AcelRx Pharmaceuticals Announces Departure of Richard A. King, President And CEO

On November 5, 2014, AcelRx Pharmaceuticals, Inc. (the “Company”) announced the departure of Richard A. King, the Company's President and Chief Executive Officer (CEO). Mr. King's separation was not the result of any disagreement with the Company on any matter relating to the Company's operations, policies or practices. On December 15, 2014, the Company and Mr. King entered into a separation agreement (the “Separation Agreement”). Under the terms of the Separation Agreement, Mr. King will remain employed with the Company in his current position of CEO, until the earliest to occur of the following events: (i) the date that the Company hires a new Chief Executive Officer; or (ii) the Board requests his resignation; or (iii) March 31, 2015; such date the “Separation Date.” Pursuant to the terms of the Separation Agreement, Mr. King will be entitled to base salary and health benefits continuation for a period of twelve months. Any stock options granted to Mr. King shall cease vesting as of the Separation Date. Under the terms of the Separation Agreement, the Company will extend the exercise period for any of Mr. King's options which are vested and exercisable as of the Separation Date until December 31, 2015. A copy of the Separation Agreement is filed with this Form 8-K and attached hereto as Exhibit 10.1. The foregoing description of the Separation Agreement is qualified in its entirety by reference to the full text of the Separation Agreement, which is incorporated by reference hereto.