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Cake day: October 31st, 2023

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  • Mr. Altman’s departure follows a deliberative review process by the board, which concluded that he was not consistently candid in his communications with the board, hindering its ability to exercise its responsibilities.

    Normally the board would fire the CEO for dishonesty with just “lost confidence”. It would not cause reputational damage, and it would not be legally consequential.

    Board must think it’s legally important to fire CEO with language that might indicate that Altman has violated his fiduciary duty and they were not aware. Potentially serious reputational or financial damage that Altman should take with him.