EXPE 8-K
Expedia Group, Inc. (EXPE)
8-K
2024-12-19
For: 2024-12-18
View Original
Added on
April 11, 2026
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): December 18, 2024
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) | ||||||||||||
(Address of principal executive offices) (Zip code)
(206 ) 481-7200
Registrant’s telephone number, including area code
Not Applicable
(Former name or former address if changed since last report)
| Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: | |||||
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
Title of each class | Trading symbol(s) | Name of each exchange on which registered | ||||||||||||
| (Nasdaq Global Select Market) | ||||||||||||||
| Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). | |||||
| Emerging growth company | |||||
| If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. | ☐ | ||||
Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
Appointment of Chief Financial Officer
On December 19, 2024, Expedia Group, Inc. (the “Company”) announced the appointment of Scott Schenkel as the Company’s Chief Financial Officer, effective the day after the Company files its Annual Report on Form 10-K for the fiscal year ended December 31, 2024 (the “Transition Date”). Mr. Schenkel’s employment with Expedia, Inc., (“Expedia”), a wholly owned subsidiary of the Company, is expected to commence on December 30, 2024 (the “Start Date”) and as previously announced Julie Whalen will continue to serve as the Company’s Chief Financial Officer until the Transition Date.
Mr. Schenkel, 56, has more than 30 years of global business and financial leadership expertise across e-commerce, healthcare, and technology businesses. He most recently served as the Interim CEO of eBay Inc. from September 2019 through April 2020 and as its Senior Vice President and Chief Financial Officer from 2015 to 2019. Prior to the eBay CFO role, Mr. Schenkel spent six years as Senior Vice President and Chief Financial Officer of eBay Marketplace, having originally joined eBay in 2007 as Vice President of Global Financial Planning and Analytics. Prior to eBay, Mr. Schenkel spent nearly 17 years at General Electric Company in a variety of financial leadership roles. Mr. Schenkel has served on the board of directors of NetApp, Inc. since September 2017 and on the board of directors of Pinterest, Inc. since September 2023. Mr. Schenkel received a Bachelor of Science in Finance from Virginia Polytechnic Institute and State University's Pamplin College of Business.
There are no arrangements or understandings between Mr. Schenkel and any other persons pursuant to which he was appointed Chief Financial Officer. There are also no family relationships between Mr. Schenkel and any director or executive officer of the Company and he has no direct or indirect material interest in any transaction required to be disclosed pursuant to Item 404(a) of Regulation S-K
Chief Financial Officer Compensation Arrangements
On December 18, 2024, Expedia entered into an at-will employment agreement with Mr. Schenkel with the following terms (the “Schenkel Employment Agreement”):
Salary. Mr. Schenkel will receive an annual base salary of $1,000,000, beginning on the Start Date.
Signing Bonus. Mr. Schenkel will receive an initial signing bonus payment of $3,000,000 on the Start Date and an additional signing bonus payment of $2,200,000 on December 15, 2025, subject to his continued employment with Expedia through that date. Upon termination of Mr. Schenkel’s employment by Expedia for cause (other than by reason of his death or disability) or by Mr. Schenkel without good reason, the Company is entitled to claw back a proportionate amount of any signing bonus paid.
Place of Work and Relocation Assistance. Mr. Schenkel’s principal work location will be the Company’s headquarters in Seattle, Washington. He will be entitled to receive relocation assistance consistent with Expedia’s policies and practices for senior executives, with approval for up to 12 months of Company-funded temporary housing.
Severance. Upon a termination of Mr. Schenkel’s employment by Expedia without cause (other than by reason of his death or disability) or by Mr. Schenkel for good reason (each, a “Qualifying Termination”), subject to his execution and non-revocation of a release and compliance with the restrictive covenants described below:
• Expedia will continue to pay his base salary for 12 months (the “Salary Continuation Period”); provided that such payments will be offset by any amount earned by Mr. Schenkel from another employer during such time period;
• all equity held by Mr. Schenkel that otherwise would have vested during the 12-month period following termination of employment will accelerate; provided that any equity awards that vest less frequently than annually shall be treated as though such awards vested annually and any equity awards subject to performance conditions will vest only if and when such performance conditions are satisfied;
• Expedia will pay Mr. Schenkel a lump sum amount equal to the aggregate monthly premiums during the Salary Continuation Period for COBRA continuation coverage under Expedia’s group health plans at the level of coverage in which Mr. Schenkel participated; and
• Expedia will pay Mr. Schenkel a lump sum amount equal to the prorated portion of any unpaid signing bonus, if any, consistent with the applicable Severance Period, with the signing bonus payment treated as if it vested annually.
Restrictive Covenants. Other than in California, Mr. Schenkel will be restricted from competing with the Company and from soliciting Expedia employees and business partners during the 12-month period following his termination of employment for any reason.
Equity Incentive Compensation. Mr. Schenkel will receive an initial equity grant of 87,163 restricted stock units on the Start Date, 35% of which will vest on December 15, 2025, with an additional 8.75% vesting on the fifteenth day of each of March, June, September and December 2026, and an additional 7.50% vesting on the fifteenth day of each of March, June, September and December 2027, subject to Mr. Schenkel’s continued employment with the Company through the applicable vesting dates. Beginning in 2025, Mr. Schenkel will be eligible to receive additional annual equity awards with a target value of $10,000,000, in a form generally consistent with annual equity awards granted to similarly situated senior executives.
The foregoing description of the Schenkel Employment Agreement is qualified in its entirety by reference to the full text of the agreement, a copy of which is filed as Exhibit 10.1 herewith and is incorporated by reference herein.
Item 7.01. Regulation FD Disclosure.
A copy of the press release announcing Mr. Schenkel’s appointment is furnished as Exhibit 99.1 hereto.
