This year’s SEC filed proxy statement just became available at the EDGAR window, after hours tonight. I’ll have much more in the coming days and/or weeks, on this — but Mr. Allin (who theoretically retired voluntarily, and normally, at year end 2015) was granted $1.8 million in cash severance, in addition to all other perks and vestings, related to his normal “retirement.” That is simply… puzzling.
I guess this is one time when that word doesn’t have its usual plain English meaning. “Severance” doesn’t usually come with normal voluntary retirement. Retirement benefits and pensions do — and he is getting truckloads of those. [More on that, soon-ish.]
But not severance — see page 23, of the proxy:
…Includes the following payments and benefits accrued to Mr. Allin in connection with his Transition Agreement, payable to Mr. Allin in the years ending December 31, 2016 and 2017: (i) continued payment of Mr. Allin’s base salary for twenty-four months in an aggregate amount equal to $1,070,000; (ii) a lump sum payment on December 31, 2016 equal to $684,000; (iii) benefit continuation for twenty-four months in an aggregate amount of $21,000; and (iv) outplacement services in the amount of $25,000. See “Employment Arrangements with Executive Officers – Patrick J. Allin” for more information….
[$3,751] Represents the cost of membership to a private club for Mr. Allin….
Crazy. You’ve been warned. Do note the role he played in what is likely to be a boxcar securities non-disclosure settlement or verdict, in the next year or so. Ugh.