Chesapeake Energy Corp.’s board withheld Chief Executive Officer Aubrey McClendon’s annual bonus after investors criticized the performance and management of the second-biggest U.S. natural gas producer.
Chesapeake Energy CEO Aubrey McClendon will retire effective April 1, according to a company release. Shares of CHK are surging in after-hours trading An internal review found McClendon did not engage in any improper conduct.
Who would have thought? Aubrey McClendon, Chesapeake Energy’s (CHK) founder and only CEO ever, who ran the company like a personal piggy bank despite owning just over 1/4 of 1% of shares outstanding, is finally gone. Ostensibly, Aubrey and the board suffered pangs of “philosophical” differences. Aubrey has for all these many years been chief of the tribe, so taking directions from the board and Carl Icahn probably doesn’t peacefully coexist with his habit of giving orders. It’s tough to be an Indian when you have been the big chief for so long…..More on philosophy in a moment.
Back in May 2012, when Reuters' all out aggressive campaign against Chesapeake Energy was in full swing and the stock was trading around $14 per share, we predicted that contrary to the endless balance sheet bashing there was, in fact, much upside to CHK.