Business Context and Reporting Period
This Form 8-K filing by USA Compression Partners, LP (USAC) reports on events occurring on May 15, 2020, and May 21, 2020. The filing addresses significant changes in executive leadership, specifically the departure of the Chief Operating Officer and the appointment of a successor.
Key Financial Metrics
The filing does not provide standard financial performance metrics such as revenue, profit, cash flow, margins, debt, or liquidity. The only financial data disclosed relates to executive compensation and separation payments.
- Separation Payment: $1,340,997.06 approved for the departing COO.
- Additional Compensation: A contingent "Release Payment" under a Retention Phantom Unit Agreement.
- New COO Base Salary: $331,500 annually.
- New COO Target Bonus: $281,775 (85% of base salary).
Material Changes
The primary material change is the transition of the Chief Operating Officer (COO) role at USA Compression GP, LLC (the General Partner).
- Departure: William G. Manias resigned as Vice President and COO, effective June 1, 2020. The resignation was mutual and attributed to personal family matters, with no disagreement regarding operations or policies.
- Appointment: Eric A. Scheller was appointed as the new Vice President and COO, effective June 2, 2020. Mr. Scheller previously served as Vice President—Fleet Operations since April 2018.
Guidance, Outlook, and Risks
The filing contains no forward-looking guidance, financial outlook, or discussion of general business risks. The only contingencies noted are:
- The separation payment and release payment to Mr. Manias are contingent upon his execution of a Full Release and Waiver of Claims.
- Phantom Units granted to Mr. Manias will vest upon his cessation of service.
Investor Verification Checklist
- Verify the execution of the Full Release and Waiver of Claims by Mr. Manias to confirm the $1,340,997.06 separation payment and Release Payment are finalized.
- Confirm the effective date of Mr. Scheller's appointment (June 2, 2020) and his integration into the leadership team.
- Review the Retention Phantom Unit Agreement to understand the specific vesting schedule and value of the units granted to Mr. Manias.
- Monitor future filings for any impact on operational strategy resulting from the leadership transition.