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The New York Times Executive Pay Special Issue April 2, 2010
"Federal filings already tell investors how much top executives make. The median salary of a Standard & Poor's 500 chief executive last year was $1.025 million, and the median total pay package including bonuses and nonsalary income was $7.5 million, according to Equilar, an executive compensation research firm. The median pay of private-sector workers in the United States was about $30,000 in 2008, the most recent year of data. With benefits added in, that comes to roughly $36,000. "
"S&P 500 chief executives last year received median pay packages of $7.5m, according to executive compensation research firm Equilar. By comparison, official statistics show the average private sector employee was paid just over $40,000."
"The $1,025,000 median salary of an S&P500 chief executive last year, according to the Equilar analysis, is 25 times the $40,174 that official statistics show was paid to the average US private sector employee. The chief executive's $7.5m median total pay package, including bonuses and stock options, is 187 times that average private sector pay and some 19 times President Barack Obama's basic $400,000 salary."
"Indeed, several other companies have recently lowered their bonus thresholds. In fact, this move was listed as a trend in Equilar's Bonus Plan Design for 2010 report."
"For the nation's top chief executives, much is at stake -- in 2009, the median total compensation for S&P 500 CEOs was roughly $7.5 million, down from approximately $8.2 million in 2008, according to Equilar Inc., a Redwood City, Calif., based executive compensation research firm."
"For the nation's top chief executives, much is at stake. In 2009, the median total compensation for chief executives whose companies are in the Standard & Poor's 500 index was roughly $7.5 million, down from approximately $8.2 million in 2008, according to Equilar Inc., a Redwood City, Calif., executive compensation research firm."
"A 60% pay decrease sounds like a steep cut, but these top bankers are still earning millions each year. According to the pay research firm Equilar, the average pay for a bank CEO fell from $14 million in 2008 to $6 million in 2009. One reason for the pay decreases was the controversy and anger sparked by the executive bonuses granted during the financial crisis. When Americans and the British found out how much bankers were making in bonuses, public outcry motivated regulators to try to limit the amount of money executives could earn."
"Bonuses have rebounded to near boom-era levels. Last year, Credit Suisse's US-born chief executive, Brady Dougan, took home some £11.4m in salary and other benefits - almost six times his 2008 package, according to the study by research firm Equilar."
"Across the banks surveyed, average chief executive pay dropped to $6m in 2009, down from nearly $14m in 2008, according to the analysis by Equilar, the pay research firm."
"According to a recent study on executive stock ownership by Equilar, the percentage of Fortune 250 companies with holding requirements has soared from 29% to over 40% in the past four years. Furthermore, 84% now have publicly disclosed ownership policies (up from 82% last year) and 80% of Fortune 250 companies have ownership guidelines, up from 78% in 2008."
"The FT survey reveals that, while many bank chief executives accepted vastly reduced payouts in an effort to defuse mounting public and political anger, those cuts were far from universal. According to data compiled for the FT by Equilar, the executive compensation research firm, CEO pay at 17 leading US and European banks dropped 57 per cent, from an average of $14m in 2008 to just over $6m in 2009."
"Across the banks surveyed, average chief executive pay dropped to $6m in 2009, down from nearly $14m in 2008, according to the analysis by Equilar, the pay research firm."
"Equilar noted that companies did still continue to issue performance-based equity awards. On July 1, for example, Microchip Technology granted restricted stock units to seven executives with the following performance-related footnote:
'The restricted stock units will vest in full on Aug. 15, 2014, as long as the individual remains a service provider through the vesting date and the Company achieves performance targets for operating profit in the quarter ended Sept. 30, 2010. Vested shares will be delivered to the reporting person upon vest.'
"
"Total compensation is calculated as the sum of base salary, discretionary and performance-based cash bonuses, the grant-date fair value for stock and option awards during the fiscal year, and other compensation like benefits and perks. Stock performance represents the total shareholder return for the twelve months ending December 31, 2009 unless otherwise noted. Equilar, an executive compensation research firm, looked only at CEOs at the 100 largest public U.S. companies as measured by revenue. Pay data based on companies' fiscal year end of Dec. 2009 unless otherwise noted."
"That pales in comparison to top Lehman executives like Fuld, who took home an estimated $466 million in compensation between 1993 and 2007, according to Equilar, a compensation research firm. Fuld was awarded $22 million for 2007, the year before the firm’s bankruptcy. Still, it was well above the median household income in Ohio of about $48,000."
"Multi-million dollar parting gifts for CEOs are not uncommon, even when the chief executives leave the company under less-than-pleasant circumstances. CNBC asked executive compensation research firm Equilar to calculate the dollar value of some of the most high-profile golden parachutes."
"Retention requirements are also rising. About 40 percent of the 237 companies Equilar studied in its recent report disclosed some form of holding requirement in 2009. In 2006, Boyd says, that figure was only 29 percent. He partly attributes the increase to the stock market crash of 2008-09, when falling stock prices resulted in some companies seeing their executives’ holdings fall below their target ownership level."