Pursuant to General Instruction B.2. to Form 8-K, the information set forth in this Item 7.01 and in the accompanying Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits
Exhibit Number | Description | |||||||
| 10.1 | ||||||||
| 99.1 | ||||||||
| 104 | Cover Page Interactive Data File, formatted in Inline XBRL | |||||||
SIGNATURE
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.
| EXPEDIA GROUP, INC. | ||||||||
| By: | /s/ Robert Dzielak | |||||||
| Robert Dzielak | ||||||||
| Chief Legal Officer | ||||||||
Dated: December 19, 2024
Employment Agreement EMPLOYMENT AGREEMENT THIS EMPLOYMENT AGREEMENT (“Agreement”) is entered into by and between Scott Schenkel (“Executive”) and Expedia, Inc., a Washington corporation (the “Company”), and is effective as of Executive and the Company’s signing of the Agreement (the “Effective Date”). WHEREAS, the Company desires to establish its right to the services of Executive, in the capacity described below, on the terms and conditions hereinafter set forth, and Executive is willing to accept such employment on such terms and conditions. NOW, THEREFORE, in consideration of the mutual agreements hereinafter set forth, Executive and the Company have agreed and do hereby agree as follows: 1. EMPLOYMENT. The Company agrees to employ Executive commencing on or as mutually agreed before December 30, 2024 (“Start Date”), as Strategic Advisor and Executive accepts and agrees to such employment. The Company and Executive futher agree that Executive’s title will change to Chief Financial Officer and associated duties will shift to those of the Chief Financial Officer on the day after the Company files its Annual Report on Form 10-K for the fiscal year ended December 31, 2024, which is currently expected to be February 7, 2025. During Executive’s employment with the Company hereunder, Executive shall perform all services and acts necessary or advisable to fulfill the duties and responsibilities as are commensurate and consistent with Executive’s position and shall render such services on the terms set forth herein. During Executive’s employment with the Company, Executive shall report directly to the Chief Executive Officer of the Company (or if the Company does not have a Chief Executive Officer, to its Chairman and Senior Executive (hereinafter referred to as the “Reporting Officer”). Executive shall have such powers and duties with respect to the Company as may reasonably be assigned to Executive by the Reporting Officer, to the extent consistent with Executive’s position and status. Except as otherwise approved by the Reporting Officer, Executive shall devote all of Executive’s working time, attention and efforts to the Company and perform the duties of Executive’s position in accordance with the Company’s policies as in effect from time to time. Except for travel to other locations as may be necessary to fulfill the Executive’s duties and responsibilities hereunder, Executive’s principal place of employment shall be the Company’s headquarters in Seattle, Washington (“Principal Work Location”). Executive will be offered a relocation package that is consistent with the policies and practices associated with an Executive relocation. The relocation offer will include up to 12 months of temporary housing. 2. TERM OF AGREEMENT. Executive's employment with the Company will be “at-will” and may be terminated at any time with or without cause or notice, for any reason or no reason, subject to the provisions of Section 1 of the Standard Terms and Conditions, attached hereto as Exhibit A (the “Standard Terms and Conditions”). 3. COMPENSATION. a. BASE SALARY. During the period that Executive is employed with the Company hereunder, the Company shall pay Executive an annualized base salary of $1,000,000.00 (the “Base Salary”), payable in equal biweekly installments or otherwise in accordance with the Company’s payroll practice as in effect from time to time. For all purposes under this Agreement, the term “Base Salary” shall refer to Base Salary as in effect from time to time. Executive will be entitled to an annual review of the Base Salary with a change to this Base Salary at the sole discretion of the Board of Directors of the Company or its Compensation Committee. b. SIGNING BONUS. Executive shall receive a cash signing bonus of $5,200,000.00 payable as follows: $3,000,00.00 paid at time of hire (the “First Signing Bonus Payment”) on or before the first payroll date; and $2,200,000.00 paid on the first payroll date following the first anniversary year of hire (the “Second Signing Bonus Payment”). If Executive leaves the Company voluntarily or is terminated for cause less than one year from the Start Date, the Company is entitled to clawback a proportionate amount of the First Signing Bonus Payment and Executive shall not receive the Second Signing Bonus Payment. If Executive leaves the Company voluntarily or is terminated
Employment Agreement for cause less than 12 months after the Second Signing Bonus Payment, the Company is also entitled to clawback a proportionate amount of the Second Signing Bonus Payment. c. EQUITY AWARD. The Company shall recommend to the Board of Directors or its Compensation Committee that Executive receive 87,163 new-hire Restricted Stock Units (“RSUs”), which will vest as follows (subject to Executive’s continued employment with Expedia): 35% vests on the first anniversary of the 15th calendar day of the month of hire; 35% vests in the second year of employment (8.75% every three months); and 30% vests in the third year of employment (7.5% every three months.) The entire employment offer package, including the equity award, is subject to approval by the Company’s Board of Directors and/or Compensation Committee. At the time of approval of the equity award, Executive will be asked to accept the RSU agreement. d. DISCRETIONARY EQUITY AWARDS. During the period that Executive is employed with the Company, Executive shall be eligible to receive discretionary annual equity awards. The ongoing equity target is $10,000,000.00 and the equity awarded will be in a form consistent with annual equity awards granted to similarly situated senior executives generally (currently 50% in Performance Stock Units and 50% in RSUs). Executive’s eligibility commences in Q1 of 2025. e. BENEFITS. i. Retirement and Welfare Plans. From the Start Date through the date of termination of Executive’s employment with the Company for any reason, Executive shall be entitled to participate in any welfare, health and life insurance and pension benefit plans as may be adopted from time to time by the Company on the same basis as that provided to similarly situated executives of the Company generally, consistent with the terms of such plans. ii. Reimbursement for Business Expenses. During the period that Executive is employed with the Company hereunder, the Company shall reimburse Executive for all reasonable, necessary and documented expenses incurred by Executive in performing Executive’s duties for the Company, on the same basis as similarly situated executives of the Company generally and in accordance with the Company’s policies as in effect from time to time. iii. Vacation. During the period that Executive is employed with the Company hereunder, Executive shall be entitled to annual paid vacation in accordance with the plans, policies, programs and practices of the Company applicable to similarly situated executives of the Company generally. 4. NOTICES. All notices and other communications under this Agreement shall be in writing and shall be deemed duly given (a) when sent by electronic mail or facsimile, on the date of transmission to such recipient, (b) one (1) business day after being sent to the recipient by reputable overnight courier service (charges prepaid), or (c) after being mailed to the recipient by first-class mail, certified or registered with return receipt requested or hand delivery acknowledged in writing by the recipient personally, and shall be deemed to have been duly given three days after mailing or immediately upon duly acknowledged hand delivery to the respective persons named below: If to the Company: Expedia, Inc. 1111 Expedia Group Way W., Seattle, Washington 98119 Attention: Chief Legal Officer If to Executive: At the most recent address on record for Executive at the Company. Either party may change such party’s address for notices by notice duly given pursuant hereto.
