The recent news of the sad and untimely death of Micron's Steve Appleton should have investors asking some rather pointed questions of corporate boards of directors. Foremost among them should be something along the lines of this: if CEOs are truly so essential to the future of a company and so difficult to replace (as is often argued when the subject of CEO pay arises), then why don't boards do more to keep them safe?
Unheeded Warnings and an Untimely Death
Though we do not wish to compound the pain of Mr. Appleton's family, nor trivialize his death, the fact remains that investors had some warning that he enjoyed risk-taking. Appleton was a serious stunt pilot and also enjoyed motocross and off-road racing. After he suffered meaningful injuries in a 2004 stunt plane crash (injuries that arguably were not revealed to investors in a timely fashion), he reportedly told a "USA Today" reporter that, "the older you get, the more risk you should take."
Read more here:
http://www.investopedia.com/financial-edge/0312/CEOs-With-Risky-Lifestyles-Should-You-Care.aspx#axzz1oHxlPY5A
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