It seems this was an underestimation. In US-listed companies, an extramarital affair between a CEO and a female subordinate is an extremely serious and egregious offense, akin to a professional killer, and goes beyond mere personal morality. The American corporate world, especially large public companies, has extremely low tolerance for private relationships between senior executives and subordinates. Boards typically act swiftly on the grounds of governance and reputation, rather than simply on performance issues. A review of the past two decades shows that whenever a CEO of a US-listed company is exposed for having an extramarital affair with a female subordinate, once confirmed, these CEOs are almost always either dismissed or resign voluntarily.