"According to a recent Equilar Inc. study, bonuses and all other compensation besides actual pay had taken a hit among the Fortune 100 companies, declining between 2008 and 2009 by close to one-third, from a median value of around $340,000 to about $250,000. Any perks-such as use of company aircraft-decreased by close to 20 percent."
"Hewlett-Packard's former CEO Mark Hurd is walking away with severance and other grants worth an estimated $34.5 million-a number that could rise to more than $40 million, according to compensation experts. Source: Equilar, an executive compensation research firm."
"Among Fortune 500 CEOs, Gemunder's pension and deferred compensation of more than $91 million is the fifth highest, according to data from Equilar, an executive compensation research firm in Redwood City, Calif."
"The 11 outside directors of Phoenix, Arizona, waste-management goliath Republic Services collected an average of $838,700 each last year, placing them firmly at the top of 2009’s best-paid board members among S&P 500 companies, according to an analysis by Equilar Inc., an executive-compensation research firm in Redwood Shores, California."
"Under the new incentive plan, CFO David DeVoe will receive a cash bonus of $5 million for 2011, with the possibility of double that on the back of strong company results. Plus, he has a stock-based compensation package valued up to $2.5 million. Last year DeVoe received incentive plan bonuses of $2.2 million and stock awards of $2.7 million, according to research from Equilar."
"'The drop in pay has primarily been driven by the equity component of pay,' says Aaron Boyd, head of research for Equilar Inc., which compiled the HR Elite ranking exclusively for Human Resource Executive®. 'Since many of the executives received their annual equity grant in the first quarter of 2009, a low point for many companies, the value of the awards received dropped.'"
"More university presidents or top academics are serving on corporate boards. They can receive six-figure salaries for their work and expertise. But some analysts question whether they can monitor each company effectively when they serve on multiple boards." Sources: Equilar; The Chronicle of Higher Education; tax filings
"With executive pay under an increasingly harsh spotlight, more large companies are attempting to link pay with performance by requiring executives to build stakes in their firms through stock ownership guidelines and holding requirements, according to an analysis of Fortune 250 companies by compensation research firm Equilar Inc."
"Equilar, a compensation research firm, reported that in 2009 the median compensation of CEOs for the top 200 companies declined 13 percent from the previous year to $7.7 million. The decline was attributed to stock and option awards losing value because of the 2009 stock market plunge."
"Michael Duke is the Big Wally of Wal-Mart. As CEO of the low-wage behemoth, he siphons almost $20 million a year in personal pay from the global retailer, according to estimates from executive compensation research firm Equilar."
"Reifler spoke at the Practising Law Institute's 'Compensation Committee in the Spotlight' conference held in New York City on June 29. He was joined via telephone by Thomas J. Kim, Chief Counsel at the Division of Corporation Finance of the Securities and Exchange Commission. Prior to that, he spoke at the Equilar 2010 Executive Compensation Summit held in Washington, D.C. on June 15th, and at an executive compensation conference sponsored by J.P. Morgan held at the Cherokee Club in Atlanta, Georgia on May 13th."
"Only about 17% of 3,680 companies have disclosed clawback policies that at least cover senior management, up from a handful in 2005, according to proxy advisers ISS. The policies are more prevalent among bigger businesses. Nearly three-fourths of Fortune 100 companies had such rules in 2009, up from about 18% in 2006, reports Equilar, an executive-compensation advisory firm."
"Who makes $1 a year? Who gets $85 million? See each pair of CEOs below, and click on the one you think received higher compensation last year." Source: Equilar, an executive compensation research firm.
"Several people who know Mr. Palm say they were shocked that he was short on cash because he was not a lavish spender and because Goldman has paid him lavishly. Goldman has given him stock and options worth $59 million since 2002, according to Equilar, an executive compensation research firm."
"Goldman continued to pay Mr. Palm richly. In 2008, he didn't get a cash bonus but he did receive a substantial package of options and stock when Goldman's shares were trading near their lows; less than a year later the package was worth nearly $12 million, according to Equilar."
"Every month, Compliance Week publishes a list of the largest stock option grants and restricted stock awards during the previous period. The data and analysis are provided by compensation research firm Equilar."
"Pay for area executives mirrored national trends — CEO pay at the nation's 500 largest firms fell 7.9 percent from 2008 to 2009, according to research firm Equilar."
"As recently as five years ago, clawbacks were uncommon among US public companies. However, between 2006 and 2009, the percentage of Fortune 100 companies with clawback policies grew from 17.6 percent to 72.9 percent, according to a 2010 report published by Equilar, Inc., an executive compensation research firm."
"Equilar, an executive compensation research firm, calculates that Duke earned just south of $20 million in 2009 and $28 million in 2008, not counting millions of dollars in potential performance awards."
"Selected from large- and mid-cap publicly listed companies with headquarters or major operations in the 10-county region. Total Pay includes Equity Pay. Percent change is compared to the previous year's pay. The median total pay in 2008 was $2.42 million, down 9.6 percent from the previous year." Data Source: Equilar Inc.
"Perks nationally have been on the decline ever since disclosure rules required companies to provide a detailed breakout on them in proxies, said Aaron Boyd, research manager with Equilar, a compensation-research firm based in Redwood Shores, Calif."
