Company: AMWL
Filing Date: 2025-04-23
Form Type: DEF 14A
Source: 0000950170-25-057290
Chunk: 55

Company: American Well Corp
Filing Date: 2025-04-23
Form: DEF 14A
Chunk 55
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 on January 24, 2025 in lieu of a payment of the 2024 annual bonus based on actual results, and (ii) in lieu of the salary continuation payments to which each was entitled, all such payments would be made in a single lump sum on January 24, 2025.

Mark Hirschhorn’s Appointment as Chief Financial Officer and Subsequent Promotion to Executive Vice President, Chief Financial Officer and Chief Operating Officer

On October 14, 2024, the Company entered into an employment agreement with Mr. Hirschhorn to become the Company’s Chief Financial Officer effective October 21, 2024, following Mr. Shepardson’s resignation. Pursuant to that employment agreement, Mr. Hirschhorn’s annual base salary was established at $485,000, and he became eligible for an annual target bonus opportunity of 100% of his year-end annual base salary (except that, the employment agreement provided that Mr. Hirschhorn would receive a $500,000 bonus for the 2024 fiscal year). In addition, as previously described, Mr. Hirschhorn received a new hire equity grant that consisted entirely of RSUs with an aggregate grant date value of $2,500,000. The vesting schedule for Mr. Hirschhorn’s new hire equity grant was 25% vested on the grant date, with the remaining 75% vesting in substantially equal quarterly installments over a three-year period beginning after the one-year anniversary of the grant date, such that the entire award would be fully vested on the four-year anniversary of the grant date.

In addition, Mr. Hirschhorn’s employment agreement further provided that on or about November 4, 2024, he would receive an additional long-term incentive award (the “Additional Award”), under which a total value of $5,000,000 may be earned. The Additional Award will be eligible to vest in substantially equal annual installments on each of the first four anniversaries date of Mr. Hirschhorn’s start date, provided that (i) he remains employed by the Company through the applicable vesting date; and (ii) applicable EBITDA targets and appreciation of Company valuation targets, in each case, as determined by the Board or the Committee in its sole discretion, are achieved. The applicable EBITDA targets and other targets will be determined and effective beginning with the 2025 fiscal year, and, as a result, the Additional Award was granted to Mr. Hirschhorn is early 2025