Outgoing Exxon Mobil chief executive Rex Tillerson has recently been elected as President Trump’s Secretary of State. Exxon Mobil owes Tillerson a share of stocks in the company, but he will surrender them and instead receive a cash payment equivalent to their value—more than $180 million. This payment will be placed in an irrevocable trust, which will make distributions to Tillerson over time. Further, Tillerson agreed to sell the 600,000 shares in the company that he currently owns outright. The trustee of the trust will not be allowed to invest in Exxon Mobil stock and must manage the assets in a way consistent with the government ethics rules.
See John McGregor, Trump’s Secretary of State Pick Will Receive Nest Egg Worth $180 Million, Placed in a Trust, Wash. Post, January 4, 2017.
