March 20 Time Warner Cable Chief
Executive Rob Marcus stands to make about $80 million if
Comcast's deal to buy Time Warner Cable closes, according to a
regulatory filing on Thursday.
Marcus will receive about $20 million in cash, a $2.5
million bonus if certain targets are hit and $56.5 million in
Comcast Corp has agreed to buy the No. 2 cable
provider in the United States for $45 billion.
While striking for a CEO who has been in the top job for
barely three months, his "golden parachute" is nothing new in
the rough and tumble of big corporations, where well timed deals
or even firings often bring big payouts for the executives
H.J. Heinz CEO William Johnson, for example, was set to reap
about $56 million in last March after the ketchup maker's
acquisition by Berkshire Hathaway and 3G Capital.
In another instance, Nokia CEO Stephen Elop
received an 18.8 million euro ($25.5 million) termination
payment after he negotiated the sale of its handset business to
Their defenders point to such packages as needed to provide
financial security to executives so they would be open to a deal
without being worried about being out of a job.
Also as part of the Comcast deal, Time Warner CFO Arthur
Minson will get a severance package of about $27 million.
Marcus took over the chief executive position of Time Warner
Cable on Jan. 1 from longtime head Glenn Britt, who retired at
the end of last year as an intense jockeying to buy the company
started to play out. Britt does not receive a golden parachute
in the deal.
Charter Communications, a smaller cable rival
backed by John Malone, launched an aggressive bid to buy the
company for about $37 billion before Comcast swooped in with a
Reuters previously reported in November Marcus' payout
package that has since changed based on the value of Time Warner
(Reporting by Jennifer Saba in New York; Editing by Marguerita