Yahoo Inc chief Marissa Mayer will get $55 million severance package if the company’s auction of its Internet operations culminates in a sale that expels her from her job.
Yahoo’s CEO Marissa Mayer Gets $55 Million To Leave The Company
The payout revealed in a regulatory filing on Friday contains cash, stock awards and other benefits that the Mayer would get if she is forced to expel from her job. However, Mayer would get this money only after she will be forced to leave her job.
Mayers regular payout includes cash severance of $3 million, $26,324 for her health benefits, $15,000 for outplacement.
Yahoo has about 10 bidders in the waiting list for the auction of its internet operations, it also includes Verizon Communications Inc. The most offers which the Yahoo is getting is cash rather than integrating Yahoo with another company, according to the people close with the company.
The companies in the waiting list mostly include large companies and some big private firms including TPG Capital LP and debars small companies that suggested integration with the company like Yellow Pages owner of YP LLC, according to the people.
Yahoo’s board is still analysing acquiring offers. The company will sell its noted Internet operations to a well known brand.
A former executive of Google, Mayer seeked to turn around Yahoo however embraced only small success. Shareholders never took kindly to her approach and are now opposing the severance payout of Mayer.
“I don’t think this management team has done anything to merit a huge payout,” said Eric Jackson, managing director of SpringOwl Asset Management, a Yahoo shareholder critical of Mayer’s leadership.
However, Yahoo hasn’t yet scheduled time for the decision to handle their Internet assets to another owner. Analysts predict that deal could take place with the next two months for about $4 Billion – $10 Billion.