The sale of Stelco to United States Steel should amply line the pocket of Rodney Mott, chief executive officer of Stelco, when he leaves his post this year.
According to a report in the
, the 55-year-old American, who joined Stelco in April 2006, will cash out through the power of stock options. When he joined the Canadian company, Mott was allowed to buy one-million shares at $5.50 (making him Stelco’s fourth biggest shareholder).
But on Aug. 27, U.S. Steel said Mott and the other shareholders had agreed to support a deal for their stock worth $38.50 a share, says the
. That would leave Mott with a $33-million profit.
Stelco also granted its new CEO more options last year to buy another 1,044,000 shares at the same $5.50 price and while Mott apparently hasn’t exercised those options, when he does, he’ll earn another $34.45 million.
Last year, Mott also collected $562,746 in salary, bonuses and other pay as Stelco improved productivity and attracted interest from foreign companies. He said in the
he will return to North Carolina in the next few months as U.S. Steel will want to install its own top managers.