Maiden CEO paid $2.2mn on departure

Former Maiden CEO Art Raschbaum, who retired from the company on 1 September, will receive a cash lump sum of $2.2mn as part of his separation agreement.

The executive announced in August he would retire “for personal reasons” as the company reported a Q2 loss, triggering a period of steep share price declines.

The firm is reliant on a quota-share deal with AmTrust for most of its revenue and has in recent months considered several strategic options to safeguard its future.

Maiden on 31 August agreed to sell the run-off of its North American diversified reinsurance business to Enstar for $308mn after announcing the sale of the renewal rights to TransRe.

It has set a 31 January deadline to decide whether to continue with the giant quota-share arrangement it has with AmTrust.

Alongside the departure of Raschbaum, the company announced that CFO Karen Schmitt would retire on 1 March 2019.

According to documents filed with the US Securities and Exchange Commission last night, Raschbaum has forfeited all equity and incentive awards outstanding as of the retirement date.

The cash lump sum payment accounts for all amounts owed to the executive, whether under his employment agreement, equity and incentive awards or otherwise, according to the filing.