"'As the economy continues to get better, compensation will continue to get better,' said Aaron Boyd, a compensation researcher at Equilar in Redwood Shores, Calif. Even so, boards are hesitant to shove too much money toward executives. 'They are being much more cautious. They don't want to prematurely raise bonuses.'"
"Equilar research manager Aaron Boyd says investors need not feel too sorry for those in the corner offices. Stock and option awards were much more valuable in 2009, because they were issued when most stocks were at the bottom of the market, he says. Many of those options are already in the money."
"Typically, what we have been saying is that pay has been going down," said Aaron Boyd, research manager with Equilar, a California firm that analyzes equity compensation. Equilar's survey of the Standard & Poor's 500 reported a 7.9 percent decrease in executive pay last year."
"Here's the statistical story: The median compensation of top executives of publicly traded companies headquartered in Washington, Oregon and Idaho dropped 28 percent last year, according to a survey prepared for The Seattle Times by executive-pay research firm Equilar."
"Starbucks Chairman, President and CEO Howard Schultz earned nearly $15 million, according to data compiled for The Seattle Times by Equilar, a California executive-compensation research firm."
"Hayward's life before the Deepwater Horizon explosion was an enviable one. Last year, the British native's compensation totaled $14.3 million, according to the research firm Equilar, some of which he's spent on vacations sailing through the tropics and skiing in Vail, Colorado, with his wife, a former BP geophysicist, and their two children."
"Every month, Compliance Week publishes a list of the largest stock option grants and restricted stock awards during the previous period. The data and analysis are provided by compensation research firm Equilar."
"With new pay data recently out, The Daily Beast asked Equilar, an executive compensation research firm, to compile a list of the 20 highest-paid No. 2s, among the 250 largest publicly traded companies."
"The top five of these options kings are the leaders of Ford Motor, Starwood Hotels & Resorts Worldwide, American Express, Nabors Industries and Tenet Healthcare, according to data compiled for me by Equilar, an executive compensation research company based in Redwood Shores, Calif."
"Employers have been granting more options over the past year and a half as stock prices have slumped, according to Aaron Boyd, head of research at Equilar, an executive compensation research firm. The upswing follows a general contraction earlier this decade: after companies were required to expense options in 2003, they shifted more toward granting restricted stock."
"Towers Watson is the world's largest executive compensation consultancy, with more than 350 executive compensation consultants in 16 countries providing advice to over 3,000 clients. In the U.S., Towers Watson provides executive compensation advisory services to the boards of 27% of the Fortune 1000 and provides executive compensation services and data to management in 33% of the Russell 3000, according to Equilar."
"According to Equilar, a company that tracks executive compensation, Dell, Disney, and FedEx spent $1.2 million, $0.6 million, and $0.6 million on the personal security of their CEOs in 2008. Dell paid four times what Berkshire Hathaway did, and Disney and FedEx paid two times as much. Are these CEOs more important to their companies than Buffett is to Berkshire Hathaway? This is obviously debatable."
"Median pay increased 43 percent to $6.7 million at the 51 public companies analyzed for STORES by Equilar; average total compensation rose 13 percent to $7.8 million. In nearly every instance, however, base salaries were either flat or increased only nominally. "
"The chief executives of California's 100 top companies collected an average of $8.4 million in total pay last year, down 11% from 2008, according to data compiled for The Times by research firm Equilar Inc. Nationwide, CEO pay dropped about 8%."
"No one could've known it then, but 2009's stock market bust could be a boon for some executives' pay: Many were awarded options when their company's shares were so low that their value skyrocketed as stock prices revived. These big-company CEOs have seen the biggest gains, according to an analysis by Equilar."
"Compensation consultant Equilar studied 29 large recipients of federal aid, discovering that 1 in 3 of them boosted such extra goodies for their CEOs."
"According to an analysis by Equilar Inc. for CNNMoney.com, Gould ranked No. 10 in a list of Top 20 biggest CEO pay windfalls. He was granted 680,000 options on Jan. 22, 2009, at a strike price of $37.85. The stock is currently trading around $60.50."
"As per the list based on an analysis by executive compensation research firm Equilar, Ford Motor CEO Alan R Mulally comes at the top with gains of $46.5 million in around six months, as the company's shares have risen significantly from November last year when they were granted to him."
"The local trend ran counter to national figures showing an overall 7.9 percent decline in the median CEO compensation among the S&P 500 firms, according to a report from Equilar, an executive compensation research firm."
"At the start of 2009, golden parachutes had already been awarded to executives who left firms they nearly destroyed — from Citigroup (C) to Merrill Lynch to AIG (AIG). Bonuses had already been granted to traders who one senator recently compared to a 'pit boss in Las Vegas.' The most high-profile example of bailout audacity in 2009, Citi's Andrew Hall, may have left the firm through the divestiture of Phibro, but he got to keep his $100 million pay package. Even the headline numbers in the Equilar study don't tell the full story on CEO pay. "
"Other companies offering golden coffins include Verizon Communications. Amalgamated says a 2008 study by compensation research firm Equilar showed that 17 Fortune 100 companies provide death benefits equal to multiples of salary upon executives' deaths."
