SUNNYVALE, Calif. – Yahoo CEO Marissa Mayer will not be in charge of what is left of the company after its primary business is sold to Verizon. Instead, the investment company called Altaba will be headed by board member Thomas McInerney, Yahoo said in a regulatory filing Monday.
McInerney, 52, is a former executive with Ticketmaster and internet firm InterActiveCorp.
Mayer, 41, would receive a golden parachute of $23,011,325 if she were terminated without cause or for “good reason” of her own after the deal closed, according to a proxy statement Yahoo filed Monday. That figure is lower than the $55 million or $44 million golden parachutes specified for Mayer in previous Yahoo filings, because the payment is based in part on stock options that have vested since the earlier filings, a person familiar with the situation said.
On March 1, Yahoo announced that because of the data breaches, its board had stripped Mayer of her $2 million annual bonus for 2016 and she had forfeited her 2017 annual equity grant of at least $12 million in restricted stock and stock options.
Whether she will have a role in Verizon remains unclear. If she were to be kept on in an operations job, she would not receive the golden parachute.
McInerney is to receive $2 million in annual base salary, double Mayer’s base pay. He’ll also be eligible for a performance-based annual incentive award of another $2 million, plus “long-term deferred compensation” in the form of a grant of up to $24 million after the sale closes, the Monday SEC filing said.
Yahoo and Verizon have said the sale – which had been threatened by revelations of two record-setting hacks of Yahoo users’ personal data – will close between April and June. Yahoo was forced to cut the price by $350 million in the wake of the security breach announcements.
After the sale, Yahoo will become Altaba, managing about $40 billion in assets in Chinese e-commerce giant Alibaba and $9.6 billion in Yahoo Japan, along with some non-core patents not included in the Verizon sale.
Whether Mayer will have any future role in Verizon or Altaba is unclear. According to an SEC filing, she will not sit on the Altaba board.
Other executives named Monday for Altaba’s leadership were Arthur Chong, 63, as chief counsel and secretary, with a $1 million base salary; Alexi Wellman, 46, as chief financial and accounting officer, with a $500,000 base salary; and DeAnn Work, 47, as chief compliance officer, with a $400,000 base salary.