BP CEO talking departure en route to pricey pension

The Sunday Times reports that Tony Hayward will likely leave the oil giant after the leak gets sealed

Topics: Gulf Oil Spill, David Vitter, Environment, Mary Landrieu, D-La., New Orleans,

BP chief executive Tony Hayward is negotiating the terms of his departure ahead of the oil company’s results announcement, British media said Sunday. BP said Hayward retained the confidence of the board and management.

Citing unidentified sources, the BBC and Sunday Telegraph said detailed talks regarding Hayward’s future had taken place over the weekend. The BBC said a formal announcement on Hayward’s exit is expected in the next 24 hours; the Telegraph said it would be made in the next 48 hours.

The Sunday Times reported directors are “considering a plan under which (Hayward) would leave as soon as the ruptured well is sealed.”

Hayward, 53, has come under heavy criticism for his leadership following the April 20 fire and explosion on the Deepwater Horizon in the Gulf of Mexico. He has repeatedly apologized and expressed sorrow for the oil leak, but in May, he shocked some U.S. residents when he said “I’d like my life back,” and weeks later went yachting.

BP is due to release its second quarter results on Tuesday, and the board of directors is scheduled to meet before the earnings announcement.

Asked about the reports, company spokesman Toby Odone said, “Tony Hayward remains BP’s chief executive, and he has the confidence of the board and senior management.”

Robert Dudley, who is currently heading the effort to clean up the Gulf Coast, is mentioned by many as Hayward’s likely successor. Dudley is currently BP’s managing director, and grew up partly in Hattiesburg, Mississippi. He spent 20 years at Amoco Corp., which merged with BP in 1998, and lost out to Hayward on the CEO’s slot three years ago.

He took over from Hayward as the point man on the cleanup in June. Last week, BP said the cost of dealing with the spill had reached nearly $4 billion, but that it was too early to quantify the eventual total cost.



Hayward joined BP in 1982 as a geologist, and currently makes 1.045 million pounds (US$1.6 million) a year as the company’s head, according to their annual report. In 2009, he received a performance bonus of more than 2 million pounds plus other remuneration, bringing his total pay package to over 4 million pounds.

The company can terminate the contracts of directors “at any time with immediate effect on payment in lieu of notice equivalent to one year’s salary,” the report says.

Hayward has a pension pot of about 10.8 million pounds (US$17.3 million), which would pay 584,000 pounds a year upon retirement.

More Related Stories

Featured Slide Shows

  • Share on Twitter
  • Share on Facebook
  • 1 of 13
  • Close
  • Fullscreen
  • Thumbnails
    Clare Barboza/Bloomsbury

    Uncommon Apples

    Api Étoile

    Like little stars.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Calville Blanc

    World's best pie apple. Essential for Tarte Tatin. Has five prominent ribs.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Chenango Strawberry

    So pretty. So early. So ephemeral. Tastes like strawberry candy (slightly).

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Chestnut Crab

    My personal fave. Ultra-crisp. Graham cracker flavor. Should be famous. Isn't.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    D'Arcy Spice

    High flavored with notes of blood orange and allspice. Very rare.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Esopus Spitzenberg

    Jefferson's favorite. The best all-purpose American apple.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Granite Beauty

    New Hampshire's native son has a grizzled appearance and a strangely addictive curry flavor. Very, very rare.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Hewes Crab

    Makes the best hard cider in America. Soon to be famous.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Hidden Rose

    Freak seedling found in an Oregon field in the '60s has pink flesh and a fragrant strawberry snap. Makes a killer rose cider.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Knobbed Russet

    Freak city.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Newtown Pippin

    Ben Franklin's favorite. Queen Victoria's favorite. Only apple native to NYC.

    Clare Barboza/Bloomsbury

    Uncommon Apples

    Pitmaston Pineapple

    Really does taste like pineapple.

  • Recent Slide Shows

Comments

0 Comments

Comment Preview

Your name will appear as username ( settings | log out )

You may use these HTML tags and attributes: <a href=""> <b> <em> <strong> <i> <blockquote>