"At Fortune 100 companies, the prevalence of double-trigger equity vesting for CEOs increased to 32.4% from 28.1% between 2008 and 2006, according to Equilar data."
"Nationally, 73% of Fortune 100 companies put clawback provisions into pay packages in 2009, up from just 18% in 2006, according to a recent study by Redwood Shores, Calif.-based research firm Equilar."
"A review of the 29 largest publicly traded financial companies that received federal aid found that nearly one in three increased fringe benefits for their chief executives. Those raises contrast with the belt-tightening that many Americans have experienced during the recession. They also occurred as 20 of the firms cut perks last year, after an increase in 2008, according to figures in corporate securities filings provided by Equilar, a compensation data services firm."
"To examine compensation trends, the Chicago Tribune asked Equilar Inc., an executive compensation research firm based in Redwood Shores, Calif., to gather data on the pay of chief executives of the 100 largest public companies in Illinois and northwest Indiana, as determined by market capitalization on March 31."
"A study of CEO compensation at Fortune 1500 companies by Equilar Inc., an independent research firm based in San Mateo, California, confirmed an increase in awards of restricted stock from 20.2% of companies in 2000 to close to 25% in 2002, while the median value of these awards rose from $744,450 to $812,000."
"Every month, Compliance Week publishes a list of the largest stock option grants and restricted stock awards during the previous period. The data and analysis are provided by compensation research firm Equilar."
"Compensation for chief executives at Standard & Poor's 500 companies averaged $7.5 million in 2009, according to Equilar Inc., a California research company that tracks executive pay. It was the second consecutive drop in CEO compensation."
"Nationally, only 14.6 percent of CEOs in the SP 500 received no bonus payout at all in 2009, compared with 18.4 percent who went without a bonus in 2008, according to Equilar. Similarly, this year's Pioneer Press list shows eight CEOs who went without a bonus. Last year, there were 13 zeroes in the bonus column."
"In the United States, a survey by Equilar showed that median CEO compensation among S&P 500 companies fell in 2008 for the first time since 2002, declining by 7.5 per cent. Again, it was mainly due to lower bonuses, with one in five CEOs getting no bonus at all."
"Here's a clue: Last year, CEOs in the AP sample exercised options and had previous stock awards vest worth $1.72 billion, according to data provided to the AP by compensation research firm Equilar. If the market doesn't crater, as it did during the financial meltdown, the payouts will dwarf that total in the coming years."
"Median compensation in 2009 for CEOs of 342 companies in the S&P 500 fell 8% from the previous year to $7.5 million, according to a survey by the Northern California executive compensation research firm Equilar. It was the second year in a row that overall compensation dropped."
"Equilar, an executive-compensation research firm, said the average company in the Standard & Poor's 1500 issued employee options equal to 0.71% of shares outstanding in 2009. That compares with Omnicom's 7.3%, which appears to be among the largest grants by a major company in recent years."
"The company's founder and chairman, D.R. Horton, made $17.6 million from 2007 to 2009, as his annual compensation jumped from $2 million to $7.6 million, according to Equilar, a research firm that specializes in pay."
"Johnson, 58 years old, has been a stopgap chief for so long that he joked at Sears's annual meeting last year that even his children had taken to calling him "interim." According to research firm Equilar Inc., Mr. Johnson has had that title longer than any other boss at a public firm."
"At the top of the list is Leslie Moonves, chief executive of the CBS Corporation, whose pay package in 2009 totaled almost $43 million, more than twice what he made in 2008, according to an analysis by Equilar, an executive compensation research firm."
"The pay isn't bad, either. Last year the median pay for independent directors at Fortune 500 companies was $182,102 (excluding additional fees for sitting on particular committees), according to Equilar, a compensation-research firm. At companies below $1 billion in revenue, directors earn between $40,000 and $140,000, according to BDO."
"Whether overall compensation increased or declined last year is open to debate. Treasury & Risk commissioned a study of the 2009 compensation of 50 Fortune 500 CFOs from Equilar, a Redwood Shores, Calif.-based executive compensation research firm."
"Meanwhile, the economic anomalies of the last year exerted a yo-yo effect on CFO pay, according to a survey of the compensation of 50 Fortune 500 CFOs conducted for Treasury & Risk by research firm Equilar"
"Nationally, a report that compensation firm Equilar compiled for the New York Times found that the compensation of CEOs at large, publicly traded companies — not just banks — fell by an average of 15 percent in 2009, to $7.7 million."
"Equilar, a Redwood Shores, Calif.-based executive-compensation research firm, has yet to conduct its analysis of 2009 information, but Aaron Boyd, head of research there, says he's seeing that, "across the board, companies' boards are trying to be more prudent with investors' money."
"The current financial regulatory reform bill contains a requirement for clawback provisions in executive contracts, among other corporate governance initiatives. But refreshingly, many firms haven't waited for Uncle Sam — they've adopted such practices voluntarily. According to compensation research firm Equilar, 73% of Fortune 100 firms have now added clawback provisions to their executive pay policies, a huge increase from a mere 16% in 2006."
