Second time around…

October 1, 2004

It’s funny (maybe sad’s the better word) as to how the same companies keep popping up when it comes to putting corporate executives before investors. Last March, I wrote about how Mercury Air (MAX) had just disclosed a lucrative contract with its Chairman more than two years after the fact. In July, Chairman Philip Fagan retired and according to the K, collected $1.89 million in severance. But when the company announced his retirement back in July, it said Fagan would receive $1.68 million. Now, maybe that’s just an adding mistake, but it’s still a difference of $210,000. In its one paragraph release announcing the retirement, Mercury CEO Joseph Czyzyk, who happens to be a business partner of Fagan’s, noted that the former chairman was instrumental in the company’s recapitalization and the sale of Mercury Air Centers for $76.3 million. But it’s still a lot of money and Mercury owes its investors a better explanation.

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