Wal-Mart to pay former exec Coughlin $6.75 million
NEW YORK (Reuters) - Wal-Mart Stores Inc (WMT.N) will pay former vice chairman Tom Coughlin $6.75 million to settle a dispute over his retirement package after the executive admitted to taking money from the company.
Wal-Mart said in a regulatory filing on Thursday it reached a settlement with Coughlin ahead of a trial set to begin this week on the retirement benefits.
In return, Coughlin will forego all outstanding rights and any unpaid benefits from the company, which it estimated at about $17 million, excluding health benefits, according to a filing with the U.S. Securities and Exchange Commission.
"We're satisfied that the settlement is fair to both parties and are ready to put this one behind us," Wal-Mart spokeswoman Daphne Moore said earlier on Thursday.
A lawyer for Coughlin could not immediately be reached for a comment.
Coughlin pleaded guilty to wire fraud and tax evasion in 2006, admitting he stole thousands of dollars from the world's biggest retailer to upgrade his truck, pay for hunting rights and buy beer.
He resigned from Wal-Mart in 2005 following an internal investigation into improper use of gift cards and other expenses. Wal-Mart accused Coughlin of misappropriating as much as $500,000 in company funds to buy personal items.
Coughlin joined Wal-Mart in 1978 and worked closely with legendary founder Sam Walton.
(Reporting by Nicole Maestri and Michele Gershberg; Editing by Braden Reddall and Andre Grenon)
