Duke Energy Agrees to $27 Million Accord on CEO-Ouster Claim
- Power provider will hand over insurance coverage to fund deal
- Directors accused of plotting to oust Johnson after merger
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Duke Energy Corp. agreed to a $27 million settlement of claims that directors wrongfully concealed their plan to fire Chief Executive Officer William Johnson just minutes after the company closed on its $13.7 billion merger with Progress Energy Inc.
Duke Energy agreed to settle multiple suits over Johnson’s removal after a judge concluded Sept. 1 that its board members must face accusations they acted in bad faith by hiding plans to oust ex-Progress CEO Johnson from shareholders and regulators so they could install Duke Energy CEO James Rogers as the merged company’s top executive. Charlotte, North Carolina-based Duke Energy is the second-largest U.S. utility owner by market value.