"Analyzing the pay of chief executives at 199 public companies with revenue of at least $5.78 billion (that filed proxies by March 26), Equilar found the median pay package declined by 13 percent in 2009, to $7.7 million. Equilar's report adds that it is the second consecutive year CEO pay declined."
"Total compensation includes career salary, bonus, proceeds from stock and options sales and accumulated stock and retirement benefits, according to publicly available filings. For executives who left their firms, their stock is valued at their date of departure. For those who remained, their stock was valued as of Friday's market close. Data analyzed by Equilar, James F. Reda & Associates."
"The median total compensation of chief executives of large companies nationally declined for the second consecutive year in 2009 from 2008, by 13 percent to $7.7 million, according to a study by Equilar."
"Aaron Boyd, head of research at executive-compensation firm Equilar Inc., noted that Mr. Bezos's security costs rank among the highest for U.S. chief executives."
"Mr. Selander, 59, is retiring from MasterCard with a pile of cash. He took home more than $149 million over the last nine years in salary, bonuses and stock he cashed out, according to an analysis of corporate filings conducted by Equilar, a compensation research business. He also has a pension worth $3.7 million and an additional $33.3 million in stock and options."
"Every month, Compliance Week publishes a list of the largest stock option grants and restricted stock awards during the previous period. The data and analysis are provided by compensation research firm Equilar."
"CEO security tabs had been on the rise from 2006 through 2008 at Fortune 100 companies, according to Equilar, an executive compensation research firm."
"In a report compiled by Equilar, a compensation research company based in California, the average pay package of the 200 chief executives of 199 companies analyzed (Motorola has two chief executives before you ask and only they know why) had faltered by 15 per cent from the previous year, down to a measly US$7.7 million (Dh28.2m)."
"'In 2009, a lot of financial services companies saw a rebound in net income and a return to profit,' said Aaron Boyd, research manager at Equilar, a compensation consulting company in California. 'In conjunction with that, we have seen the bonuses come back as well'."
"The report refers to Equilar research results, which is based in income data on 200 executives in 199 companies whose income is at least 5.78 billion U.S. dollars. Motorola Inc., One of the companies have captured, has two chief executive officer (CEO)."
"According to a survey prepared for The New York Times by executive compensation firm Equilar, CEO median pay was $7.7 million, down 13% from the year before."
"With $21.9 million in compensation in 2009, Abbott Laboratories CEO Miles White was among the 10 highest-paid CEOs at the country's largest companies, according to a survey by Equilar."
"The findings are the product of Equilar, a California-based, executive-compensation research firm. So who are the faces behind this year's biggest paychecks?"
"These figures come from this year's annual executive-compensation study, which is sifted and compiled by Equilar. The Redwood Shores, Calif., research firm prepared the report for the New York Times after analyzing the pay of 200 chief executives at 199 public companies with revenue of at least $5.78 billion that filed proxies by March 26. (Motorola has co-CEOs, hence the discrepancy in company numbers to CEOs.)"
"Equilar, an executive compensation research firm, looked at 200 CEOs at the 199 largest companies (Motorola has co-CEOs) that filed their 2009 proxies as of March 26, 2010."
"The report, prepared for the New York Times by Equilar, a compensation research firm, evaluated the pay of 200 chief executives at 199 public companies with revenue of at least $5.78 billion that filed their proxy statements by March 26. One of the companies on the list, Motorola Inc (NYSE: MOT), has two CEOs."
"The median total compensation for U.S. executives declined 13 percent to $7.7 million, while average total pay fell 15 percent to $9.5 million for chief executives at their companies at least two years, the newspaper said, citing the survey by executive compensation tracker Equilar."
"The findings were based on a report by Equilar, which evaluated compensation for 200 chief executives at 199 companies that had revenue of at least $5.78 billion. Motorola Inc (MOT.N), one of those companies, has two chief executives."
"Equilar, a compensation research firm in Redwood Shores, Calif., recently prepared a report for The New York Times analyzing the pay of 200 chief executives at 199 public companies with revenue of at least $5.78 billion that filed their proxies by March 26."
"'C.E.O.'s are looking at big gains,' said Aaron Boyd, head of research at Equilar. 'Even if stock prices stay level for the next couple of years, some of these executives are still going to get a large payout.'"
"Pay watchers say greater conservatism on pay appears to have reached more boardrooms. The percentage of Fortune 100 companies with publicly disclosed clawback policies, for instance, increased to 72.9% in 2009 from 64.2% in 2008, according to executive compensation research firm Equilar Inc. Marathon Oil Corp. adopted a clawback policy for executive officers' cash bonuses beginning in 2011, and for long-term incentives starting in 2010."
"Compensation research firm Equilar, which examines compensation practices, said preliminary data from corporate proxy filings show that the median CEO bonus payments fell 21.9 percent to $689,000 in 2009 from $882,000 in 2008."
"Between 2007 and 2008, CEOs across America saw sizable cuts to their usually hefty compensation packages. According to Equilar, a research firm that tracks executive compensation, median pay fell 6.8 percent from 2007 to 2008, with much of the drop due to smaller cash bonuses."
