TENET HEALTHCARE CORPORATION (NYSE:THC) Files An 8-K Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain OfficersItem 5.02.
On September15, 2017, the Human Resources Committee (“HR Committee”) of the Board of Directors and the other independent directors of Tenet Healthcare Corporation (the “Company”) approved the compensation arrangements of Ronald A. Rittenmeyer, who, as previously reported, was appointed as the Company’s Executive Chairman on August31, 2017. While serving as Executive Chairman, Mr.Rittenmeyer will receive an annualized base salary of $500,000. In addition, Mr.Rittenmeyer will receive an award of performance-based stock options with a grant date fair value of approximately $2.3million. The stock options will vest on the one-year anniversary of the grant date (subject to accelerated vesting upon certain involuntary terminations of employment or change of control events) and will become exercisable only if the average closing price per share of the Company’s common stock is at least 25% above the closing price of the Company’s stock as of the grant date within any 30 consecutive trading days during the first four years following the grant date. If the stock price performance condition is not achieved by the fourth anniversary of the grant date, the entire option award will be forfeited at that time. The stock options will have a maximum term of five years from the date of grant. The grant date will be the last trading day in September, in accordance with the Company’s policy for equity grants awarded outside of the annual grant process cycle. Mr.Rittenmeyer will not participate in the Company’s Annual Incentive Plan and will not be covered by its Executive Severance Plan.
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About TENET HEALTHCARE CORPORATION (NYSE:THC)
Tenet Healthcare Corporation (Tenet) is a healthcare services company. The Company operates regionally focused, integrated healthcare delivery networks in large urban and suburban markets in the United States. The Company operates through three segments: Hospital Operations and other, Ambulatory Care and Conifer. With its networks, including acute care and specialty hospitals, which are engaged in providing outpatient facilities and related businesses, the Company provides a range of healthcare services in the communities it serve. It operates approximately 90 hospitals, 20 short-stay surgical hospitals, 475 outpatient centers, nine facilities in the United Kingdom and six health plans through its subsidiaries, partnerships and joint ventures. In addition, its Conifer Holdings, Inc. (Conifer) subsidiary provide healthcare business process services in the areas of revenue cycle management and technology-enabled performance improvement and health management solutions to health systems.