Summary
Chesapeake Energy Corporation (the "Company") announced a change to its Board of Directors with the appointment of Luke R. Corbett, effective December 14, 2016. Mr. Corbett will serve on the Audit and Nominating, Governance & Social Responsibility Committees. This appointment is a standard governance development, bringing a new independent director to the board. Investors should note the compensation structure for Mr. Corbett as a non-employee director, which includes an annual retainer of $100,000 and restricted stock units valued at approximately $250,000, granted under the Company's 2014 Long Term Incentive Plan. These awards will be prorated for the remainder of 2016. The filing also discloses a familial relationship between Mr. Corbett and an employee, Grant Loxton (his son-in-law), whose compensation was $342,124 in 2015 and will be detailed in the upcoming proxy statement if required. The Company emphasizes its policy of compensating related employees at market rates.
Key Highlights
- 1Appointment of Luke R. Corbett to the Board of Directors as a non-employee director.
- 2Mr. Corbett will serve on the Audit and Nominating, Governance & Social Responsibility Committees.
- 3Annual compensation for Mr. Corbett includes a $100,000 retainer and approximately $250,000 in restricted stock units.
- 4Awards to Mr. Corbett will be prorated for the remaining term of 2016.
- 5Disclosure of a familial relationship: Grant Loxton, Mr. Corbett's son-in-law, is an employee of the Company.
- 6Grant Loxton's 2015 compensation was $342,124, with 2016 compensation to be disclosed in the 2017 proxy statement if applicable.
- 7The Company states compensation for related employees is based on market rates and approved by the Compensation Committee.