"Compensation research firm Equilar said on Wednesday that chief executives of companies which had fiscal years ending in December 2009 saw their bonuses increase by 28.9 percent over 2008. The median bonus in 2009 for those 215 CEOs was $1.45 million, up from $1.125 million in 2008, the report said."
"PepsiCo is not the first Fortune 100 company to amend its clawback policy this proxy season. Earlier this year, General Electric strengthened its policy. In fact, for the past four years, the percentage of Fortune 100 companies disclosing that they have amended or created clawback policies has been increasing, according to Equilar research."
"The high payouts come at a time when overall executive compensation has dropped. According to compensation research firm Equilar, bonus payouts fell 12.6% in 2009 to around $812,800 on average. Many bank CEOs waived their bonus payments for last year, including Barclays PLC's John Varley and Royal Bank of Scotland Group PLC's Stephen Hester."
"Nationwide, falling executive compensation in 2009 was definitely the norm and not the exception among larger corporations, according to California-based research firm Equilar."
"The pay isn't bad, either: last year the median pay for independent directors at Fortune 500 companies was $182,102 (excluding additional fees for sitting on particular committees), according to Equilar, a compensation-research firm."
"Aaron Boyd, research manager at Equilar, told BNA March 18 that the difference between the preliminary and final results had to do with timing. 'As the numbers are showing, as the market has started to recover, so too have bonuses,' he said. Companies with fiscal years ending June 30, 2009, were generally reporting on bonus payouts from July 1, 2008, to June 30, 2009, at the time of most of the market turmoil, Boyd said."
Discussing executive bonuses taking a hit in 2009 and whether these payouts are necessary, with Michael Corkery, The Wall Street Journal; Robert Miller, Tepper School of Business Carnegie Mellon and CNBC's Mary Thompson. (Source: Equilar)
"In 2009, CEOs had an even worse year than they did in 2008. Equilar, an executive compensation research firm, published a report today that found chief executive pay down around 13% in 2009 versus 2008. That might come as a surprise: in the second half of 2009 the U.S. economy wasn't technically in recession, but it was for all of 2008. The report explains that Wall Street may be to blame: the public's insistence that lofty discretionary bonuses should be rethought influenced boardrooms outside of finance."
"The changes are being driven by public pressure on executive pay and an uncertain climate that's making it difficult to set performance goals, according to a new report by compensation research firm Equilar Inc."
"DTE's top executives have made themselves rich at the expense of Detroit and Michigan. CEO Anthony F. Earley, Jr., has accrued 293,000 shares in the company, each one of which was worth, at the time of writing, $45.60. Earley has thus amassed well over $13 million in DTE stock. Earley had net wealth of $23 million in 2008, according to the executive compensation web site Equilar."
"Some major U.S. companies like Ford Motors, General Motors and Eddie Bauer Holdings hit hard by the economic recession cut director pay by 10 percent to 15 percent last year, according to Equilar Inc., a company that tracks executive pay."
"Every month, Compliance Week publishes a list of the largest stock option grants and restricted stock awards during the previous period. The data and analysis are provided by compensation research firm Equilar."
"Most companies didn't have such problems last year. Total bonus payments dropped 21.9% from 2008 to 2009, according to Equilar's 2010 Bonus Plan Report, based on results from 180 companies."
"The clawback policy adopted by GE wouldn't fit neatly into the categories used by Equilar in its study. The compensation research firm did not group clawbacks based on the level of discretion provided to boards for recouping pay. Instead, it classifies the policies based on their triggers. The categories the firm included were financial restatment, ethical misconduct (financial or non-financial), noncompete violation and other."
"'For a lot of companies, the 2009 bonus numbers are capturing the full effect of what happened in late 2008,' says Equilar Research Manager Aaron Boyd. 'A lot of companies adjusted their performance plans last year to reflect market conditions and make sure pay was commensurate with performance.'"
"In 2008, when Stephenson refused his bonus, Chesapeake Energy CEO Aubrey K. McClendon made $112.5 million with a base salary of $975,000, according Equilar Inc., as reported on CNNMoney.com. He was the highest paid exec that year."
"'For a lot of companies, the 2009 bonus numbers are capturing the full effect of what happened in late 2008,' says Equilar Research Manager Aaron Boyd. 'A lot of companies adjusted their performance plans last year to reflect market conditions and make sure pay was commensurate with performance.'"
"Currently, big companies like Towers Watson, Hewitt Associates Inc and Mercer, a subsidiary of Marsh & McLennan Companies Inc, are compensation consultants for about half of the major U.S. companies, according to data by Equilar, which tracks executive compensation."
"The median reflected the midpoint of 180 companies sampled for Equilar's 2010 Bonus Plan Design report. The California-based company said it plans an update next week as more companies disclose pay data for 2009."
"In a report to be released on Wednesday, the executive compensation firm Equilar looked at the proxies filed by 180 firms with revenue of more than $1 billion. The study found that in 2009 the median bonus payout fell 22 percent to $689,000 from $882,000 in 2008."
"Business research company Equilar also has found evidence of a rising clawback trend. In November, Equilar published an analysis that found 72.9 percent of Fortune 100 companies had a publicly disclosed clawback policy. Only 17.6 percent did in 2006."
