We were already pretty sure the rumours were correct, and now the WSJ is corroborating reports that BP CEO Tony Hayward is on his way out.
The BP board is scheduled to meet Monday and Mr. Hayward’s possible departure will be discussed then, these people said. They described the decision to move toward Mr. Hayward’s departure as “mutual.”
Under the plan being discussed, Mr. Hayward would not necessarily depart immediately, these people said, giving the company time to settle on a successor and devise and orderly transition. It is possible, however, that the board could move more quickly in tapping a new chief.
Naturally, the question of his severance is the subject of much speculation and interest.
Here’s what The Telegraph reported earlier:
If the details can be agreed, Mr Hayward will be paid at least £1.045m, equivalent to a year’s salary, on leaving BP but is almost certain to demand more in compensation for agreeing to go for the good of the company where he has worked for 28 years.
Under the terms of his contract, Mr Hayward is entitled to “current salary and benefits” on departure, the latest annual report states. Last year, Mr Hayward earned a total of £4.56m – made up of £1.045m in salary, a £2.09m annual bonus, an £852,000 long-term incentive payment and £440,000 by cashing in 220,000 share options.
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