| Welcome |
| In May, we explored compensation trends for chief financial officers and non-employee directors at leading public companies. Since directors and CFOs, like chief executives, face greater scrutiny with each passing year, we thought it made sense to follow-up on our April analysis of CEO pay trends with a fresh look at other key leadership positions. Surprisingly, we found that pay levels for both CFOs and directors climbed faster in 2007 than CEO compensation. |
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| Feature Articles |
| CFO Compensation Trends |
An Analysis of CFO compensation at S&P 500 Companies |
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An Equilar analysis of CFO compensation at S&P 500 companies reveals the following key findings: |
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From 2006 to 2007, median CFO compensation increased by 5.2 percent, despite a 3.4 percent decline in median bonus payouts for finance chiefs.
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Although the prevalence of CFO option awards declined from 2006 to 2007, the median value of option awards increased by 7.0 percent. Median stock award values grew by 16.1 percent.
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Equilar clients can read the full CFO compensation trends story here.
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| Director Compensation Trends |
An Analysis of Board Fees at Fortune 500 Companies |
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An Equilar analysis of non-employee director compensation at Fortune 500 companies reveals the following key findings: |
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From 2006 to 2007, the median value of total board-level compensation for regular directors increased by 7.2 percent.
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Over the same period, the median annual cash retainer increased by 20.0 percent, while the prevalence of board meeting fees fell from 57.4 percent to 52.0 percent. |
Equilar clients can read the full director compensation story
here.
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To learn more about the benefits or becoming an Equilar client, request a demo online or call (877) 441-6090.
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| Equilar on the Road |
Representatives from Equilar will appear at the following events next month. To learn more, click on the links below to view registration and event details. For a complete list of past and future events, please visit the presentations section of our website.
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2008 Merrill Lynch Client Conference
Hosted by Merrill Lynch
June 2, 2008
Orlando, FL
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Executive Compensation Conference
Hosted by The Conference Board
June 4, 2008
New York, NY
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NASPP Annual Conference
Hosted by Twin Cities NASPP
June 5, 2008
Minneapolis, MN
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If you would like to learn more about incorporating Equilar research into your presentation or adding a member of our team to your panel, please write to info@equilar.com. |
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| Equilar in the News |
Research and commentary from Equilar appeared in several articles in late April and May. To read more about the latest in compensation news, click on the links below. For a complete list of articles featuring Equilar research, visit the news & publications section of our website.
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Investors' Push for Say on Pay Stall
May 27, 2008
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"Directorship reported on a recent Equilar study which found that executive performance targets were on the rise."
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Executive Compensation Picture is Murkier Than Ever
May 25, 2008
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"The Associated Press and prominent compensation firm Equilar both peg Odland's pay at $17.8 million. Bloomberg News says it's $12.9 million, a figure echoed by the compensation table in Office Depot's proxy."
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For CEOs a Reversal of Fortunes
May 23, 2008
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"The Los Angeles Times' annual survey of executive compensation found that California's 100 biggest companies paid 10% less, on average, to their top executives in 2007 than they did the year before." See the complete Equilar analysis here."
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Here's Why Yahoo! Postponed its Investor Meeting
May 23, 2008
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"Yahoo Inc.'s top five executives raked in $135 million in that year (mostly in restricted stock and stock options), though down from $155 million the year before, according to calculations from Equilar, a San Mateo research firm that specializes in executive compensation."
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HR Plays the 'Critical Role'
May 23, 2008
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"So said Patrick McGurn, of RiskMetrics Group, formerly Institutional Shareholder Services, after a session he co-presented with David Chun, CEO of Equilar entitled 'Emerging Executive Compensation Trends' during the Total Rewards 2008 WorldatWork Conference being held May 20 to 23 at the Philadelphia Convention Center."
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The Philadelphia (Conference) Story
May 22, 2008
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"Wednesday after the opening keynote, I attended an executive comp session featuring David Chun of Equilar and Pat McGurn of RiskMetrics Group (you might know them as ISS). It was an outstanding presentation in a lot of ways."
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CEO Bonuses Down
May 22, 2008
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"For the same executives, bonuses had increased by 27.1 percent from 2005 to 2006, according to Equilar's latest issue of Executive Compensation Trends."