"Silicon Valley firms such as Oracle Corp. and Cisco Systems Inc. continued to give out big options packages to executives during the recession last year, according to an analysis from executive-compensation research firm Equilar Inc. Some companies handed out option grants that were similar in scope to what they gave in 2008, while others raised such grants substantially from 2008, when they didn't hand out any stock options to executives."
"According to executive compensation research firm Equilar Inc., 80% of Fortune 100 clawback provisions allow 'for the recovery of compensation in the event of a financial restatement.' Additionally, 85% had provisions to recover compensation when the "executive behaves unethically."
"Recent data has appeared on general counsel among the Fortune 250 who do or don't report to the CEO as well as the compensation differences between the two groups. The analysis comes from Equilar by way of a summary in Inside Counsel, Jan. 2010 at 42."
"Thomas Montag, the head of Bank of America's investment bank, was paid about $29.9 million last year, according to Equilar. That puts him in the running as Wall Street's highest earner in 2009. Most of his compensation, however, was from a $20 million sign-on stock award set in May 2008 before the bank received bailout money."
"for their employees was anticipated to reach $145.8 billion dollars in 2009, an 18% increase from 2008's $123.4 billion and a 6% increase from 2007's $137.2 billion. Not only that, but according to Equilar, an executive compensation research firm, 25% of the companies that reduced executive salaries in 2008 reinstated or increased those salaries in 2009."
"According to executive compensation research firm Equilar Inc., several Silicon Valley companies provided restricted stock grants to executives last year that exceeded $20 million based on the fair market value on their grant dates. Restricted stock is a form of equity compensation that typically vests over several years."
"In 2009, 28% of Fortune 100 companies disclosed the cost of executives' 2008 health benefits or physicals in their proxy filings, according to research firm Equilar. That's up from 21% the year before."
"'Tax gross-ups are under the most pressure and definitely the area where companies have adjusted their change-in-control provisions most quickly,' says David Sasaki, associate research manager at compensation research firm Equilar. While there hasn't been 'a massive move in one direction,' he says boards are 'much more aware of these provisions and potential payouts and are looking at them more carefully.'"
"Every month, Compliance Week publishes a list of the largest stock option grants and restricted stock awards during the previous period. The data and analysis are provided by compensation research firm Equilar."
"According to analysis released by Equilar, an executive compensation research firm, Wells Fargo CEO John G. Stumpf was paid a personal best of $18.7 million in cash and stock in 2009. That's up 64 percent from two years earlier. That means that Mr. Stumpf is making twice as much as Lloyd C. Blankfein, his counterpart at Goldman Sachs — the 'great vampire squid' himself. Does that make Stumpf Mr. Super Squid...?"
"According to Equilar, the executive compensation research firm, 907 of Fortune 1,000 corporations used at least one compensation consultant to advise the board in 2008, and the independent firms got 39.3% of those assignments, up from 35% in 2006."
"Below is a list of the most highly paid directors in 2008 at the largest 1,000 public companies in the U.S., based on Securities and Exchange Commission data compiled by Equilar, a Redwood Shores (Calif.)-based pay researcher. The figures include equity, which can include grants from earlier years."
"According to the executive-compensation research firm Equilar, the 100 largest U.S. public companies spent an average of $65,348 on their CEOs' security in 2008, a 123% increase over the $29,291 they spent the previous year."
"How much senior executives earn, in cash and stock, is made public in corporate filings. This year, the results are surprising, according to an analysis by Equilar, an executive compensation research firm."
"The amount — about 3.4 times Liddell's base salary — is also notable. For CEOs, whose exit packages are usually considerably richer than those of CFOs, most Fortune 100 companies now offer two or less times base salary for severance, according to a recent study by executive-compensation research firm Equilar."
"With the recent availability of peer group data, Equilar, which studies executive compensation data, decided to compile the information so it can be easily analyzed. The company also created a tool that allows clients to perform 'what-ifs' by plugging different companies into their peer group models, and learning which companies are benchmarking back to them. If you're thinking about the best way to choose a peer group, you're ahead of many companies, even very large ones, says Aaron Boyd, a researcher at Equilar."
"For those wondering about the going rate for keeping (or trying to keep) a company out of legal trouble these days, executive Compensation research firm Equilar has the scoop on general counsel (GC) pay at Fortune 1000 companies."
"You'd think the baseball season had already started. That's because Equilar, Inc., a leading provider of executive pay data, is already compiling stats on the various teams. All of this is neatly packaged in its '2010 Consultant League Report', which is a real page turner for any consultant who provides executive pay services, as well as board compensation committee members themselves."
"Once again, a bonus at Goldman Sachs has all of Wall Street talking — only this time, over how small it is. After weeks of intense speculation, Goldman Sachs disclosed late Friday that its chief executive, Lloyd C. Blankfein, would receive an annual bonus valued at $9 million, a figure that, to the surprise of many, put him in the middle of the pay scale for the nation's banking chiefs." (Graphic: Equilar)
"For those wondering what's ahead for executive compensation amid ever-sharpening scrutiny of pay practices and new disclosure regulations from the Securities and Exchange Commission, executive compensation research firm Equilar has provided its take on the trends and practices it says are likely to affect companies this year."
