NEW YORK, April 19 Chesapeake Energy Corp's
former Chief Executive Officer, Aubrey McClendon, will
use the company's aircraft for free through 2016 after departing
in the wake of a governance crisis and a liquidity crunch caused
by heavy spending on oil and gas properties.
According to the company's proxy statement filed with
regulators on Friday, Chesapeake also altered the terms of
McClendon's non-competition clause in his employment agreement
to allow him to buy land near where the company operates.
McClendon, who made $16.9 million in cash and stock from
Chesapeake in 2012, left the company on April 1. Chesapeake said
it will transfer a 28.125 percent interest in a Citation X
aircraft to an entity controlled by McClendon until the end of
2016. During this period it will pay all costs, fees and
expenses associated with his stake in the aircraft.
McClendon, who co-founded Chesapeake in 1989, was one of the
first oil and gas executives to recognize the vast potential of
the country's shale basins. But he stepped down as chief
executive after a tumultuous year in which a series of Reuters
investigations triggered civil and criminal investigations of
the second-largest U.S. natural gas producer.
The company said the former executive can acquire oil and
gas interests near Chesapeake operations. But Chesapeake will
have the right to buy McClendon out for the price he paid for
McClendon has created at least two new Oklahoma companies in
the last few months - McClendon Energy Operating LLC and Arcadia
Capital LLC - according to documents filed with the Oklahoma
Secretary of State. The documents did not provide any details
about the nature of the companies.