Employment Agreement 5. GOVERNING LAW; JURISDICTION. This Agreement and the legal relations thus created between the parties hereto shall be governed by and construed under and in accordance with the internal laws of the State of Washington without reference to the principles of conflicts of laws. Any and all disputes between the parties which may arise pursuant to this Agreement will be heard and determined before an appropriate federal court in Washington, or, if not maintainable therein, then in an appropriate Washington state court. The parties acknowledge that such courts have jurisdiction to interpret and enforce the provisions of this Agreement, and the parties consent to, and waive any and all objections that they may have as to, personal jurisdiction and/or venue in such courts. 6. COUNTERPARTS; INTEGRATION. This Agreement may be executed in several counterparts, each of which shall be deemed to be an original but all of which together will constitute one and the same instrument. Executive expressly understands and acknowledges that the Standard Terms and Conditions attached hereto are incorporated herein by reference, deemed a part of this Agreement and are binding and enforceable provisions of this Agreement. References to “this Agreement” or the use of the term “hereof” shall refer to this Agreement and the Standard Terms and Conditions attached hereto, taken as a whole. This Agreement and the Standard Terms and Conditions represent the entire agreement and understanding between the parties as to the subject matter herein and supersede all prior or contemporaneous agreements whether written or oral, including any prior employment agreement between Executive and the Company. No waiver, alteration or modification of any of the provisions of this Agreement will be binding unless in writing and signed by Executive and a duly authorized officer of the Company. IN WITNESS WHEREOF, the Company has caused this Agreement to be executed and delivered by its duly authorized officer and Executive has executed and delivered this Agreement. “COMPANY” EXPEDIA, INC. By: Name: Christine Deputy Title: Chief People Officer Dated: December 18, 2024 “EXECUTIVE” By: /s/ Scott Schenkel Name: Scott Schenkel Dated: December 18, 2024 /s/ Christine Deputy
Exhibit A EXHIBIT A STANDARD TERMS AND CONDITIONS 1. TERMINATION OF EXECUTIVE’S EMPLOYMENT. (a) DEATH. Upon termination of Executive’s employment by reason of Executive’s death, the Company shall pay Executive’s designated beneficiary or beneficiaries, within 30 days of Executive’s death in a lump sum in cash, (i) Executive’s Base Salary from the date of Executive’s death through the end of the month in which Executive’s death occurs and (ii) any Accrued Obligations (as defined in Section 1(f) below) in a lump sum in cash. To the extent any incentive equity or equity-linked award, are, in any case, outstanding as of the date of Executive’s death, such award(s) will be treated in accordance with their terms and the applicable plan and award agreement. (b) DISABILITY. If, as a result of Executive’s disability (as provided under Section 409A(a)(2)(C) of the Internal Revenue Code of 1986, as amended (the “Code”), and Treas. Regs. Section 1.409A-3(i)(4) and other official guidance issued thereunder) (a “Disability”), Executive shall have been absent from the full-time performance of Executive’s duties with the Company for a period of four consecutive months and, within 30 days after written notice is provided to Executive by the Company (in accordance with Section 4 of the Agreement, above), Executive shall not have returned to the full-time performance of Executive’s duties, Executive’s employment under this Agreement may be terminated by the Company for Disability. During any period prior to such termination during which Executive is absent from the full-time performance of Executive’s duties with the Company due to Disability, the Company shall continue to pay Executive’s Base Salary at the rate in effect at the commencement of such period of Disability, offset by any amounts payable to Executive under any disability insurance plan or policy provided by the Company. Upon termination of Executive’s employment due to Disability, the Company shall pay Executive within 30 days of such termination (i) Executive’s Base Salary through the end of the month in which Executive’s termination of employment for Disability occurs in a lump sum in cash, offset by any amounts payable to Executive under any disability insurance plan or policy provided by the Company; and (ii) any Accrued Obligations in a lump sum in cash. To the extent any incentive equity or equity-linked award, are, in any case, outstanding as of the date of Executive’s Disability, such award(s) will be treated in accordance with their terms and the applicable plan and award agreement. (c) TERMINATION FOR CAUSE; RESIGNATION WITHOUT GOOD REASON. The Company may terminate Executive’s employment under this Agreement with or without Cause at any time and Executive may resign under this Agreement with or without Good Reason (as defined below) at any time. As used herein, “Cause” shall mean: (i) the plea of guilty or nolo contendere to, conviction for, or the commission of, a felony offense by Executive; provided, however, that after indictment, the Company may suspend Executive from the rendition of services, but without limiting or modifying in any other way the Company’s obligations under this Agreement; (ii) a material breach by Executive of a fiduciary duty owed to the Company or any of its subsidiaries; (iii) a material breach by Executive of this Agreement, including without limitation any of the restrictive covenants made by Executive in Section 2 below; (iv) the willful or gross neglect by Executive of the material duties required by this Agreement; or (v) a knowing and material violation by Executive of any Company policy pertaining to ethics, legal compliance, wrongdoing or conflicts of interest that, in the case of the conduct described in clauses (iii), (iv) or (v) above, if curable, is not cured by Executive within 30 days after Executive is provided with written notice thereof. Upon Executive’s (A) termination of employment by the Company for Cause or (B) resignation without Good Reason, in any case, this Agreement shall terminate without further obligation by the Company, except for the payment of any Accrued Obligations in a lump sum in cash within 30 days of such termination.
