WBA Walgreens Boots Alliance Inc

On September 20, 2022, Walgreens Boots Alliance, Inc. (the “Company”) filed a Current Report on Form 8-K (the “Original Form 8-K”) announcing that John Standley, Executive Vice President of the Company and President of Walgreen Co., would leave the Company on November 1, 2022 (the “Separation Date”). As set forth in the Original Form 8-K, the Company and Mr. Standley expected to agree on the terms of his separation at a later date.

On November 20, 2022, the Company and Mr. Standley entered into a separation agreement, general release and waiver dated as of November 20, 2022 (the “Separation Agreement”). Pursuant to the terms of the Separation Agreement, the Company has agreed to provide to Mr. Standley the following separation benefits (the “Separation Benefits”): (i) $4,950,000 as severance payments; (ii) the pro-rated annual bonus payable for the fiscal year ending August 31, 2023; (iii) payment or reimbursement of all premiums for COBRA continuation coverage for medical, vision, prescription and dental coverage under the Company’s plans for Mr. Standley and eligible dependents for 24 months after the Separation Date (or the full COBRA period, if shorter) to the extent such premiums exceed the premiums payable for similar employer-provided coverage by active employees; (iv) remaining vested stock options to the extent exercisable pursuant to their terms, which includes (to the extent not already exercised) options to acquire 82,425 shares of the Company’s common stock, par value US$.01 (“Common Stock”) at an exercise price of $34.04 per share and options to acquire an additional 45,390 shares of Common Stock at an exercise price of $47.32 per share; (v) continued participation in the Company Financial Advisory Program pursuant to the terms of such program; (vi) benefits under the Walgreens Retirement Savings Plan and the WBA Executive Retirement Savings Plan; and (vii) any other claims to enforce the terms and conditions of the Separation Agreement. The Separation Agreement requires that any Separation Benefits are subject to Mr. Standley’s compliance with the covenants set forth in the Separation Agreement, including a release of claims as well as confidentiality, non-disclosure, non-solicitation, non-competition and non-disparagement obligations and other applicable agreements and policies.

The foregoing description of the terms of the Separation Agreement is qualified in its entirety by reference to the full terms of the Separation Agreement, which is attached hereto as Exhibit 10.1 and is incorporated herein by reference.