Stephen Bollenbach, outgoing chief executive of Hilton Hotels, is due for a $125m (£62m) pay-out on completion of the company’s sale to the private equity firm Blackstone Group. Sunday Times
Details of the award emerged on Friday as Hilton revealed it faced a dozen lawsuits from shareholders who claim it breached its fiduciary duties in agreeing to the $26bn takeover. Hilton denies all charges, and says it will ‘vigorously’ defend the suits.
A filing with the Securities and Exchange Commission shows Bollenbach’s vested and unvested stock options are worth $74.5m, his performance share units $13.3m and he has restricted stock units totalling $2.2m.
The Hilton chief executive and co-chairman plans to retire at the end of the year and stands to receive a further $34.7m under a deferred compensation plan, the filing said.
Under the terms of the takeover, Bollenbach and others can cash out their options when the deal closes, which is due to happen in the autumn.