REPORT: El Paso CEO to Get Jaw-Dropping $95M Exit Package
10:38 am, October 18th | by Amy Tennery
At first, it might have seemed strange that El Paso Corp CEO Douglas Foshee was planning to leave his company, after energy firm Kinder Morgan announced Monday it was acquiring it in a massive, $21 billion deal.
But now, the reasons for leaving are rather clear.
Why? Because Foshee is set to receive a huge exit package, according to the Wall Street Journal, which analyzed El Paso’s regulatory filings to estimate how much Foshee will get on his way out the door. That figure? $95 million, one of the largest exit packages ever in a corporate merger.
Of course, as WSJ points out, North Fork Bancorp’s John Kanas and Gillette Corp’s James Kitts are still tied for first in that ranking; they each received $185 million after their companies merged with Capital One and Procter & Gamble, respectively.
To be fair, most of Foshee’s exit pay could come from exercising stock options, the value of which WSJ pegs at a whopping $69 million. Still, considering how expensive it’s been for some companies to lose CEOs, this seems to be a growing problem.