DALLAS (AP) — Dell Inc. will pay its former chief executive a severance package including $5 million in cash over the next two years, the computer maker disclosed Tuesday.
Kevin Rollins stepped down on Jan. 31 and was replaced by founder Michael Dell.
Rollins also gave up his director's seat and will leave the company May 4, the Round Rock-based firm said in a regulatory filing. Rollins signed a separation agreement Feb. 13.
Dell has suffered disappointing earnings, a big recall of notebook computer batteries, an accounting investigation and the loss of its market-leading position to rival Hewlett-Packard Co. The company has been buffeted by competition from low-cost personal computers and disappointing sales of its high-end desktops and notebooks.
Rollins joined Dell from the Bain & Co. management consulting firm in 1996. He served as chief operating officer before he took Michael Dell's place as CEO.