Exhibit A (d) TERMINATION BY THE COMPANY OTHER THAN FOR DEATH, DISABILITY OR CAUSE; RESIGNATION BY EXECUTIVE FOR GOOD REASON; TERMINATION DUE TO COMPANY NON-RENEWAL OF TERM. Upon termination of Executive’s employment hereunder by the Company without Cause (other than for death or Disability) or by Executive for Good Reason, then: i. the Company shall continue to pay Executive the Base Salary for 12 months following termination in equal biweekly installments in accordance with the Company’s payroll practice as in effect from time to time (such period, the “Severance Period”), and the Company shall pay Executive in a lump sum within 30 days of the effective date of the Release (as defined below) (without regard to whether Executive actually elects COBRA coverage) an amount equal to the monthly premiums during the Severance Period with respect to COBRA continuation coverage under the Company’s group health plans in existence on the date of termination, and at the level of coverage Executive participated in as of the date of termination; ii. the Company shall pay Executive within 30 days of the date of such termination (or such earlier date as may be required by applicable law) any Accrued Obligations in a lump sum in cash; and iii. except as otherwise provided in any applicable individual award agreement, each incentive equity or equity-linked award that is outstanding and unvested at the time of such termination but which would, but for a termination of employment, have vested during the Severance Period shall vest (and with respect to awards other than stock options and stock appreciation rights, settle) as of the date of such termination of employment (or, if later with respect to any performance award, at the end of the applicable performance period as provided below); provided that any outstanding award with a vesting schedule that would, but for a termination of employment, have resulted in a smaller percentage (or none) of the award being vested through the end of such Equity Acceleration Period than if it vested annually pro rata over its vesting period shall, for purposes of this provision, be treated as though it vested annually pro rata over its vesting period (e.g., if 100 RSUs were granted 2.7 years prior to the date of the termination and vested pro rata on each of the first five anniversaries of the grant date and 100 RSUs were granted 1.7 years prior to the date of termination and vested on the fifth anniversary of the grant date, then on the date of termination 20 RSUs from the first award and 40 RSUs from the second award would vest and settle); provided further that any amount that would vest under this provision but for the fact that outstanding performance conditions have not been satisfied shall vest (and with respect to awards other than stock options and stock appreciation rights, settle) only if, and at such point as, such performance conditions are satisfied; and provided further that to the extent that any such equity awards constitutes “non- qualified deferred compensation” within the meaning of Section 409A (as defined below), such awards shall vest, but only settle in accordance with their terms (it being understood that it is intended that no equity awards outstanding as of the date of this Agreement constitutes “non-qualified deferred compensation” within the meaning of Section 409A) options. The severance payments and benefits described above under this Section 1(d) shall be referred to herein as the “Severance Payments & Benefits.” For the avoidance of doubt, the expiration of the Term shall not constitute a termination of employment by the Company without Cause or otherwise give rise to any Severance Payments & Benefits or any other payment to Executive or acceleration obligation under this Section 1(d). In addition, if Executive’s employment ends in a manner that entitles Executive to receive the Severance Payments and Benefits, Executive shall also be entitled to receive a pro rated portion of any unpaid signing bonus consistent with the applicable Severance Period as if such signing bonus vested annually. As an example, if employment began on December 30, 2024, and ended on June 30, 2025, Executive would be entitled to receive a payment upon termination equal to half of the second singing
Exhibit A bonus, reflecting a severance period that ends June 30, 2026 (and for the avoidance of doubt, the first signing bonus would not be subject to clawback). The payment to Executive of the Severance Payments & Benefits is contingent upon (i) Executive’s compliance with the offset provisions in Section 1(e) below, (ii) Executive’s compliance with the restrictive covenants set forth in Section 2 below, and (iii) Executive signing and not revoking a separation agreement and release of claims in favor of the Company and its affiliates in a form provided by the Company (the “Release”) upon Executive’s termination of employment that becomes effective no later than sixty (60) days following Executive’s employment termination date or such earlier date required by the Release (such deadline, the “Release Deadline”). If the Release does not become effective and irrevocable by the Release Deadline, Executive will forfeit any rights to the Severance Payments & Benefits. In no event will Severance Payments & Benefits be paid or provided until the Release actually becomes effective and irrevocable. Upon the Release becoming effective and irrevocable, any payments delayed from the date Executive terminates employment through the effective date of the Release will be payable in a lump sum without interest as soon as administratively practicable after the effective date of the Release and all other amounts will be payable in accordance with the payment schedule applicable to each payment or benefit. Any Severance Payments & Benefits that would be considered Deferred Payments (as defined below) will be paid on, or, in the case of installments, will not commence until, the sixtieth (60th) day following Executive’s separation from service (within the meaning of Section 409A), or, if later, the Delayed Initial Payment Date (as defined below). Any installment payments that would have been made to Executive during the sixty (60)-day period immediately following Executive’s separation from service, but for the preceding sentence, will be paid to Executive on the sixtieth (60th) day following Executive’s separation from service and the remaining payments shall be made as provided in this Agreement. As used herein, “Good Reason” shall mean the occurrence of any of the following without Executive’s prior written consent: (A) the Company’s material breach of any material provision of this Agreement, (B) the material reduction in Executive’s title, duties or reporting responsibilities or level of responsibilities, excluding for this purpose any such reduction that is an isolated and inadvertent action not taken in bad faith or that is authorized pursuant to this Agreement, (C) the material reduction in Executive’s Base Salary, or (D) a material relocation of the Company’s Seattle headquarters occurs resulting in a shift of the current location by more than 50 miles. In no event shall Executive’s resignation be for “Good Reason” unless an event or circumstance set forth in clauses (A) through (D) shall have occurred and Executive provides the Company with written notice thereof within 30 days after Executive has knowledge of the occurrence or existence of such event or circumstance, which notice specifically identifies the event or circumstance that Executive believes constitutes Good Reason, the Company fails