Indianapolis - hhgregg has received a $40 million insurance proceed following the death last month of Jerry Throgmartin.
According to a filing with the Security & Exchange Commission, the payment was related to a "key man" life insurance policy that the company held on its executive chairman and former CEO. Of the $40 million, about $600,000 will be paid as severance to Throgmartin's personal estate over two years in accordance with the terms of his employment agreement, and the remaining $39.4 million will be used by the company for general corporate and working capital purposes. The chain does not expect to record any tax expense related to the insurance proceeds.
Separately, John Henry Powell, a former president of Conn's, died this past Monday at the age of 85. According to The Beaumont Enterprise, the hometown newspaper of Beaumont, Texas-based appliance, CE and furniture chain, Powell first joined the company in 1952. Following a stint with the Gulf Store chain, he rejoined Conn's and succeeded C.W. Conn, Jr. as president in 1977.