According to documents filed with the SEC today by Yahoo, CEO Marissa Mayer will receive “golden parachute compensation” totaling over $23 million when Verizon successfully closes its buyout of Yahoo’s internet properties. That payout will be a mixture of cash (around $3 million), equity, and benefits.
“The values in this column represent the cash payments to which the executive officer would be entitled under either the change-in-control plan or under the severance agreement, whichever is greater,” the document reads, suggesting that a few dominos would need to fall in order for Mayer to receive that severance.
When the Verizon/Yahoo transaction is finalized, the remaining Altbaba company — what’s left out of the $4.48 billion all-cash deal — will hold significant stakes in Chinese retailer Alibaba and Yahoo Japan. Mayer never had any intention of remaining with that business; Yahoo already announced she would step down as a board director once the acquisition is completed.
Exactly how long Mayer plans to remain at a Verizon-owned Yahoo hasn’t been specified. Upon announcing the massive deal (which has since seen its sale cost reduced by $350 million) last July, Mayer said “For me personally, I’m planning to stay. I love Yahoo, and I believe in all of you. It’s important to me to see Yahoo into its next chapter.” Mayer has been compensated over $150 million during her tenure as CEO.
In early March, Mayer revealed that her annual bonus and equity stock grant would be distributed to Yahoo employees as a gesture of thanks for their hard work throughout Yahoo’s two bruising security breaches. General counsel and secretary (a.k.a. Yahoo’s head lawyer) Ron Bell “resigned” as of March 1st and Yahoo’s documents note that “no payments are being made to Mr. Bell in connection with his resignation or otherwise in connection with the sale transaction.”