PayPal Reports Leadership Changes & Compensation Adjustments

TL;DR

**PayPal just announced executive changes and new pay deals, watch for strategic shifts.**

AI Summary

PayPal Holdings, Inc. filed an 8-K on January 8, 2024, to report a 'Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.' This filing indicates changes in key personnel and their compensation structures, which could signal a strategic shift or a response to recent performance. For investors, this matters because leadership changes can significantly impact a company's future direction, operational efficiency, and ultimately, its stock performance.

Why It Matters

Changes in executive leadership and compensation often precede or follow significant strategic shifts, directly influencing investor confidence and the company's future trajectory.

Risk Assessment

Risk Level: medium — Leadership changes can introduce uncertainty, but also potential for positive strategic shifts, making the risk level moderate.

Analyst Insight

A smart investor would monitor PayPal's subsequent filings and news releases for specific details on the personnel changes and their potential impact on the company's strategic direction and financial outlook.

Key Numbers

• 001-36859 — Commission File Number (identifies PayPal's filings with the SEC)
• 47-2989869 — I.R.S. Employer Identification No. (identifies PayPal for tax purposes)
• 2024-01-08 — Date of Report (the date the earliest event reported in the 8-K occurred)

Key Players & Entities

• PayPal Holdings, Inc. (company) — the registrant filing the 8-K
• NASDAQ Global Select Market (company) — exchange where PayPal's common stock is registered
• Delaware (company) — state of incorporation for PayPal Holdings, Inc.

Forward-Looking Statements

• PayPal will announce specific names of departing and appointed officers within the next quarter. (PayPal Holdings, Inc.) — high confidence, target: 2024-04-08
• The new compensatory arrangements will be detailed in a subsequent filing or earnings report. (PayPal Holdings, Inc.) — medium confidence, target: 2024-03-31

FAQ

Key Financial Figures

• $0.0001 — nge on which registered Common stock, $0.0001 par value per share PYPL NASDAQ Glo

Filing Documents

• d701671d8k.htm (8-K) — 23KB
• 0001193125-24-004471.txt ( ) — 138KB
• pypl-20240108.xsd (EX-101.SCH) — 3KB
• pypl-20240108_lab.xml (EX-101.LAB) — 17KB
• pypl-20240108_pre.xml (EX-101.PRE) — 11KB
• d701671d8k_htm.xml (XML) — 3KB

02

Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers. On January 8, 2024, PayPal, Inc. (collectively with PayPal Holdings, Inc. and PayPal, Inc.'s and PayPal Holdings, Inc.'s respective subsidiaries and affiliates the "Company") and Peggy Alford, the Company's Executive Vice President, Global Sales and Merchant Services, entered into a Separation Agreement (the "Agreement"). The Agreement was entered into in connection with Ms. Alford's upcoming departure from the Company on January 31, 2024, which was announced on December 6, 2023. The circumstances of Ms. Alford's termination of employment with the Company qualify her for a severance pay benefit, Annual Incentive Plan ("AIP") bonus treatment, health benefits, equity award treatment and outplacement services consistent with a "Qualifying Termination" (as defined in the Executive Vice President section of Appendix A, by reason of subsection a.) under the terms of the PayPal Holdings, Inc. Executive Change in Control and Severance Plan, as amended and restated (the "Plan") previously filed with the SEC on February 10, 2023 as Exhibit 10.07 to the Company's Annual Report on Form 10-K, as well as continued equity award vesting and health benefits consistent with a "Qualifying Termination" (as defined in Appendix B of the Plan, by reason of subsection b.). The Agreement provides for the payment of a severance pay benefit, fiscal year 2023 AIP bonus, a pro-rata fiscal year 2024 AIP bonus, benefits and equity award treatment under and in accordance with Appendix A of the Plan and continued equity award vesting and health benefits under and in accordance with Appendix B of the Plan, in exchange for a release of claims, compliance with restrictive covenants and other valuable consideration.

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. PayPal Holdings, Inc. (Registrant) Date: January 8, 2024 /s/ Brian Yamasaki Name: Brian Yamasaki Title: Vice President, Corporate Legal and Secretary

View Full Filing

View this 8-K filing on SEC EDGAR