to correct the circumstance or event so identified within 30 days after receipt of such notice, and Executive resigns within 90 days after the date of delivery of the notice referred to above. Notwithstanding the preceding provisions of this Section 1(d), in the event that Executive is a “specified employee” (within the meaning of Section 409A) on the date of termination of Executive’s employment with the Company and the Severance Payments & Benefits to be paid within the first six months following such date (the “Initial Payment Period”) exceed the amount referenced in Treas. Regs. Section 1.409A- 1(b)(9)(iii)(A) (the “Limit”), then (1) any portion of the Severance Payments & Benefits that is a “short-term deferral” within the meaning of Treas. Regs. Section 1.409A-1(b)(4)(i) shall be paid at the times set forth in this Section 1(d), (2) any portion of the Severance Payments & Benefits (in addition to the amounts contemplated by the immediately preceding clause (1)) that is payable during the Initial Payment Period that does not exceed the Limit shall be paid at the times set forth in Section 1(d) as applicable, (3) any portion of the Severance Payments & Benefits that exceeds the Limit and is not a “short-term deferral” (and would have been payable during the Initial Payment Period but for the Limit) (the “Deferred Payments”) shall be paid, with Interest, on the first business day of the first calendar
Exhibit A month that begins after the six-month anniversary of Executive’s “separation from service” (within the meaning of Section 409A) (the “Delayed Initial Payment Date”) and (4) any portion of the Severance Payments & Benefits that is payable after the Initial Payment Period shall be paid at the times set forth in this Section 1(d). For purposes of this Agreement, “Interest” shall mean interest at the applicable federal rate provided for in Section 7872(f)(2)(A) of the Code, from the date on which payment would otherwise have been made but for any required delay through the date of payment. (e) MITIGATION; OFFSET. In the event of termination of Executive’s employment, Executive shall use reasonable best efforts to seek other employment and to take other reasonable actions to mitigate the amounts payable under Section 1(d)(i) hereof, if any. If Executive obtains other employment or income during the Severance Period, any payments to be made to Executive under Section 1(d) above after the date such employment or income is secured shall be offset by the amount of compensation earned by Executive. For purposes of this Section 1(e), Executive shall have an obligation to inform the Company regarding Executive’s employment status following termination and during the Severance Period. The duty to mitigate and offset apply solely to Executive’s salary and not to any sign-on bonus received during the severance period. (f) ACCRUED OBLIGATIONS. As used in this Agreement, “Accrued Obligations” shall mean the sum of (i) any portion of Executive’s accrued and earned but unpaid Base Salary through the date of death or termination of employment for any reason, as the case may be; (ii) any compensation previously earned but deferred by Executive (together with any interest or earnings thereon) that has not yet been paid and that is not otherwise paid at a later date pursuant to any deferred compensation arrangement of the Company to which Executive is a party, if any (provided, that any election made by Executive pursuant to any deferred compensation arrangement that is subject to Section 409A regarding the schedule for payment of such deferred compensation shall prevail over this Section 1(f) to the extent inconsistent herewith); and (iii) other than in the event of Executive’s resignation without Good Reason or termination by the Company for Cause (except as required by applicable law), any portion of Executive’s accrued but unpaid vacation pay through the date of death or termination of employment, as the case may be. (g) OTHER BENEFITS. Upon any termination of Executive’s employment, Executive shall remain entitled to receive any vested benefits or amounts that Executive is otherwise entitled to receive under any plan, policy, practice or program of, or any other contract or agreement with, the Company in accordance with the terms thereof (other than any such plan, policy, practice or program of the Company that provides benefits in the nature of severance or continuation pay). 2. CONFIDENTIAL INFORMATION; NON-SOLICITATION; NON- COMPETITION; AND PROPRIETARY RIGHTS. (a) CONFIDENTIALITY. Executive acknowledges that while employed by the Company, Executive will occupy a position of trust and confidence. Executive shall not, except as is appropriate to perform Executive’s duties hereunder or as required by applicable law, disclose to others, use, copy, transmit, reproduce, summarize, quote or make commercial, whether directly or indirectly, any Confidential Information. Executive will also take reasonable steps to safeguard such Confidential Information and prevent its loss, theft, or inadvertent disclosure to third persons. This Section 2 shall apply to Confidential Information acquired by Executive whether prior or subsequent to the execution of this Agreement. “Confidential Information” shall mean information about the Company or any of its subsidiaries or affiliates, and their respective clients and customers, including (without limitation) any proprietary knowledge, trade secrets, data, formulae, information and client and customer lists and all
Exhibit A papers, resumes, and records (including computer records) of the documents containing such Confidential Information, provided that Confidential Information shall not mean any such information that is previously disclosed to, or in possession of, the public other than by reason of Executive’s breach of this Agreement. Notwithstanding the foregoing provisions, if Executive is required to disclose any such confidential or proprietary information pursuant to applicable law or a subpoena or court order, Executive shall promptly notify the Company in writing of any such requirement so that the Company may seek an appropriate protective order or other appropriate remedy or waive compliance with the provisions hereof. Executive shall reasonably cooperate with the Company to obtain such a protective order or other remedy. If such order or other remedy is not obtained prior to the time Executive is required to make the disclosure, or the Company waives compliance with the provisions hereof, Executive shall disclose only that portion of the confidential or proprietary information which he is advised by counsel that he is legally required to so disclose. Executive acknowledges that such Confidential Information is specialized, unique in nature and of great value to the Company and its subsidiaries or affiliates, and that such information gives the Company and its subsidiaries or affiliates a competitive advantage. Executive agrees to deliver or return to the Company, at the Company’s request at any time or upon termination or expiration of Executive’s employment or as soon thereafter as possible, all documents, computer tapes and disks, records, lists, data, drawings, prints, notes and written information (and all copies thereof) furnished by the Company and its subsidiaries or affiliates or prepared by Executive in the course of Executive’s employment by the Company and its subsidiaries or affiliates. As used in this Agreement, “affiliates” shall mean any company controlled by, controlling or under common control with the Company (including, for clarity, Expedia