Best Buy COO's 'Involuntary Termination' Qualifies Him for Severance: Proxy
Best Buy President-Chief Operating Officer Mike Mohan will qualify for severance for his "involuntary termination" when his role ends July 1 (see 2104300001), said a definitive proxy statement Wednesday for Best Buy's annual meeting to be held virtually June 16.…
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His severance will be calculated from his base salary and "benefits elections" in place the day he departs, it said. Mohan would have qualified for $2.09 million in severance had he been fired at the Jan. 30 close of fiscal 2021, and he will be eligible for a "similar" payout when he leaves in two months, said the proxy. Best Buy's board agreed to pay Mohan $1 million in a single lump sum when he departs "in lieu of fiscal 2022 short-term and long-term incentive compensation," it said. Best Buy separation agreements bind terminated executives to open-ended confidentially, plus one-year noncompete and nonsolicitation clauses, said the proxy. Best Buy hasn't discussed the circumstances of Mohan's impending departure, only that his positions won't be filled and that his duties will be reassigned to other members of the executive leadership team.