(Reuters) - Chesapeake Energy Corp , under growing pressure from shareholders to improve corporate governance, reduced the compensation for its outside directors by 20 percent and eliminated their use of its aircraft for personal travel, the company said on Friday.
The natural gas producer said its outside directors will receive total annual compensation of $350,000, comprised of a $100,000 cash component and a $250,000 equity component.
Chesapeake and its board have come under fire in recent weeks after Reuters reported, among other things, that Chesapeake CEO Aubrey McClendon had taken out more than $1 billion in previously undisclosed loans using his interest in company wells.
The source of the executive's financing, EIG Global Energy Partners, also has big investments in Chesapeake, a situation that analysts and academics argue could put the executive's interest ahead of his shareholders.
Earlier this week, Chesapeake shareholders have asked a judge to delay the June 8 annual meeting, arguing more disclosures are needed about McClendon's loans and pay.
New York Comptroller John Liu on Thursday urged shareholders to withhold support for the two Chesapeake directors up for re-election, Richard Davidson and Burns Hargis.
(Reporting By Matt Daily in New York and Anna Driver in Houston; Editing by Bob Burgdorfer)
