Company: STAA
Filing Date: 2025-02-26
Form Type: 8-K
Source: 0000950170-25-027880
Chunk: 1

Company: STAAR SURGICAL CO
Filing Date: 2025-02-26
Form: 8-K
Item: Item 5.02
Chunk 1
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 Mr. Farrell has an interest requiring disclosure under Item 404(a) of Regulation S-K. There is no arrangement or understanding between Mr. Farrell and any other person pursuant to which Mr. Farrell was appointed as an officer of the Company.

In connection with his appointment as Chief Executive Officer, Mr. Farrell entered into an employment agreement (the “ Farrell Agreement”) pursuant to which Mr. Farrell will receive the following compensation: (i) base salary at an annual rate of $725,000, (ii) participation in the Company’s annual cash bonus program with a target bonus of 100% of his base salary, (iii) a sign-on equity award comprised of (x) an award of restricted stock units for 200,000 shares of the Company’s common stock, a third of which will vest on each of the first, second and third anniversaries of employment and (y) an award of performance stock units for a target number of 200,000 shares of the Company’s common stock, which vest as to 0%-200% of target in up to five tranches based on the Company’s financial performance relative to revenue performance targets during the performance period ending December 31, 2027. In addition, Mr. Farrell will be eligible for reimbursement of up to $250,000 for travel, temporary lodging and relocation expenses incurred during 2025. Mr. Farrell will also participate in all other elements of the Company’s executive compensation and benefits plans. The Farrell Agreement also provides for customary restrictive and confidentiality covenants. Mr. Farrell will not receive any compensation as a director during his tenure as Chief Executive Officer.

Effective as the Effective Date, Mr. Frinzi has agreed to step down at the request of the Board from his positions as President and Chief Executive Officer, and he will cease to serve as a member of the Board of Directors and Board Chair and all other positions with the Company and its subsidiaries. In accordance with Mr. Frinzi’s Employment Agreement with the Company, effective as of January 1, 2023 (the “ Frinzi Agreement”), Mr. Frinzi will be eligible to receive certain Accrued Benefits and Severance Benefits (as each such term is defined in the Frinzi Agreement), including payment of the equivalent of eighteen (18) months of Mr. Frinzi’s base salary for a period of eighteen (18) months, subject to the execution by Mr. Frinzi of a separation agreement and general release.

To facilitate a smooth transition in leadership,