PERRIGO Co plc 8-K

What Happened Perrigo Co plc announced on June 29, 2026 that it has reinstated its Executive Committee Severance Policy (the “Executive Severance Policy”), which previously terminated on January 15, 2020. The policy is effective for qualifying terminations occurring from June 7, 2026 through the end of the Transition Period — defined as 12 months after a successor to current CEO Patrick Lockwood‑Taylor begins employment. All executive officers other than the Interim Chief Executive Officer and any successor Chief Executive Officer are eligible to participate.

Key Details

• Reinstatement date: June 29, 2026; effective for qualifying terminations from June 7, 2026 through the Transition Period (12 months after successor CEO starts).
• Severance formula: participating executives get 1.5× the sum of base salary plus target bonus, paid over an 18‑month severance period.
• Additional benefits: employer portion of COBRA premiums paid during severance, a pro rata bonus for the year of termination (based on actual performance), and career transition assistance.
• Conditions: payments and equity treatment are subject to a release of claims and confidentiality, invention, non‑disparagement, non‑compete and non‑solicitation requirements; the policy terminates at the end of the Transition Period.

Why It Matters This policy reinstatement creates a defined safety net for most Perrigo executives during the CEO transition, which can help retain key staff and support an orderly leadership change. For investors, the arrangement means Perrigo may incur cash compensation and benefit costs (1.5× pay/bonus plus COBRA) if qualifying terminations occur during the Transition Period; such costs would be discrete and depend on who is terminated or resigns for “good reason.” The requirement for releases and restrictive covenants limits post‑separation disputes and protects company IP and relationships.