Purple Innovation, Inc. appointed new CEO

ITEM 5.02 DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN OFFICERS.


As previously disclosed by Purple Innovation, Inc. (the "Company") in its Current Report on Form 8-K filed with the Securities and Exchange Commission on September 25, 2018, on September 21, 2018, the Company entered into an employment agreement (the "Employment Agreement") with Joseph B. Megibow in connection with his appointment as the Company's Chief Executive Officer. The Employment Agreement provides, among other things, that, for the twelve months following his start date, the Company will, as part of his benefits package, provide Mr. Megibow with (i) reimbursement for the cost of weekly airfare (coach, planned in advance) between San Francisco and Salt Lake City and (ii) a $5,000.00 per month stipend to be used for temporary housing (with any unused amount retained by Mr. Megibow). Under the terms of the Employment Agreement, the Company's obligation to provide such airfare reimbursement and housing stipend expired in September 2019. The Employment Agreement also provides that, until October 1, 2020, the Company will reimburse Mr. Megibow for up to $75,000.00 in reasonable relocation expenses relating to moving his family and property, and up to 50% of the property seller's brokerage commission related to the disposition of his principal residence. As previously reported, on October 11, 2019, the Company's Board of Directors (the "Board") determined to continue to provide Mr. Megibow with such airfare reimbursement and housing stipend for twelve additional months, expiring in September 2020. On October 1, 2020, the Company's Board of Directors (the "Board") determined to (1) increase Mr. Megibow's salary by $50,000 to $500,000 annually, (2) continue to provide Mr. Megibow with such airfare reimbursement and housing stipend for six additional months, expiring March 31, 2021, and (3) extend Mr. Megibow's relocation reimbursements until September 30, 2021. On April 1, 2021, the Board determined to continue to provide Mr. Megibow with the airfare reimbursement for six additional months, expiring September 30, 2021.


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