New York Times DealBook: Sovereign Ex-Chief Says His Exit Was ‘Misinterpreted’. When Jay Sidhu resigned as chief executive of Sovereign Bancorp last October amid pressure from investors over his deal-making, the Philadelphia-based bank said he was leaving for “family health reasons.” Later, though, Sovereign disclosed in regulatory filings that Mr. Sidhu had faced “threatened termination by the company without cause.”
I’ve added Sovereign Bancorp Inc. contracts to the site. Items of interest include the “Retirement Agreement” between Sovereign and Jay Sidhu, as well as the Settlement Agreement between Sovereign and Relational Investors. Since when do you threaten to terminate someone, then turnaround and handout a 3 year consulting gig for $40,000 per month? If you’re thinking that he will toiling away for a mere $40,000 a month, think again. “Executive’s duties shall not exceed 40 hours per month of consultation….” Should we all be so lucky.