© Sack/Star Tribune
Golden parachutes, the huge payouts some CEOs receive when they're ousted from the top job, have been the subject of increasing public scrutiny.
But now, exorbitant payouts to chief executives of companies that have been acquired are becoming a new kind of parachute and they are even more lucrative than getting sacked, according to a
Wall Street Journal analysis of filings with the Securities and Exchange Commission.
The CEOs of three recently acquired companies will rake in sums of $50 million or more as a result of the deals, according to
The Wall Street Journal.
For example, cell phone maker Motorola's CEO Sanjay Jha could receive a $65.7 million payout from Google's acquisition of the company if he leaves within two years. Michel Orsinger, the chief executive of medical device company Synthes, which was acquired by Johnson & Johnson, could get $51.9 million if he leaves the company within two years. And George Lindemann, the CEO of natural gas pipeline operator Southern Union, could receive $53.8 million from the acquisition by rival company Energy Transfer Equity, the
WSJ reported.
The payouts are considerably higher than those of chief executives who have been let go; for example, Leo Apotheker, the former CEO of Hewlett Packard who was recently replaced by Meg Whitman in September, received about $13 million for walking away from the job.
The Dodd-Frank financial reform law attempted to inhibit such payouts by calling for advisory votes on exit packages for deals requiring shareholder approval, but so far, only 25 such votes have been scheduled, according to the
WSJ.
Comment: We've seen this before a time or two. The next thing will be Hillary giving physical [faked] evidence of Mustard Gas, Atomic bombs that can be launched and hit anywhere in the world in less than 15 minutes, etc.. to the United Nations. So many things in this article are implied as statements of facts coming mostly from anonymous individuals.The fact is the Western world has little to no evidence, only mountains of speculation, hubris and a desire to sideline Syria along with the rest of the Middle East that hasn't yet been colonized.
Perhaps a Democracy could rise up, in friendship and trust, and communicate the need for Syria to come clean WITHOUT threats of violence? Sadly there is little to no Democracy going on anywhere in the world.