Group, Inc.). (b) NON-COMPETITION (EXCEPT IN CALIFORNIA). In consideration and as a condition of Executive’s employment hereunder and receipt of all payments and benefits available to Executive in connection with such employment, the Company’s promise to disclose, and disclosure of, its Confidential Information and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged by Executive, Executive hereby agrees and covenants that until the end of the Severance Period, defined above in Section 1(d)(i) (the “Restricted Period”), Executive shall not, directly or indirectly, engage in, assist or become associated with a Competitive Activity. For purposes of this Section 2(b): (i) a “Competitive Activity” means, at the time of Executive’s termination, any business or other endeavor in the Restricted Territory of a kind being conducted by the Company or any of its subsidiaries or, if engaged in the provision of any travel related services, any of its affiliates in the Restricted Territory (or demonstrably anticipated by the Company or its subsidiaries or affiliates as of the Effective Date or at any time thereafter); and (ii) Executive shall be considered to have become “associated with a Competitive Activity” if Executive becomes directly or indirectly involved as an owner, principal, employee, officer, director, independent contractor, representative, stockholder, financial backer, agent, partner, advisor, lender, or in any other individual or representative capacity with any individual, partnership, corporation or other organization that is engaged in a Competitive Activity. Notwithstanding the foregoing, (i) Executive may make and retain investments during the Term, for investment purposes only, in less than five percent of the outstanding capital stock of any publicly-traded corporation engaged in a Competitive Activity if stock of such corporation is either listed on a national stock exchange or on the NASDAQ National Market System if Executive is not otherwise affiliated with such corporation; (ii) Executive may serve as an employee or partner (or otherwise hold an ownership interest) in an investment firm that has an ownership interest in a partnership, corporation or other organization that is engaged in a Competitive Activity provided such ownership interest does not constitute greater than 20% of such investment firm’s total assets under management and Executive is not directly involved with the provision of direction or management of such entity; and (iii) Executive may serve as an employee of or partner (or otherwise hold an ownership interest) in a consultancy or
Exhibit A investment bank engaged in providing advisory services to entities engaged in Competitive Activities provided that Executive is not directly involved in the provision of the advisory services to such entities. For purposes of this Section 2(b), the “Restricted Territory” shall be defined as any state or political subdivision in the world where the Company is engaged in business, or has verifiable plans to engage in business. Executive also acknowledges that, to the extent the Company would be required to pay Executive additional compensation in accordance with applicable law following Executive’s separation from employment in order to enforce this Section 2(b), Executive agrees to accept such additional compensation if offered to Executive by the Company. (c) NON-SOLICITATION OF EMPLOYEES. Executive agrees that during the Restricted Period, Executive shall not, without the prior written consent of the Company, directly or indirectly, hire, recruit or solicit the employment or services of (whether as an employee, officer, director, agent, consultant or independent contractor), any employee, officer, director, agent, consultant or independent contractor of the Company or any of its subsidiaries or affiliates or any such person who has terminated his or her relationship with the Company or any of its subsidiaries or affiliates within the six- month period prior to such hiring, recruiting or soliciting (except for (i) such employment or hiring by the Company or any of its subsidiaries or affiliates or (ii) such employment or hiring by Executive of an agent, consultant or independent contractor where the primary duties of such person are not for the Company); provided, however that a general solicitation of the public for employment shall not constitute a solicitation hereunder so long as such general solicitation is not designed to target, or does not have the effect of targeting, any employee, officer, director, agent, consultant or independent contractor of the Company or any of its subsidiaries or affiliates. This Section 2(c) shall not apply to any administrative assistant working directly for Executive. (d) NON-SOLICITATION OF BUSINESS PARTNERS. Executive will not, at any time, directly or indirectly, on Executive’s own behalf or on behalf of any other person or entity, use Confidential Information or any trade secret of the Company or its affiliates, without the prior written consent of the Company, directly or indirectly, to persuade or encourage or attempt to persuade or encourage any business partners or business affiliates of the Company or its subsidiaries or affiliates to cease doing business with the Company or any of its subsidiaries or affiliates or to engage in any business competitive with the Company or its subsidiaries or affiliates on its own or with any competitor of the Company or its subsidiaries or affiliates. (e) PROPRIETARY RIGHTS; ASSIGNMENT. (i) All Executive Developments (as defined below) shall be made for hire by Executive for the Company or any of its subsidiaries or affiliates. “Executive Developments” means any idea, discovery, invention, design, method, technique, improvement, enhancement, development, computer program, machine, algorithm or other work or authorship, in each case, (i) that (A) relates to the business or operations of the Company or any of its subsidiaries or affiliates, or (B) results from or is suggested by any undertaking assigned to Executive or work performed by Executive for or on behalf of the Company or any of its subsidiaries or affiliates, whether created alone or with others, during or after working hours and (ii) that is conceived or developed during the Executive’s employment with the Company. All Confidential Information and all Executive Developments shall remain the sole property of the Company or any of its subsidiaries or affiliates. Executive shall acquire no proprietary interest in any Confidential Information or Executive Developments developed or acquired during the Executive’s employment with the Company. To the extent Executive may, by operation of law or otherwise,
