When a high-ranking company official abruptly resigns, many questions arise and Erin Energy Corp (NYSEMKT: ERN) recently had to deal with such a situation. The company’s top accounts official called Adama Traore decided to resign. It was something that many didn’t see coming and even the board apparently didn’t prepare for it. Nevertheless, Erin had to deal with it when it happened.
While Erin Energy Corp (NYSEMKT: ERN) eventually accepted Traore’s resignation letter, it was left with some explaining to do and it recently attempted to address the issue.
What comes out clearly from Erin’s address on the issue of Traore resignation is that the officer and the company didn’t have any disagreements. In other words, Traore just decided it was enough for him at the company and packed his bags and left. That is the official position of the company, but sometimes the market can have its own interpretation and that seemed to have been the case this week when the stock declined.
Beyond Traore, Erin Energy Corp (NYSEMKT: ERN) appears to say it has a life and a mandate to fulfill on behalf of its shareholders. As such, the company recently reported the outcome of its annual shareholder meeting. It said that shareholders approved the selection of seven directors to sit on its board until the next AGM or until the directors resigned or get removed.
Who are those directors?
The seven individual given the mandate to sit on the board of Erin are Lee Patrick Brown, John Hofmeister, DuDu Hlatshwayo, William J. Campbell, Babatunde (Segun) Omidele, Ira Wayne McConnell, and J. Michael Stinson. For clarity, Omidele and Stinson were already directors even before the latest AGM.
Approval of auditor by Erin Energy Corp (NYSEMKT: ERN)
During the recent AGM, Erin’s shareholders also voted in favor of Pannell Kerr Forster of Texas, to be the company’s public accountant.
What transpired in 1Q2016?
Erin Energy Corp (NYSEMKT: ERN) reported 1Q2016 results before it headed to the AGM. For the quarter, the company reported revenue of $4.9 million, a significant gain considering that the company had nil revenue in the corresponding quarter in 2015. EPS loss of $0.15 for the latest quarter also improved from EPS loss of $0.16 in the comparable quarter last year.