Tuesday, April 07, 2009
John Devine
According to the Hay Group, a management consulting firm that analyzed proxy statements for companies with annual revenues exceeding $5 billion, the median salaries and bonuses for the top executives of 200 large United States-based companies fell 8.5%...to a mere $2.24 million a year. In addition, long-term incentives, including the value of stock and total direct compensation for the chief executive officers fell 3.4% to a median of just $7.56 million.
Despite criticism, for some CEOs the perks keep flowing. Although media outlets, investors, and the public continue to sear companies for ridiculous executive benefits, many companies still subsidize various benefits for their top executives, including 24/7 personal security, country-club memberships, private jet trips from homes to company meetings, and personal use of corporate-owned retreats. Dana Holding Corp., an auto parts supplier based in Toledo, Ohio, spent $2.3 million in 2008 to fly its CEO, John Devine, and its former CEO, Gary Convis, to and from their homes in California.
-Erika Solanki
CEO Pay Sinks Along With Profits (by Joann S. Lublin, Wall Street Journal)
The Wall Street Journal Survey of CEO Compensation (Wall Street Journal)
For Some CEOs, the Perks Keep Flowing (by Cari Tuna, Wall Street Journal)
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