Chesapeake's McClendon to get $11.7 million in cash compensation

Thu Jan 31, 2013 6:46am EST

Chief Executive Officer, Chairman, and Co-founder of Chesapeake Energy Corporation Aubrey McClendon walks through the French Quarter in New Orleans, Louisiana March 26, 2012. REUTERS/Sean Gardner

Chief Executive Officer, Chairman, and Co-founder of Chesapeake Energy Corporation Aubrey McClendon walks through the French Quarter in New Orleans, Louisiana March 26, 2012.

Credit: Reuters/Sean Gardner

(Reuters) - Chesapeake Energy Corp (CHK.N), the second-largest natural gas producer in the United States, said outgoing Chief Executive Aubrey McClendon would receive about $11.7 million in cash compensation over four years.

The company also said McClendon's departure would be treated as a termination without cause. link.reuters.com/xek65t

The compensation is based on an annual base salary of $975,000 and a bonus compensation of $1.95 million, the company said in a filing with securities regulators.

Chesapeake said on Tuesday McClendon will step down on April 1, after a tumultuous year in which a series of Reuters investigations triggered civil and criminal probes of the company.

McClendon is entitled to total compensation of about $47 million, including restricted stock awards already given to him that have a value of $33.5 million, Reuters reported on Tuesday, citing a person familiar with the compensation package.

(Reporting by Krishna N. Das; Editing by Sriraj Kalluvila)

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