Chesapeake Energy did more than change its name following this week’s official merger with Southwestern Energy of Houston.
After being renamed “Expand Energy,” the still-Oklahoma City based company also announced some changes in its leadership. First of all, the company’s board of directors was increased to eleven directors consisting of the seven existing Board members, Domenic J. Dell’Osso Jr., Michael A. Wichterich, Timothy S. Duncan, Benjamin C. Duster, IV, Sarah A. Emerson, Matthew M. Gallagher and Brian Steck, and four new directors, Catherine A. Kehr, John D. Gass, S.P. “Chip” Johnson IV and Shameek Konar, each of whom were members of the board of directors of Southwestern prior to the merger. Wichterich will continue to
serve as the Chairman of the Board.
Upon his or her appointment as a non-employee director of the Company, each of new members, Gass, Johnson and Konar, and Kehr will receive the standard annual benefits paid to each non-employee director of the Company, including: an annual retainer of $80,000, payable quarterly in installments, an annual grant of restricted stock units with a value of approximately $200,000, issued pursuant to the Chesapeake Energy Corporation 2021 Long Term Incentive Plan, as amended from time to time and applicable fees for serving on Board committees.
The terms of non-employee director compensation were disclosed in the Company’s definitive proxy statement for its 2024 Annual Meeting of Shareholders, filed with the SEC on April 26, 2024.
Gass is expected to be appointed to serve on the Environmental and Social Governance Committee and the Nominating and Corporate Governance Committee of the Board. Kehr is expected to be appointed to serve on the Audit Committee of the Board. Johnson is expected to be appointed to serve on the Compensation Committee and the Nominating and Corporate Governance Committee of the Board.
Another executive officer change was announced. As of Tuesday, Oct. 1, Benjamin E. Russ was no longer Executive Vice President and General Counsel and Corporate Secretary of the company. Instead, the board appointed Christopher Lacy as Executive Vice President, General Counsel and Corporate Secretary. Lacy was previously Vice President, General Counsel and Secretary of Southwestern Energy, where he joined the company in 2014 as chief litigation counsel and held various roles of progressively increasing responsibility.
In connection with his appointment, Lacy’s annual
base salary will be at a rate of $490,000 per year, and he will have the opportunity to earn an annual cash performance bonus with a target bonus opportunity of 80% of his annual base salary with an opportunity to earn up to 200% of his Annual Target Bonus based on achievement of certain performance goals established by the Board or the compensation committee.