdings, Inc. is a holding company. The Company is a provider of essential residential and commercial services. Its services include termite and pest control, home warranties, disaster restoration, janitorial, residential cleaning, furniture repair and home inspection. The Company operates through three segments: Terminix, American Home Shield and the Franchise Services Group. The Terminix segment provides termite and pest control services to residential and commercial customers and distributes pest control products. Terminix specializes in protection against termite damage, rodents, insects and other pests. The American Home Shield segment provides home warranties for household systems and appliances. The Company’s Franchise Services Group segment consists of the ServiceMaster Restore (disaster restoration), ServiceMaster Clean (janitorial), Merry Maids (residential cleaning), Furniture Medic (furniture repair) and AmeriSpec (home inspection) businesses.

SERVICEMASTER GLOBAL HOLDINGS, INC. (NYSE:SERV) Recent Trading Information

SERVICEMASTER GLOBAL HOLDINGS, INC. (NYSE:SERV) closed its last trading session up +0.15 at 37.93 with 679,628 shares trading hands.