In a filing with the U.S. Security and Exchange Commission Thursday, McDonald’s criticized Easterbrook for his “misconduct, lies and attempts to obstruct investigations into his actions” and that the settlement is the best way forward.
“This settlement holds Steve Easterbrook accountable for his apparent misconduct, including the manner in which he exploited his position as CEO,” Enrique Hernandez, Jr., the chairman of the McDonald’s board of directors, said in the file. “The resolution avoids a lengthy legal process and allows us to move forward.”
Easterbrook admitted in the SEC filing that he “at times failed to uphold McDonald’s values and fulfill certain of my responsibilities as the company’s leader.” He also apologized to the company’s board of directors, former employees, and the company’s franchisees and suppliers.
The total amount of his severance payment is $105 million in cash and stock. However, it is not clear how much of that is stock or cash.
McDonald’s lawsuit says the company was tipped off in July about Easterbrook’s other relationships with employees, and opened a new investigation that found evidence of three sexual relationships.
Evidence for those relationships came in the form of “dozens of naked, partially naked, or sexually explicit photos and videos of various women,” according to the lawsuit, including photos of the three employees. Easterbrook is said to have added the images to emails he sent to his personal account from work.