BEA Systems’ proxy: Part II(0)
As we noted below, there’s the moola that Chuang made last year. But then there’s what he could make this year — depending on what happens next in the Oracle deal.
Back in January, Oracle (ticker:ORCL) finally coughed up enough money to buy BEA Systems (ticker:BEAS). In the proxy were wrote about previously, the company also disclosed the details of payments that executives would receive under a “change in control.” For that to be triggered, the company has to be sold (check!) AND the exec has to be let go without cause.
In that case, here are following potential pay outs:
- CEO Alfred Chuang: $10.85 million.
- Mark Detinger: $4.6 million.
- Thomas Ashburng: $4.98 million.
An interesting footnote on Chuang’s potential windfall comes under the category of “Perquisites” where it says he gets $418,600 for: “an automobile and driver ($188,000), credit card fees ($2,500), and directed charitable contributions ($6,800).” The severance covers two years. He also gets $50,000 for “Outplacement” services.
Of course, Chuang still owns 9.48 million shares of stock. So with Oracle offering to pay $19.375 per share in cach, that $183.675 million should help Chuang get through a couple of lean months — if he’s let go — while those outplacement folks help him find another job.
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