Wynn Resorts expands board of directors, adds 3 women

Las Vegas-based Wynn Resorts expanded its board of directors Wednesday to 11 members, with the appointment of three women.

The appointments bring the number of women on the board to four, and Chairman D. Boone Wayson said the company intends to add new directors in coming months.

The changes come months after shareholders filed lawsuits alleging breach of fiduciary duties against board members following a news report on sexual misconduct allegations against founder Steve Wynn.

Wynn resigned as chairman and CEO and later sold his company shares after the Wall Street Journal reported that several women said he harassed or assaulted them and that one case led to a $7.5 million settlement. He denies the allegations.

Wynn has filed a defamation lawsuit against The Associated Press for its reporting on a separate allegation made to police.

Wynn Resorts disclosed in a securities filing this week that Wynn agreed to pay his ex-wife, Elaine Wynn, $25 million in a settlement ending the final piece of a civil case dating to 2012.

Among the issues in dispute was Elaine Wynn’s allegation that she had been unfairly removed from the board by her ex-husband and others in 2015 because of her inquiries into company activities.

She regained control of her stake in the company last month after a shareholders agreement saying the former couple would vote jointly on company matters was deemed invalid by a judge. She is now the largest shareholder in Wynn Resorts.

Elaine Wynn asked Wynn Resorts on Tuesday to reopen for at least 60 days the window during which shareholders can nominate directors to the board. In a letter to the board, she said the company’s “governance structure needs to be reformed” and the board reconstituted.

She indicated she does not intend to nominate herself or anyone closely associated with her.

Elaine Wynn asked the directors to take the necessary steps to allow for “a majority of the board to be comprised of new directors effective at the company’s 2018 annual meeting,” which is scheduled for May 16. She said some directors have served more than 15 years.