CSX shareholders vote to pay $84 million related to CEO hire

AP News
|
Posted: Jun 05, 2017 12:05 PM

NEW YORK (AP) — CSX says its shareholders have approved an $84 million payment related to the hiring of CEO E. Hunter Harrison.

Harrison was hired as CEO of the railroad company three months ago and had said he would resign if the payment wasn't approved.

Jacksonville, Florida-based CSX says 93 percent of the votes Monday were in favor of making the payment.

Of the $84 million, $29 million will go to Harrison for compensation he earned at his previous employer, Canadian Pacific Railway Ltd., that he had to forfeit in order to join CSX.

The remaining $55 million will go to activist investor and CSX shareholder Mantle Ridge to reimburse it for payments it made to Harrison to get him to come to CSX.