S.E.C. looking into Welch's compensation package
According to this New York Times story:
G.E. issued a short news release on its Web site this morning acknowledging that it had received a request from the S.E.C. last Friday for voluntary cooperation in what it termed "an informal investigation" in connection with the employment and post-retirement agreement with Mr. Welch.
"G.E. will cooperate fully with the S.E.C. in connection with this matter," the company said, although it was not immediately clear what the S.E.C. would be looking at. A press spokeswoman for the S.E.C.,, Christi Harlan, declined to confirm or deny whether an investigation was being made, but she said it was the agency's standard practice not to comment on such matters.
In morning trading G.E. shares gained 45 cents to $27.50 on the New York Stock Exchange.
Mr. Welch's post-retirement benefits received close attention after his estranged wife, Jane. B. Welch, filed an affidavit in Superior Court in Bridgeport, Conn., last week indicating that a large amount of their expenses, including a Manhattan apartment, were paid for by the company.
Mrs. Welch is seeking more than the $35,000 a month that Mr. Welch, who headed General Electric for 21 years, has been providing.
I think by some estimates, Jack Welch is worth $900M. But he's providing less than $0.5M a year to his wife?