June 4, 2007
Former DaimlerChrysler AG Chief Executive Officer Juergen Schrempp could earn the equivalent of $134 million from the sale of Chrysler Group to Cerberus Capital Management, according to published reports.
The German newspaper Handelsblatt reported that Schrempp, who launched the initial merger between Daimler-Benz AG and Chrysler Corp. in 1998, stands to get about 50 million euros for his stock options when the proposed sale to New York private equity firm Cerberus is completed.
The sale is expected to be completed between July 1 and Sept. 30.
If the stock continues to rise to around 100 euros, as many expect, Schrempp’s payout could be worth 100 million euros, according to the newspaper.
Last month, Cerberus agreed to pay $7.4 billion to buy a controlling stake in the Auburn Hills automaker, effectively ending the nine-year relationship between Daimler and Chrysler.