When Gene Isenberg stepped down as CEO of Nabors Industries last fall, the company paid him $100,000,000 in cash as part of his employment agreement. But that's chump change.
GMI Ratings recently published a report listing the 21 largest severance packages since 2000. The study included final year salary, annual bonus. It also included stock and option awards, pensions and other deferred compensation, which accounted for around 80% of the package.
1. Jack Welch — $417,361,902 - Company: General Electric Source: 20 years
Besides taking top spot for corporate severance packages, Welch's retirement also led to G.E. having to increase disclosure of perks in public filings after it was revealed he'd obfuscated his extensive use of the company's jet, a New York apartment and box seats at Red Sox games. Still, Welch, now 76, earns $9 million a year for the rest of his life.
2. Lee Raymond — $320,599,861 Company: Exxon; Tenure: 12 years
Raymond stepped down after 12 years having turned Exxon into one of the largest companies on earth, raising the company's profits from $5 billion to over $25 billion.
3. Bill McGuire — $285,996,009 Company: UnitedHealth Group Inc.; Tenure: 15 years
McGuire got the boot in 2006 after coming under fire for improperly backdating stock options. He was forced to relinquish compensation totaling $620 million and pay a $7 million fine to the SEC. But his equity profits ended up totaling more than $180 million, and his pension was worth almost $103 million.
4. Ed Whitacre — $230,048,463 Company: AT&T; Tenure: 17 years
Upon retiring Whitacre walked away with a pension of $160 million, at the time the largest ever. Other perks included home security, use of the corporate jet, country club fees and "automobile benefits" of $24,000 a year.
5. Bob Nardelli — $223,290,123 Company: Home Depot; Tenure: 6 years
After becoming embroiled with shareholders over his annual compensation (which in 2006 reached $131 million), Nardelli was ousted by shareholders, but not before taking home a severance package that alone was worth more than $100 million….
Read about the rest at http://www.businessinsider.com/the-21-largest-golden-parachutes-of-the-new-millenium-2012-1
No comments:
Post a Comment