"Clawbacks are catching on in other industries. A recent study by executive compensation research firm Equilar found that nearly 73% of Fortune 100 companies now had clawback provisions in their executive pay packages, up from just under 18% in 2006."
"Perhaps it's a sign of a turnaround or perhaps just a sign of renewed confidence in the marketplace, but executive compensation is expected to make a comeback in 2010, according to data published this week by Equilar."
"A number of firms that cut executive salaries in 2008 or 2009 are in the process of reinstating them, according to a recent report by Equilar, an executive compensation research firm."
"Most companies are still waiting for those economic green shoots to sprout. But some general counsel and other executives will likely see their salaries rise this year. That's according to a new report on executive compensation trends by Equilar, an executive compensation research firm."
"And such trends 'are gaining momentum in today's charged political climate,' says a just-issued report from Equilar Inc., the Redwood City executive-compensation research firm, which based its report on a survey of 40 U.S. public companies."
"Aaron Boyd, research manager at Equilar, a Redwood City compensation consulting firm, said he is unaware of other Silicon Valley companies offering new or increased bonuses like Intel, which he noted 'has really bounded back from where they were a year ago when things weren't so rosy.'"
"Every month, Compliance Week publishes a list of the largest stock option grants and restricted stock awards during the previous period. The data and analysis are provided by compensation research firm Equilar."
"Of the 100 largest U.S. companies by revenue, 70 say they have so-called clawback provisions that allow them to recoup pay. That's up from 16 in 2006, according to Equilar, a compensation research firm. 'The concept of a clawback is gaining credibility and frequency,' says Kenneth Feinberg, the Treasury Dept.'s special master on executive compensation. 'Whether it will be effective in promoting stability and growth remains to be seen.'"
"In a reflection of the role's importance, 42 of Silicon Valley's 150 biggest companies by revenue now list their general counsels as a 'named executive officer,' which means they are among a firm's top five best-paid executives, according to executive-compensation research firm Equilar Inc. That is up from 31 general counsels who were also named executive officers of their companies in 2006."
"General counsel who report directly to a CEO and were named as executive officers in their company's most recent proxy statements earned the most, Corporate Counsel reports. According to the survey by the executive compensation firm Equilar, these lawyers earned median annual compensation of $1.4 million."
"We aren't the only nosy ones, poking around in corporate proxy statements. The executive compensation firm Equilar has just done its own survey. Main finding? General counsel earned on average about $1.4 million in 2009."
"The magazine's Amy Miller reports that--according to data compiled from proxy statements by Equilar, an executive compensation research firm--Fortune 100 general counsel earned an average of $1.4 million in 2009."
"During the first six months of 2009, the chief executives of financial companies in the Standard & Poor's 500-stock index who were awarded stock grants received an average of $2.4 million in restricted shares, which by the end of the year had soared 70 percent to $4.1 million, according to an analysis of data by Equilar. Stock options were worth an average of $4.9 million per executive."
"Last month, the House of Representatives cleared a bill requiring the SEC to create independence standards for board compensation consultants. And on Jan. 1, HR consulting giant Towers Perrin combined with rival Watson Wyatt Worldwide to form Towers Watson in New York. The firms held about 27% of board compensation committee gigs at Fortune 1000 concerns in the year ending Feb. 28, 2009, according to researchers Equilar Inc."
"Equilar, a leading provider of executive pay information has published a comprehensive report on the SEC's Proxy Reform rules. To request a copy, please use the following link: http://info.equilar.com/PreparingforProxySeason.html."
"Meanwhile, a survey for The New York Times by Equilar, a California firm that studies corporate compensation, found that the total pay for chief executives at the top 200 for-profit firms declined in 2008 by a median of 9 percent."
"Seventy-three percent of Fortune 100 companies, or the largest U.S. firms based on revenue, said they had clawback policies in 2009 compared with 18 percent in 2006, according to Equilar, a Redwood Shores, California-based executive compensation research firm."
"Chancellor of the Exchequer, Alistair Darling, says the government is going to hit banking executives who receive a bonus of over 25,000 pounds — or roughly 273,000 Renminbi — with a 50 percent tax on the bonus money this year. First we'll hear from a research firm looking into salaries and bonuses. Aaron Boyd is the Head of Research for Equilar, a research firm in the US specializing in executive compensation and corporate governance."
"Stock options may be the gas that Silicon Valley runs on, but two years of falling stock prices left a lot of tanks on empty last year. Yet as it heads into a new decade, the valley's options culture remains surprisingly resilient. A study by Equilar, a Redwood City executive compensation research firm, shows options of top officers at 140 valley companies gradually surfacing above water during the last half of the year."
"'Legislating executive compensation is like playing Whac-A-Mole—you think you're fixing a problem here, but it pops up over there,' says David Chun, CEO of Equilar, a firm that aggregates publicly available compensation data. 'There are a lot of smart people out there whose job is to design plans that can work within certain constructs.'"
