As part of a separation agreement, Hertz Global Holdings Inc. will pay former CEO Mark Frissora about $10.5 million in cash, which includes his annual bonus for 2013.
Last month, Frissora stepped down as Hertz’s CEO and chairman for personal reasons. Hertz says his separation was termination without case, according to a Separation and General Release filed with the Securities and Exchange Commission.
According to the separation agreement, Hertz has agreed to provide Frissora with several benefits including:
- All accrued but unpaid obligations through Sept. 15, 2014, including salary, reimbursement of business expenses and payment for unused vacation days.
- Eligibility for 68% of the 2014 bonus, which Frissora would have been entitled to.
- Car privileges and reimbursement of some medical and health care coverage costs for 24 months after the separation date.
In order to receive the separation payments and benefits, Frissora has agreed to a three-year post-employment cooperation covenant, which includes a two-year post-employment covenant not to compete or solicit employees or clients of the Hertz companies, according to the SEC filing.