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Schlumberger to Pay Outgoing CEO $6 Million in Consulting Deal

Schlumberger to Pay Outgoing CEO $6 Million in Consulting Deal

(Bloomberg) -- Schlumberger Ltd.’s Paal Kibsgaard may be leaving his job, but he’ll collect paychecks for years to come.

The outgoing chief executive officer will continue to lift his $2 million annual salary through July 31, 2022, in exchange for providing “certain services” and agreeing not to take a job at a rival, according to a regulatory filing Friday. As part of the deal, he’ll also receive medical and pension benefits, and continue to vest in stock awards he’s previously received.

Schlumberger to Pay Outgoing CEO $6 Million in Consulting Deal

His successor, Olivier Le Peuch, will receive $1.4 million in salary after he takes over the top job on Aug. 1. He’s eligible for an annual bonus of as much as $2.1 million, and a $10.5 million grant of stock that’s tied to performance metrics.

Kibsgaard, who’s also accumulated about $10 million in pension benefits over his 22 years at the company, said Friday that it was important for him to “walk off the stage” as soon as Le Peuch was ready to take over.

Read more: Schlumberger adds shale pioneer Papa, new CEO amid crisis

To contact the reporter on this story: Anders Melin in New York at amelin3@bloomberg.net

To contact the editors responsible for this story: Pierre Paulden at ppaulden@bloomberg.net, Christine Buurma, Carlos Caminada

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