- Kraft Foods Group Inc. CEO John Cahill could receive a golden parachute worth $19.9 million following Cahill's agreement to sell Kraft to 3G Capital and merge the company with H.J. Heinz Co.
- With the parachute, Cahill will receive more than $9 million in cash and around $10.6 million in equity.
- The parachute goes into effect if Cahill is terminated without good reason within two years of the Heinz deal or if Cahill quits over a reduction in his duties or salary.
Regarding the Heinz merger, Cahill said in March, "Our plan was to really focus on driving, much like 3G has done at Heinz, a much leaner organization with much better decision making. Fortunately, we have this transaction now where we’re bringing in management that can actually have this happen deeper and faster," according to Bloomberg.
As part of being a leaner organization, it's likely that 3G will make a number of job cuts at Kraft similar to what it did for Heinz after acquiring the company in 2013. However, there doesn't appear to be indication Cahill is on the outs.
Cahill came onboard at Kraft in 2012 and was made chairman as the company split from Mondelez International Inc. He was named CEO in December.