Exhibit A acquire any right, title or interest in or to any Confidential Information or Executive Development, Executive hereby assigns to the Company all such proprietary rights. Executive shall, both during and after the Term, upon the Company’s request, promptly execute and deliver to the Company all such assignments, certificates and instruments, and shall promptly perform such other acts, as the Company may from time to time in its reasonable discretion deem necessary or desirable to evidence, establish, maintain, perfect, enforce or defend the Company’s rights in Confidential Information and Executive Developments. (ii) Executive acknowledges that he is not obligated to assign any Executive Development that qualified fully under the provisions of the Revised Code of Washington Section 49.44.140 (“RCW 49.44.140”). NOTICE OF REVISED CODE OF WASHINGTON SECTION 49.44.140: Any provision in this Agreement for assignment of my right, title, and interest in an Invention to the Company does not apply to an Invention for which no equipment, supplies, facilitates, or trade secret information of the Company was used and which was developed entirely on my own time, unless (a) the invention relates (i) directly to the business of the Company, or (ii) to the Company’s actual or demonstrably anticipated research or development, or (b) the invention results from any work I perform for the Company. At the Company’s request, Executive will promptly disclose to the Company all Executive Developments during and after the Term to determine the status of the Executive Development under this Section. The Company may disclose such Executive Developments to the Department of Employment Security. (f) COMPLIANCE WITH POLICIES AND PROCEDURES. During the Term, Executive shall adhere to the policies and standards of professionalism set forth in the Company’s Policies and Procedures as they may exist from time to time. Executive hereby consents to, and expressly authorizes, the Company’s use of Executive’s name and likeness in trade publications and other media for trade or commercial purposes. (g) REMEDIES FOR BREACH. Executive expressly agrees and understands that the Company will have 30 days from receipt of Executive’s notice of any alleged breach by the Company of this Agreement to cure any such breach. Executive expressly agrees and understands that the remedy at law for any breach by Executive of this Section 2 will be inadequate and that damages flowing from such breach are not usually susceptible to being measured in monetary terms. Accordingly, it is acknowledged that upon Executive’s violation or threatened violation of any provision of this Section 2, the Company shall be entitled to obtain from any court of competent jurisdiction immediate injunctive relief and obtain a temporary order restraining any threatened or further breach as well as an equitable accounting of all profits or benefits arising out of such violation or threatened violation without the requirement of posting any bond. Nothing in this Section 2 shall be deemed to limit the Company’s remedies at law or in equity for any breach by Executive of any of the provisions of this Section 2, which may be pursued by or available to the Company. (h) SURVIVAL OF PROVISIONS. The obligations contained in Section 1(e) and
Exhibit A Section 2 shall survive the termination or expiration of Executive’s employment with the Company and, as applicable, shall be fully enforceable thereafter in accordance with the terms of this Agreement. If it is determined by a court of competent jurisdiction in any state that any restriction in this Section 2 is excessive in duration or scope or is unreasonable or unenforceable under the laws of that state, it is the intention of the patties that such restriction may be modified or amended by the court to render it enforceable to the maximum extent permitted by the law of that state. 3. TERMINATION OF PRIOR AGREEMENTS. This Agreement (including these Standard Terms and Conditions) constitutes the entire agreement between the parties and terminates and supersedes any and all prior and contemporaneous agreements and understandings (whether written or oral) between the parties, with respect to the subject matter of this Agreement. Executive acknowledges and agrees that neither the Company nor anyone acting on its behalf has made, and is not making, and in executing this Agreement, the Executive has not relied upon, any representations, promises or inducements except to the extent the same is expressly set forth in this Agreement. 4. PROTECTED ACTIVITY NOT PROHIBITED. Executive understands that nothing in this Agreement shall in any way limit or prohibit Executive from engaging in any Protected Activity. For purposes of this Agreement, “Protected Activity” means filing a charge or complaint with, reporting possible violations of applicable law to, or otherwise communicating or cooperating with or participating in any investigation or proceeding that may be conducted by any federal, state or local government agency or commission, including the Securities and Exchange Commission, the Equal Employment Opportunity Commission, the Occupational Safety and Health Administration, and the National Labor Relations Board (“Government Agencies”) or making other disclosures that are protected under the whistleblower provisions of applicable law or regulation. Executive understands that in connection with such Protected Activity, Executive is permitted to disclose documents or other information as permitted by law, and without giving notice to, or receiving authorization from, the Company. Notwithstanding, in making any such disclosures or communications, Executive agrees to take all reasonable precautions to prevent any unauthorized use or disclosure of any information that may constitute Confidential Information to any parties other than the Government Agencies. Executive further understands that “Protected Activity” does not include the disclosure of any Company attorney-client privileged communications. 5. ASSIGNMENT; SUCCESSORS. This Agreement is personal in its nature and none of the parties hereto shall, without the consent of the others, assign or transfer this Agreement or any rights or obligations hereunder; provided, that, in the event of a merger, consolidation, transfer, reorganization, or sale of all, substantially all or a substantial portion of, the assets of the Company with or to any other individual or entity, this Agreement shall, subject to the provisions hereof, be binding upon and inure to the benefit of the Company’s successor in interest in such transaction, and such successor shall discharge and perform all the promises, covenants, duties, and obligations of the Company hereunder, and all references herein to the “Company” shall refer to such successor. 6. TAXES; WITHHOLDING. The Company shall make such deductions and withhold such amounts from each payment and benefit made or provided to Executive hereunder, as may be required from time to time by applicable law, governmental regulation or order. The Company cannot and has not guaranteed any particular tax result for payments under this Agreement. Executive shall be solely responsible for costs and taxes incurred for any payments under this Agreement. 7. HEADING REFERENCES. Section headings in this Agreement are included herein for convenience of reference only and shall not constitute a part of this Agreement for any other purpose. References to “this Agreement” or the use of the term “hereof” shall refer to these Standard Terms and
