Duke Energy CEO Bill Johnson resigns after one day, gets $44 million in severance

[Ichingcarpenter]

When Duke Energy announced its merger with Progress Energy last year, the two companies agreed that Progress CEO Bill Johnson would assume the same position at the combined company. So he did: On June 27, Johnson signed a three-year contract to helm Duke. When the merger went into effect on July 2, he assumed the position of CEO.

And then, on July 3 at midnight, Johnson resigned. The Wall Street Journal:

Outsiders considered the turn of events highly unusual. New chief executives almost never quit days after accepting an employment contract, three executive-compensation consultants said.

It “is very odd” for a CEO to exit days after taking command, said David Schmidt, a consultant at James F. Reda & Associates, a compensation consulting firm in New York that wasn’t involved with either company. “I have never seen that before.”

But let us not weep for our once and not-future king. Bill Johnson’s golden parachute was not affected by his short flight.

Despite his short-lived tenure, Mr. Johnson will receive exit payments worth as much as $44.4 million, according to Duke. That includes $7.4 million in severance, a nearly $1.4 million cash bonus, a special lump-sum payment worth up to $1.5 million and accelerated vesting of his stock awards, according to a Duke regulatory filing Tuesday night. Mr. Johnson gets the lump-sum payment as long as he cooperates with Duke and doesn’t disparage his former employer, the filing said.

Under his exit package, Mr. Johnson also will receive approximately $30,000 to reimburse him for relocation expenses.



http://grist.org/news/duke-ceo-bill-johnson-resigns-after-one-day-gets-44-million-in-severance/

[Fumesucker]

1. ...

[PoliticAverse]

2. Remarkaballs. n/t

[Suji to Seoul]

3. unbelievaBULL SHIT for that. Can I get that too? 44 million for one day!

Business criminals have quite a good racket going. Almost seems like RICO should be used.

[TeamPooka]

4. Duke/Progress shareholders may have something to say about this...

I hope

[LiberalAndProud]

5. I suspect Mr. Johnson has reviewed his contract.

What is astonishing is that more CEOs don't follow this track. There are some who would have done far less financial harm to the stockholders had they done so.

[kooljerk666]

6. I bet ya $5 this is how he pulled that one off.....

With the knowledge of toxic fracking techniques & more toxic business practices & a list of senators & congressional favor he offered them a choice. Big fat payoff or I write a book after ya screw my out of my fat lazy job.

Johnson gets the lump-sum payment as long as he cooperates with Duke and doesn’t disparage his former employer, the filing said.

Now he agrees to cooperate & be quiet as long as cash comes in.

"Disparage"

hahahahahahahahah HAH

I live in PA & am not overfond of gasbags errr gas companys.

[dmosh42]

7. Better than robbing a bank! And all legal.

[Spitfire of ATJ]

8. I say we haul them all in for questioning

See which one rats on the others to cut a deal.

[img][/img]
I'll sing!!!

[The Wizard]

9. He needs to be

standing on a box with a bag over his head and wires attached to his balls. Robbery by any other name.........

[Buns_of_Fire]

10. Imagine what he would have gotten if he'd "worked" for TWO days!

[TahitiNut]

11. Poor fella ... because he resigned, he won't get unemployment. Sad. So sad.

[Blue_Tires]

13. my heart bleeds for him...

[TalkingDog]

12. The headline is misleading.

He wanted the position. Duke Fucking Energy screwed everybody.... AGAIN. They put their own guy Duke CEO Jim Rogers in there.

The update from your link: Update: As many have noted, the “resignation” seems an awful lot like a “firing.” It is obviously the latter; technically the former. The corporate world never ceases to amaze.