AdaptHealth Corp. Enters into New Employment Agreement with Chief Technology Officer

On October 30, 2024, AdaptHealth Corp. (NASDAQ:AHCO) disclosed in a Form 8-K filing with the Securities and Exchange Commission that the company has formalized a new employment agreement with its Chief Technology Officer, Albert Prast. The newly signed agreement, termed the CTO Employment Agreement, replaces Mr. Prast’s prior employment agreement, which was dated July 24, 2023.

Under the terms of the CTO Employment Agreement, Albert Prast is set to receive an annual base salary of $450,000. Additionally, he will be eligible for a target annual incentive bonus amounting to 100% of his base salary. The actual bonus payout will be contingent upon the achievement of company and individual performance objectives for each fiscal year, known as the Annual Bonus. Starting in 2025, Mr. Prast will also qualify for further equity awards under the company’s Second Amended and Restated 2019 Stock Incentive Plan, as subject to amendments over time.

The agreement outlines contingencies related to Mr. Prast’s employment termination. If his employment is terminated either by the company without “cause” or by Mr. Prast for “good reason,” he will be entitled to certain benefits upon meeting specified conditions. These include any earned but unpaid Annual Bonus, the continuation of his base salary for 18 months post-termination, a prorated Annual Bonus in the year of termination, and up to 18 months of continued health insurance coverage under COBRA.

As part of the CTO Employment Agreement, Mr. Prast has also agreed to a new restrictive covenant agreement. This agreement encompasses a non-compete covenant during and 18 months post-employment, non-solicit covenants lasting during and 24 months post-employment, and perpetual confidentiality, non-disparagement, publicity, and invention assignment covenants.

For further details on the CTO Employment Agreement, interested parties can refer to the full text of the agreement, attached as Exhibit 10.1 to the Form 8-K filing.

Additionally, the company clarified that this Form 8-K filing would not include any financial statements but would include Exhibit 10.1 – the Employment Agreement between AdaptHealth Corp. and Albert Prast, dated October 30, 2024.

This news update signifies the company’s commitment to its key personnel and the strategic structuring of employment agreements to align with its corporate objectives and performance goals.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read AdaptHealth’s 8K filing here.

AdaptHealth Company Profile

AdaptHealth Corp., together with its subsidiaries, sells home medical equipment (HME), medical supplies, and home and related services in the United States. The company provides sleep therapy equipment, supplies, and related services, such as CPAP and bi-PAP services to individuals suffering from obstructive sleep apnea; medical devices and supplies, including continuous glucose monitors and insulin pumps for the treatment of diabetes; HME to patients discharged from acute care and other facilities; oxygen and related chronic therapy services in the home; and other HME devices and supplies on behalf of chronically ill patients with wound care, urological, incontinence, ostomy, and nutritional supply needs.