eHealth, Inc. Announces Inducement Grants Under Nasdaq Listing Rule 5635(c)(4)

Rhea-AI Summary

On November 2, 2021, eHealth, Inc. (Nasdaq: EHTH) announced the granting of inducement stock unit awards to CEO Fran Soistman and CFO Christine Janofsky. These awards were part of the company's inducement plan and were aimed at attracting these key executives. Soistman's awards include three separate stock grants totaling 142,500 shares, with vesting conditions related to time and stock price performance. Janofsky received two awards totaling 48,084 shares, also subject to similar vesting conditions. This initiative complies with NASDAQ Listing Rule 5635(c)(4).

Positive

• Inducement stock unit awards granted to new executives, potentially enhancing leadership stability.
• Stock awards structured with performance and time-based vesting, aligning executive incentives with shareholder interests.

Negative

• None.

SANTA CLARA, Calif., Nov. 5, 2021 /PRNewswire/ -- eHealth, Inc. (Nasdaq: EHTH), a leading private online health insurance marketplace (the "Company"), today announced that on November 2, 2021, pursuant to the terms previously announced by eHealth on September 23, 2021, the Compensation Committee of its Board of Directors granted inducement stock unit awards to Fran Soistman, an employee of eHealth, Inc. who was appointed the Chief Executive Officer of eHealth, Inc. effective November 1, 2021. In addition, pursuant to the terms previously announced by eHealth on September 20, 2021, the Compensation Committee of its Board of Directors granted inducement stock unit awards to Christine Janofsky, an employee of eHealth, Inc. who was appointed Senior Vice President, Chief Financial Officer of eHealth, Inc, effective September 20, 2021. Each of these awards was granted under the Company's 2021 Inducement Plan (the "Inducement Plan") and otherwise will be subject to the terms and conditions of a stock unit agreement under the Inducement Plan.

Mr. Soistman received three restricted stock unit awards. The first restricted stock unit award covers 60,000 shares of the Company's common stock and will be subject to vesting over four years, with 25% vesting on the first anniversary of the date of his commencement of employment, and the remainder vesting in equal quarterly installments over the subsequent three years, subject to potential acceleration upon certain terminations of employment. The second restricted stock unit award covers 70,000 shares of the Company's common stock and will become eligible to vest based on the achievement of stock price goals, and will then vest on the earlier of the first anniversary of the date that the hurdle was met or the fourth anniversary of the date of grant, subject to continued service through the vesting date (and potential acceleration upon certain terminations of employment). The third restricted stock unit award covers 12,500 shares of the Company's common stock and vested with respect to 1/16 of the shares subject to the award on the grant date, and will vest in 15 equal quarterly installments thereafter.

Ms. Janofsky received two restricted stock unit awards. The first restricted stock unit award covers 24,042 shares of the Company's common stock and will be subject to vesting over four years, with 25% vesting on the first anniversary of the vesting commencement date of September 10, 2021, and the remainder vesting in equal quarterly installments over the subsequent three years, subject to potential acceleration upon certain terminations of employment. The second restricted stock unit award covers 24,042 shares of the Company's common stock and will become eligible to vest based on the achievement of stock price goals, and will then vest on the first anniversary of the date that the hurdle was met, subject to continued service through the vesting date (and potential acceleration upon certain terminations of employment).

The stock unit awards were granted as inducements material to Mr. Soistman and Ms. Janofsky entering into employment with eHealth, Inc. in accordance with NASDAQ Listing Rule 5635(c)(4).

About eHealth, Inc.
eHealth, Inc. (NASDAQ: EHTH) operates a leading health insurance marketplace at eHealth.com and eHealthMedicare.com with technology that provides consumers with health insurance enrollment solutions. Since 1997, we have connected more than 8 million members with quality, affordable health insurance, Medicare options, and ancillary plans. Our proprietary marketplace offers Medicare Advantage, Medicare Supplement, Medicare Part D prescription drug, individual, family, small business and other plans from over 200 health insurance carriers across fifty states and the District of Columbia.

Media inquiries:
Lara Sasken
Vice President, Communications
pr@ehealth.com

Investor Relations Contact:
Kate Sidorovich, CFA
Senior Vice President, Investor Relations & Strategy
Kate.sidorovich@ehealth.com

 

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SOURCE eHealth, Inc.

FAQ

What stock awards were granted to Fran Soistman at eHealth, Inc.?

Fran Soistman received three restricted stock unit awards totaling 142,500 shares, subject to various vesting conditions.

What stock unit awards did Christine Janofsky receive?

Christine Janofsky received two restricted stock unit awards totaling 48,084 shares, with vesting contingent on time and stock price goals.

When were the stock awards granted at eHealth, Inc.?

The inducement stock unit awards were granted on November 2, 2021.

How do the stock awards at eHealth align with NASDAQ regulations?

The awards were granted in accordance with NASDAQ Listing Rule 5635(c)(4), which allows inducement grants to new hires.