Talk about real world. Here's new CEO for SD pay plan: looks like new leadership is making the right changes.
"In connection with Mr. Bennett's appointment, the Compensation Committee of the Board has approved of the following compensation package: (a) annual base salary of $800,000; (b) target annual incentive award of $880,000; (c) a target long term incentive grant of $3,500,000, half of which will be in the form of shares of restricted stock that vest ratably over four years and half of which will be in the form of performance units, the final payout with respect to which will be determined based on the Company's relative total stockholder return measured against its peer group."
Sentiment: Strong Buy
In July of 2011, when BP's Gulf Horizon well was still spewing millions of gallons of oil into the Gulf of Mexico, Pres. Obama summoned BP's Tony Hawood to Washington and was able to secure a $20 BILLION escrow fund from BP. Mitch McConnell, Eric Cantor, John Boehner, and a parade of republican leaders held news conferences the next day and complained that it was "unfair" for BP to have to pay cleanup costs for the Horizon disaster, and some actually let the obvious alternative slip out. American taxpayers should foot the bill, because under the " W" Bush's energy policy, crafted in a secret meeting in early 2000 between #$%$ Cheney and oil executives, a $75 Million liability cap was placed on energy producers in case of a catastrophic accident.
Apparently, Obama disagreed and believed that the taxpayers should not be saddled with tens of billions in cleanup costs. About 90 days later, Haywood, who was pretty well liked as CEO's go, was sacked as chairman of BP. It was speculated that Haywod was losing a $20 Million per year job, and would have to tighten his belt since those jobs are few and far between, until it was pointed out that in the UK, in order to be listed on the stock exchange, companies must cap CEO pay at, I believe $1.5 Million per year. Anything beyond that figure was regarded as a rip off to shareholders. The CEO's of our major corporations used to make about 40 times the amount of their average employee. now it is something like 3,000 times average, which is outrageous. When the former chairman of Exxon retired, he received a "golden parachute" retirement package valued at about ONE HALF BILLION DOLLARS, because Exxon was making so much money. My grandmother could have done almost as well running Exxon, and she's been dead almost 40 years.
There is WAY too much self dealing going on in corporations today. It needs to stop.
Bennett is just the interim CEO, his package is dirt cheap. Check out what CHK just paid for a new CEO.
Looks to me like the company will get sold. Hiring a new CEO is expensive and contract terms provide for substantial early termination fees. No sense in hiring a new CEO if you are going to sell the company.
If selling the company is not the goal, terminating Ward without cause was a mistake. Hopefully we get a good update from TPG about the plan, maybe a deal is already on the table.
Watsa said TPG was just going to flip the company, that appears to be the plan.
i would pretty much agree with everything you just said rainbow. let's hope there is a deal in the works . since ward is gone, i would assume there is no longer a quiet period for tpg. we should be getting some serious news in the next few days.
currently long with 24k shares, in around 5.15. no great shakes here, but i'd like to see 8.00 or so.
Bennett is not the interim CEO. He is THE CEO. Read PR again.......I do agree this is just housekeeping for getting company ready to sell. Would probably be sold before they could do a 2-3 month job search. I look for another major announcement soon. The old guard wanted to keep control. However, TPG only has to get one of the old guard to vote with them.........and you can bet they will offer promises down the road to the Chosen One. TPG is 100% in control.. The old BOD's are fools if they think otherwise. It irritates me to say that Ward resigned but then they also said BOD's fired him........and then that the "independent BOD's" found no wrong doing. One of these guys owns a few % of the same team as Ward.......that's what they call independent? DaninFW
Sentiment: Strong Buy