http://www.bloomberg.com/news/articles/2015-09-23/volkswagen-ceo-likely-to-get-32-million-pension-after-leaving
Martin
Winterkorn, engulfed by a diesel-emissions scandal at Volkswagen AG,
amassed a $32 million pension before stepping down Wednesday, and may
reap millions more in severance depending on how the supervisory board
classifies his exit.
After Winterkorn disclosed Wednesday that he had asked the board
to terminate his role, company spokesman Claus-Peter Tiemann declined to
comment on how much money the departing CEO stands to get. Volkswagen’s
most recent annual report outlines how Winterkorn, its leader since
2007, could theoretically collect two significant payouts.
Winterkorn’s pension had a value of 28.6 million euros ($32
million) at the end of last year, according to the report, which doesn’t
describe any conditions that would lead the company to withhold it. And
under certain circumstances, he also can collect severance equal to two
years of “remuneration.” He was Germany’s second-highest paid CEO last
year, receiving a total of 16.6 million euros in compensation from the
company and majority shareholder Porsche SE.
While the severance package kicks in if the supervisory board
terminates his contract early, there’s a caveat. If the board ends his
employment for a reason for which he is responsible, then severance is
forfeited, according to company filings.
Of course, we all know this isn’t going to happen. How do we know? Well this is how…
The
supervisory board’s executive committee said in a statement Wednesday
that Winterkorn “had no knowledge of the manipulation of emissions
data,” and that it respected his offer to resign and request to be
terminated. It also thanked him for his “towering contributions” to the company.
The annual report also mentions another piece of his pension: He can use a company car in the years that benefit is being paid out.
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