Westinghouse Electric Co. is asking the bankruptcy court for permission to sever ties with its former CEO Danny Roderick by rejecting his employment contract.
Mr. Roderick, who advanced to a position with Westinghouse’s parent company, Toshiba Corp., in June 2016, had the possibility of returning to the Cranberry-based nuclear firm after the Japanese engagement. But there is already a president and CEO at Westinghouse — Jose Emeterio Gutierrez — and Mr. Roderick, since before the March bankruptcy, “has not and will not provide services” to Westinghouse, according to the company’s filing, it doesn’t want to be on the hook for his 10-year employment contract which runs through 2022.
This wouldn’t be a surprise for Mr. Roderick, who had already filed a claim against Westinghouse for $24 million anticipating that the company would move to reject his contract.
As evidence of his claim, Mr. Roderick attached a mostly redacted copy of his contract with the only legible parts having to do with “termination without cause.”
Westinghouse, on Thursday, sent its employees an e-mail announcing that it has filed to reject Mr. Roderick’s contract after Mr. Gutierrez was asked at a recent all-staff meeting about the former CEO’s status.
Mr. Roderick, who was removed from Westinghouse’s board of directors shortly before the company filed for bankruptcy in March, did come back to the Cranberry headquarters briefly after that to “concentrate on resolving issues” at Westinghouse, Toshiba said at the time. He is no longer in Pittsburgh.
Anya Litvak: firstname.lastname@example.org or 412-263-1455.
First Published October 12, 2017 2:43 PM