TEAM INC 8-K

What Happened
Team, Inc. (TISI) announced on July 7, 2026 that its Board approved an amendment to the Team, Inc. Corporate Executive Officer Compensation and Benefits Continuation Policy (the “Policy”). The Amendment shortens severance benefit periods tied to a qualifying termination related to a change in control, replacing any references in Section III to periods longer than 24 months with a 24‑month period. It also clarifies how supplemental compensation for forgone annual incentive/bonus will be calculated and paid.

Key Details

• Effective date: Amendment approved by the Board on July 7, 2026.
• Severance cap: Any supplemental salary or supplemental compensation periods previously longer than 24 months are reduced to a maximum of 24 months.
• Bonus calculation: Supplemental compensation for a forgone annual bonus will be the higher of (a) the most recent year’s actual bonus paid or (b) the average bonus paid for the last two years. If an executive has not yet received a bonus, the payment will be based on the executive’s target bonus.
• Payment timing: The supplemental compensation is paid in a single lump sum on the same date the supplemental salary payment is required under Section III.

Why It Matters
This amendment reduces the maximum potential change‑in‑control severance exposure for covered executives by capping supplemental payments at 24 months, which could lower contingent compensation obligations that matter in a sale or takeover scenario. The clarified bonus formula and single‑sum payment timing make payouts more predictable—payments may be higher or lower depending on an executive’s recent bonus history. For investors, these changes affect potential post‑change‑of‑control cash outflows and improve transparency around executive compensation outcomes.