Golden parachute

From CNM Wiki
Jump to: navigation, search

Golden parachute is a payment and other benefits made to executives who are forced out when a merger takes place.


Definitions

According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),

Golden parachute. A payment made to executives who are forced out when a merger takes place.

According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),

Golden parachutes. Large payments made to the managers of a target firm if it is acquired.

Related concepts

Related lectures