Golden parachute for John Finnegan is overwhelmingly rejected
Chubb shareholders rejected a deal which would see chief executive John Finnegan walk away with a $80m golden parachute payment.
Despite approving the merger, around 61 per cent of shareholders rejected the deal, which was described by one analyst as ‘eye-popping’.
Finnegan wants a deal whereby if he resigns or is sacked following the merger, he will walk away with a package including a $23m tax reimbursement, $24m in cash and $33m in equity.
KBW analyst Meyer Shields told Bloomberg that Finnegan had created a lot of value for the insurer.
He said: “You could make the argument that compared to that, maybe the golden parachute wasn’t as golden as it could have been. Having said that, it’s still an eye-popping number.”
Having approved the $30bn merger, Finnegan, 66, will soon take up the executive vice chairman role.