NEW YORK (AP) — This year’s flurry of corporate mergers may not pay off for shareholders in the long run, but one thing is for sure: The bosses who are selling their companies will do just fine.The CEOs who’ve decided to sell in the 10 biggest U.S. deals this year are set to rake in an estimated $430 million in “golden parachute” payments, according to a study done by pay-tracking firm Equilar at the request of The Associated Press. Translation: It would take the typical American household 830 years of work to get what the average CEO will receive in one fell swoop.The payoffs are often negotiated when CEOs are hired. They’re designed to compensate chief executives for losing their jobs and years of big pay so they won’t stand in the way of a sale that is good for shareholders.But some critics say the packages are so lavish, they can be an incentive to strike iffy deals.Among the grab-bag of goodies in some packages are selling bonuses, cash for agreeing not to join a rival, severance, cash to help pay taxes, and lump-sum compensation for giving up corporate cars and other corner-office perquisites.
CEOs in 10 big mergers to get $430M