HOUSTON, May 12, 2016 /PRNewswire/ -- Cheniere
Energy, Inc. ("Cheniere") (NYSE MKT: LNG) announced today that its
Board of Directors has appointed Jack A.
Fusco as President and Chief Executive Officer, effective
immediately. Mr. Fusco succeeds Neal A.
Shear, who has served as Cheniere's interim President and
Chief Executive Officer since December
2015. Mr. Fusco joins Cheniere from Calpine Corporation,
where he most recently served as Executive Chairman of the Board of
Directors.
"Jack has spent over thirty years in the energy industry and has
significant experience leading companies with large-scale,
asset-intensive portfolios and implementing corporate strategies
focused on capital allocation, strategic developments and
optimizing shareholder value. This experience will translate
well as we make our transition into one of the top global LNG
companies with a platform substantially underpinned with long-term
sale and purchase agreements," said G.
Andrea Botta, Chairman of the Board.
Mr. Botta continued, "The Board of Directors would like to thank
Neal for his leadership during his term as interim President and
CEO. During this period, Cheniere began exporting LNG from the
first train completed at Sabine
Pass; construction of the additional trains continues on
time and on budget. Neal will continue to serve on the Board of
Directors and will be a special advisor to the CEO, ensuring an
orderly transition."
"Cheniere is well-positioned for success as a global LNG market
leader and I look forward to building upon the many successes
achieved to date. Our priorities will be focused on continued
execution and completion of the LNG trains, both under construction
and under development, and further commercialization of our LNG
portfolio," said Mr. Fusco. "Finally, I look forward to working
with the Cheniere team as we seek to create long-term value for our
shareholders."
Most recently, Mr. Fusco served as Chief Executive Officer and a
member of the Board of Directors of Calpine from August
2008 to May 2014 and as
Executive Chairman from May 2014
through May 11, 2016. Mr. Fusco was
recruited by Calpine's key
shareholders in 2008, just as that company was emerging from
bankruptcy. Calpine is now
America's largest generator of electricity from natural gas, safely
and reliably meeting the needs of an economy that demands cleaner,
more fuel-efficient and dependable sources of electricity. As CEO
of Calpine, Mr. Fusco managed a
team of approximately 2,300 employees and led one of the largest
purchasers of natural gas in America, a successful developer of new
gas-fired power generation facilities and a company that has
prudently managed the inherent commodity trading and balance sheet
risks associated with being a merchant power producer. He will
continue to serve as a director on the board of Calpine.
Mr. Fusco's career of over thirty years in the energy industry
began with his employment at Pacific Gas & Electric Company
upon graduation from California State
University, Sacramento with a Bachelor of Science in
Mechanical Engineering in 1984. He joined Goldman Sachs thirteen
years later as a Vice President with responsibility for commodity
trading and marketing of wholesale electricity, a role that led to
the creation of Orion Power Holdings, an independent power producer
that Mr. Fusco helped found with backing from Goldman Sachs, where
he served as President and Chief Executive Officer from 1998-2002.
In 2004, he was asked to serve as Chairman and Chief Executive
Officer of Texas Genco LLC by a group of private institutional
investors, and successfully managed the transition of that business
from a subsidiary of a regulated utility to a strong and profitable
independent company, generating a more than 5-fold return for
shareholders upon its merger with NRG in 2006.
Cheniere has granted one-time employee inducement awards of
236,381 restricted shares to Mr. Fusco as of May 12, 2016.
Under Mr. Fusco's employment agreement with the company, he has
agreed to purchase $10,000,000 worth
of Cheniere's common shares by no later than December 31, 2016.
The aforementioned inducement awards have been approved by
Cheniere's compensation committee without shareholder approval as
an "employee inducement" award under Section 711(a) of the NYSE MKT
LLC Company Guide. This press release is made in compliance with
Section 711(a) of the NYSE MKT LLC Company Guide. The employee
inducement awards were issued as a material inducement to Mr.
Fusco's entering into employment with Cheniere under and pursuant
to the Company's 2015 Employee Inducement Incentive Plan and
applicable award agreements. The restricted shares vest 25% on
December 31, 2016 and 75% in equal
installments every six months through the third anniversary of the
grant date subject to Mr. Fusco's continued employment; provided
that up to 152,812 of the restricted shares vest on Mr. Fusco's
termination of employment due to disability or death, and the
portion of the restricted shares scheduled to vest within one year
following a termination of Mr. Fusco's employment by the Company
without "cause" or by Mr. Fusco for "good reason" (as those terms
are defined in Mr. Fusco's employment agreement) continue to vest
notwithstanding Mr. Fusco's termination.
About Cheniere Energy, Inc.
Cheniere Energy, Inc., a Houston-based energy company primarily engaged
in LNG-related businesses, owns and operates the Sabine Pass LNG
terminal in Louisiana. Directly
and through its subsidiary, Cheniere Energy Partners, L.P.,
Cheniere is constructing and developing liquefaction projects near
Corpus Christi, Texas and at the
Sabine Pass LNG terminal, respectively. Cheniere is also exploring
a limited number of opportunities directly related to its existing
LNG business. For additional information, please refer to the
Cheniere website at www.cheniere.com and Quarterly Report on Form
10-Q for the quarter ended March 31,
2016, filed with the Securities and Exchange Commission.
This press release contains certain statements that may include
"forward-looking statements" within the meanings of Section 27A of
the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. All statements, other than statements of
historical fact, included herein are "forward-looking statements."
Included among "forward-looking statements" are, among other
things, (i) statements regarding Cheniere's business strategy,
plans and objectives, including the development, construction and
operation of liquefaction facilities and its intent to transition
into an operating company with stable and growing positive cash
flow underpinned by long-term offtake agreements with investment
grade energy companies worldwide, (ii) statements regarding
expectations regarding regulatory authorizations and approvals,
(iii) statements expressing beliefs and expectations regarding the
development of Cheniere's LNG terminal and pipeline businesses,
including liquefaction facilities, (iv) statements regarding the
business operations and prospects of third parties, (v) statements
regarding potential financing arrangements and (vi) statements
regarding future discussions and entry into contracts. Although
Cheniere believes that the expectations reflected in these
forward-looking statements are reasonable, they do involve
assumptions, risks and uncertainties, and these expectations may
prove to be incorrect. Cheniere's actual results could differ
materially from those anticipated in these forward-looking
statements as a result of a variety of factors, including those
discussed in Cheniere's periodic reports that are filed with and
available from the Securities and Exchange Commission. You should
not place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. Other than as
required under the securities laws, Cheniere does not assume a duty
to update these forward-looking statements.
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SOURCE Cheniere Energy, Inc.; Cheniere Energy Partners, L.P.;
Cheniere Energy Partners LP Holdings, LLC