Wynn Resorts To Receive $41m Settlement In Derivative Lawsuits

Wynn Resorts has announced that it will receive $41 million ($20 million from Steve Wynn and $21 million from insurance carriers) less certain fees and costs in the consolidated derivative lawsuit filed on behalf of the company.

It has not been found that either the company or its current or former directors and officers have committed any misconduct in connection with the arrangement that is subject to court approval.

The settlement also credits Wynn Resorts with $49 million as a result of enhancements in corporate governance undertaken after the lawsuit was filed and further enhancements agreed upon by the company pursuant to the settlement.

In addition, the company decided to amend its bylaws to include the separation of the Chairman’s and CEO’s position and to stipulate a majority vote of investors for the election or re-election of directors, except in the case of a proxy battle.

The organisation will also introduce 10b5-1 trading policies for its managers and executives keeping $15 million in stock and affirm its existing commitment to diversity by announcing its board’s 50 percent diversity target publicly. Enhanced succession planning has also been introduced for the board and executive officers.