Now that Jon Corzine has a job again (actually, two of them), he can focus on what matters most: being a highly paid executive with a huge golden parachute package.
Footnoted has the details of Corzine’s agreement with MF Global and JC Flowers, a private equity fund that owns 10% of MF Global. Corzine stands to make a base salary at MF Global of at least $1.5 million a year with the option to collect 2.5 million shares of the company if he stays past March 31st of 2011.
Footnoted: His base salary can’t fall below the initial $1.5 million, but it can be increased — and once it is, it can’t fall again.
It takes money to manage all that money, so MF Global will pay up to $200,000 toward Corzine’s tax and financial-planning expenses.
JC Flowers isn’t paying Corzine any salary while he works for MF Global, but he won’t be working for nothing: Under his letter agreement with founder J. Christopher Flowers, he gets a 3.5% “carry percentage” — or cut of the firm’s profits beyond whatever he invested — from any of several funds or related vehicles.