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Brian MacDonald recently resigned as CEO of the equipment rental division of Hertz after just one year at the post.
But he's not leaving without some cash.
Hertz agreed to pay MacDonald more than $8 million in cash in return for not competing with the rental car giant. In addition, the company says McDonald is due his share of salary and bonus for this year, which was not disclosed.
In a May 21 statement Hertz says MacDonald resigned without explanation as CEO of Hertz Equipment Rental Corp. MacDonald joined Hertz as president and CEO of the equipment rental division in June 2014 and also briefly served as interim CEO of Hertz after Mark Frissora resigned in September. The current CEO of Hertz, John Tague, joined the company in November.
The cash to MacDonald is divvied up in two payments. One is a $5.06 million severance payment. The other is a $3 million payment in lieu of equity awards MacDonald would have been eligible to receive in connection with the spinoff of the rental-equipment subsidiary. Hertz says it remains committed to the spinoff, despite intense debate about it among investors.
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