LOS ANGELES, Sept. 21 (Xinhua) -- Los Angeles-based developer KB Home announced Thursday to cut its CEO Jeffrey Mezger's annual bonus by 25 percent for his dispute with neighbor and comedian Kathy Griffin.
This incident occurred last Saturday and went public on Tuesday after online newspaper Huffington Post released an audio clip recorded by Griffin's boyfriend, in which Mezger can be heard repeatedly using dirty words and calling Griffin a "bitch" after his party at home was complained by Griffin too noisy at night.
The disclosure of Mezger's rant triggered an angry response against the CEO and KB home on social media.
Suze Orman, who was described by herself as "America's most trusted personal finance expert" on Twitter, write on her official page "Disgraceful talk from the CEO of KB HOMES. You really want to buy a home from this man?"
KB Home, known for building high-end homes that can cost upwards of 2 million U.S. dollars each and named "most admired home builder" by Fortune Magazine, clearly wanted to reduce the risk of hurting its brand by Mezger's verbal attack.
In a regulatory filing of Mezger's behavior with the U.S. Securities and Exchange Commission, the company said "He has been a very effective CEO and a great leader for the company. Mr. Mezger has the full and complete confidence of the board. However, Mr. Mezger's recent behavior in his personal dealings with a neighbor is unacceptable and a negative reflection on KB Home."
It also warned that Mezger would be fired if there was another similar incident.
Mezger, who has been CEO of KB Home since 2006 and earned 9 million U.S. dollars in salary and stock awards last year. However, according to the Los Angeles Times, the amount of Mezger's 2017 bonus hasn't been established, and that he hasn't received a bonus at all since 2014, when he got 125,000 U.S. dollars.
Griffin made headlines earlier this year when she posted a photo online showing her holding what was designed to look like U.S. President Donald Trump's bloody, decapitated head. Griffin later apologized for the photo.
