U.S. TXU chief to receive 279.3 mln dollars if deal closes: report

TXU Corp. Chief Executive C. John Wilder will receive stock payouts valued at 279.3 million U.S. dollars if a group led by Kohlberg Kravis Roberts & Co. and TPG buys the Dallas utility company, The Wall Street Journal reported on Tuesday.

The sum, detailed in a Securities and Exchange Commission filing, could bring more unwanted attention to TXU as it moves to close a deal with the buyout group that values the company at 32 billion dollars, said the report.

Under the change-of-control provision of Wilder's employment agreement with TXU, stocks he was due to receive under the contract would vest immediately.

The amount also includes stocks held under a deferred-compensation arrangement. All told, at the proposed buyout price of 69.25 dollars, the shares would be valued at 279.3 million dollars, according to the report.

TXU was one of the top performing utility stocks of 2004 and 2005, realizing a 60 percent total return in 2005, but returned far less, 11 percent, last year.

The 279.3 million dollars is on top of the salary and bonus of 10 million dollars Wilder received in 2006.

His base salary was 1.25 million dollars, and he received a bonus of 1.625 million dollars, or 65 percent of the maximum amount permitted under his contract. Most of his compensation is in stock grants that pay out over several years.

Source: Xinhua