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Carlyle agrees to pay ex-CEO Lee $3.3 million as severance payment

November 08, 2022 at 07:11 pm EST

NEW YORK (Reuters) - Carlyle Group Inc has agreed to make $3.34 million in severance payments to its former chief executive Kewsong Lee, as part of an agreement that brings to a formal end his tenure at the helm of the private equity firm, regulatory filings showed on Tuesday.

In August, Lee abruptly stepped down as Carlyle CEO after its board, controlled by the group's founders, unexpectedly declined to renew his contract, which was set to expire at the year's end.

Carlyle said it will pay Lee $1.405 million as base salary and bonus as well as $1.95 million as stock dividends as a part of the separation agreement that terminates at the end of this year. The Washington, D.C.-based firm also agreed that most of Lee's restricted stock options would be allowed to vest between November and February next year.

As Carlyle CEO, Lee earned a total compensation of $43.3 million in 2021, consisting of a $5.5 million cash bonus, $36 million in stock awards, $275,000 as base salary, and $437,245 as carried interest.

William Conway, a Carlyle co-founder and board member, was named as the firm's interim CEO following Lee's departure. Conway said on Tuesday the firm is still searching for a permanent CEO.

(Reporting by Chibuike Oguh in New York; editing by Stephen Coates)

By Chibuike Oguh

Kewsong Lee

Kewsong Lee is Chief Executive Officer & Director at The Carlyle Group, Inc. and President at Vivian Beaumont Theater, Inc. and on the board of 7 other companies. In his past career he occupied the position of Partner at Warburg Pincus & Company US LLC and Partner at Warburg Pincus LLC (a subsidiary of Warburg Pincus & Company US LLC). Mr. Lee received an MBA from Harvard Business School and an undergraduate degree from Harvard College.

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Carlyle Investment Management LLC Carlyle Investment Management LLC Investment ManagersFinance Carlyle Investment Management LLC provides investment advisory services. It provides retail insurance and investment services across the US. The company's life insurance products include universal life insurance, term life coverage, and variable annuities. It was founded in 2007 and is located in Washington, DC.	Chief Executive Officer
Vivian Beaumont Theater, Inc. Vivian Beaumont Theater, Inc. Movies/EntertainmentConsumer Services Lincoln Center Theater provides box office, membership, and gallery information. It offers playwrights program directors lab, open stages, an arts-in-education program operated in cooperation with New York City public schools. The company was founded by Eero Saarinen on October 21, 1965 and is headquartered in New York, NY.	President

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