Former McDonald’s Corp.
MCD,
Chief Executive Steve Easterbrook agreed to return compensation now valued at more than $105 million to resolve a legal dispute related to his dismissal as head of the burger chain, the company said Thursday.
The settlement, which allows McDonald’s to move past a scandal that has weighed on it for more than two years, also includes an apology from Mr. Easterbrook.
The ex-CEO has returned company stock and cash currently valued at more than $105 million that was allotted to him after he was dismissed in November 2019 when he acknowledged having a consensual relationship with an unnamed employee, McDonald’s said. Less than a year later, the company sought to recoup the severance through legal action. The settlement avoids a trial against the former top executive that was slated to begin in Delaware Court of Chancery in May.
Mr. Easterbrook said in a statement: “McDonald’s and its Board of Directors value doing the right thing and putting customers and people first. During my tenure as CEO, I failed at times to uphold McDonald’s values and fulfill certain of my responsibilities as a leader of the company.”
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