Exhibit A Conditions and the Agreement to which this Exhibit A is attached, taken as a whole. 8. WAIVER; MODIFICATION. Failure to insist upon strict compliance with any of the terms, covenants, or conditions hereof shall not be deemed a waiver of such term, covenant, or condition, nor shall any waiver or relinquishment of, or failure to insist upon strict compliance with, any right or power hereunder at any one or more times be deemed a waiver or relinquishment of such right or power at any other time or times. This Agreement shall not be modified in any respect except by a writing executed by each party hereto. 9. SEVERABILITY. In the event that a court of competent jurisdiction determines that any portion of this Agreement is in violation of any law or public policy, only the portions of this Agreement that violate such law or public policy shall be stricken. All portions of this Agreement that do not violate any statute or public policy shall continue in full force and effect. Further, any court order striking any portion of this Agreement shall modify the stricken terms as narrowly as possible to give as much effect as possible to the intentions of the patties under this Agreement. 10. INDEMNIFICATION. The Company shall indemnify and hold Executive harmless for acts and omissions in Executive’s capacity as an officer, director or employee of the Company to the maximum extent permitted under applicable law; provided, however, that neither the Company, nor any of its subsidiaries or affiliates, shall indemnify Executive for any losses incurred by Executive as a result of acts described in Section 1(c) above. 11. SECTION 409A. The Agreement is intended to comply with the requirements of Section 409A of the Code and Department of Treasury Regulations and other interpretative guidance issued thereunder (collectively, “Section 409A”) or an exemption or exclusion therefrom and, with respect to amounts that are subject to Section 409A, shall in all respects be administered in accordance with Section 409A. Each payment under this Agreement shall be treated as a separate payment for purposes of Section 409A. In no event may Executive, directly or indirectly, designate the calendar year of any payment to be made under this Agreement. All reimbursements and in-kind benefits provided under this Agreement that constitute deferred compensation within the meaning of Section 409A shall be made or provided in accordance with the requirements of Section 409A, including, without limitation, that (i) in no event shall reimbursements by the Company under this Agreement be made later than the end of the calendar year next following the calendar year in which the applicable fees and expenses were incurred, provided, that Executive shall have submitted an invoice for such fees and expenses at least 10 days before the end of the calendar year next following the calendar year in which such fees and expenses were incurred; (ii) the amount of in-kind benefits that the Company is obligated to pay or provide in any given calendar year shall not affect the in-kind benefits that the Company is obligated to pay or provide in any other calendar year; (iii) Executive’s right to have the Company pay or provide such reimbursements and in-kind benefits may not be liquidated or exchanged for any other benefit; and (iv) in no event shall the Company’s obligations to make such reimbursements or to provide such in-kind benefits apply later than Executive’s remaining lifetime (or if longer, through the 20th anniversary of the Effective Date). Amounts payable under this Agreement upon a termination of employment that constitute deferred compensation within the meaning of Section 409A will not be paid or provided until Executive experiences a “separation from service” within the meaning of Section 409A, and notwithstanding anything contained herein to the contrary, the date on which such separation from service takes place shall be the date of termination. * * * * * *
Exhibit A ACKNOWLEDGED AND AGREED AS OF THE EFFECTIVE DATE: “COMPANY” EXPEDIA, INC. By: Name: Christine Deputy Title: Chief People Officer Dated: December 18, 2024 “EXECUTIVE” By: /s/ Scott Schenkel Name: Scott Schenkel Dated: December 18, 2024 /s/ Christine Deputy
Expedia Group Names Scott Schenkel as Chief Financial Officer December 19, 2024, SEATTLE - Expedia Group (NASDAQ: EXPE) announced today that Scott Schenkel has been appointed as Expedia Group’s Chief Financial Officer, effective the day after Expedia Group files its Annual Report on Form 10-K for the year ended December 31, 2024 (which is expected to be on or about February 7, 2025). As previously announced, Julie Whalen will remain in the CFO role through February to ensure a smooth transition. As CFO, Mr. Schenkel will be responsible for leading Expedia Group’s global finance organization and will be based in Seattle, reporting directly to the Company’s Chief Executive Officer, Ariane Gorin. Mr. Schenkel has more than 30 years of global business and financial leadership expertise across e-commerce, healthcare, and technology businesses. As an operationally focused CFO, his experience spans company, business unit and functional leadership with extensive knowledge in financial planning, analytics, strategy, audit, mergers and acquisitions, integration, and process improvement. “Scott joins Expedia Group with extensive financial leadership experience across global businesses, particularly in e-commerce.” said Ariane Gorin, Chief Executive Officer, Expedia Group. “His expertise, operational acumen, and strategic insight will be instrumental as we strengthen our position as a global leader in travel. I look forward to working with Scott to drive our strategic goals forward. I also want to thank Julie for her significant contributions and dedication during her tenure as CFO, as well as for ensuring a smooth transition to Scott.” “I’m honored to join Expedia Group and excited about the opportunity to contribute to such an innovative and dynamic company,” said Scott Schenkel. “I look forward to collaborating with Ariane and the team to drive financial excellence and support the company’s mission of powering global travel experiences.”
About Scott Schenkel Mr. Schenkel most recently served as the Interim CEO of eBay Inc. from September 2019 through April 2020 and its Senior Vice President and Chief Financial Officer from 2015 to 2019. Prior to the eBay CFO role, he spent six years as Senior Vice President and Chief Financial Officer of eBay Marketplace, having originally joined eBay in 2007 as Vice President of Global Financial Planning and Analytics. Prior to eBay, Mr. Schenkel spent nearly 17 years at General Electric Company in a variety of financial leadership roles. About Expedia Group Expedia Group, Inc. brands power travel for everyone, everywhere through our global platform. Driven by the core belief that travel is a force for good, we help people experience the world in new ways and build lasting connections. We provide industry-leading technology solutions to fuel partner growth and success, while facilitating memorable experiences for travelers. Expedia Group’s three flagship consumer brands include: Expedia®, Hotels.com®, and Vrbo®. Forward Looking Statements This press release contains certain statements that constitute "forward-looking statements" within the meaning of federal securities laws, including statements regarding Expedia Group’s CFO transition. These statements are based on management's assumptions and beliefs in light of the information currently available to it. Such statements are indicated by words or phrases such as "anticipate," "continue," "expect," "future," "position," "strategy," "will," and variations of such words and similar phrases. Various uncertainties and other factors could cause actual results to differ materially from those contained in the forward-looking statements. These include the specific risk factors identified in "Risk Factors" in our annual report on Form 10-K for our last fiscal year and any subsequent filings. Expedia Group assumes no obligation to update the information contained herein unless required by applicable law. Please refer to Expedia Group’s reports and filings with the Securities and Exchange Commission for a further discussion of these risks and uncertainties.
For more information, visit www.expediagroup.com. Follow us on X @expediagroup and check out our LinkedIn. © 2024 Expedia, Inc., an Expedia Group company. All rights reserved. Trademarks and logos are the property of their respective owners. CST: 2029030-50