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Outgoing Visteon CEO to Get $2.5 Million Payout
May 20, 2008
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"Johnston took home $8.9 million last year, according to calculations conducted by Equilar Inc. for Automotive News."
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Director Perks Disappearing as SEC Forces Change
May 19, 2008
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"The most recent research from Equilar indicates that 16.1% of Fortune 100 companies eliminated some perks in 2006 or by the start of 2007. Compensation consultants believe that number has only grown over the last year."
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Ford Adds Unique Peer-Group Graphic
May 19, 2008
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"Ford Motor has taken the use of graphics in compensation disclosures to a new level. The company offers investors pie charts to compare its mix of executive pay elements to that of its peer group, according to a new study of 2008 disclosures by Equilar."
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More Companies Reveal Targets
May 19, 2008
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"A study released last week by Equilar, the executive compensation research firm in Redwood Shores, Calif., found that among the companies with annual bonus plans, 68 percent disclosed specific performance targets that executives were required to meet in order to receive their payouts."
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Pay Pipeline Still Pumping for CEOs
May 17, 2008
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"Last year, median CEO pay increased just 1.3 percent at 233 SP 500 companies where CEOs were in place for at least two years, according to an April report from Equilar Inc., a California-based firm that tracks compensation trends."
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Steer This Firm, Get a Fast Sled: Perks Add Up
May 17, 2008
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"Until recently, companies weren't required to disclose side benefits worth less than $50,000, said Alexander Cwirko-Godycki of Equilar Inc., a California company that benchmarks executive compensation practices."
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Willie Walsh: European Trend Setter
May 16, 2008
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"In the U.S. however there has been a noticeable increase in the number of top executives giving up their bonus since the start of the year, according to Alexander Cwirko-Godycki, research manager at California-based Equilar, which conducts research on executive compensation."
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Parting Shot: CEO Pay Commentary (Video)
May 15, 2008
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"Equilar, a research firm looked at CEO compensation at 233 big companies. They found that last year, their median pay rose by only 1.3 percent, even as their companies' revenue and stock prices rose at a much higher rate, up almost 8.0 percent on average."
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Executive Pay Disclosures Get Graphic: 2008 Proxies Find Ways to Show Their Stuff
May 14, 2008
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"The report "highlights interesting and outstanding examples of CD&A disclosure practices from fiscal 2007," according to Equilar."
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Top Option Grants, Stock Awards in April
May 13, 2008
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"According to Equilar, several grants of 'premium-priced' options were awarded in April, an increasingly common compensation practice. Awards are considered premium-priced when the exercise price of the grant is higher than the stock price on the grant date."
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John Wren Tops the List of Ad World's Big Earners
May 12, 2008
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"Median CEO pay last year among S&P 500 companies increased 3% between 2006 and 2007, rising from $1 million to $1.03 million, according to a study released last month by Equilar, a Redwood Shores, Calif.-based executive-compensation-research firm."
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New Challenges Shape Pay Levels
May 8, 2008
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"The chief driver of that decline was in annual performance-based bonuses, which were down 8.2%. 'For finance chiefs, like other executives, this has been a turbulent year on the compensation front,' says Alexander Cwirko-Godycki, research manager at Equilar."
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Say-on-Pay Movement Loses Steam
May 6, 2008
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"Over the same period, the number of Fortune 100 companies disclosing specific performance targets for executives increased from 56 to 66 percent, Equilar said."
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Exec Pay is Smorgasbord of Handouts
May 5, 2008
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"Average annual total compensation for the chief executive of Standard & Poor's 500 companies was $8.83 million last year, according to compensation research firm Equilar."
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Web Salary Charts Tell All, and We Love It
May 5, 2008
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"In theory, this has made it easier for the average citizen to figure out what Equilar, an executive compensation firm on the Peninsula, reported in April: That the median compensation for a top corporate chief executive officer jumped to $8.8 million last year from $8.7 million in 2006 — even though the bonuses they received for doing well were down to a measly $1.8 million."
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Local CEOs Feel Effects of Slower Economy
May 4, 2008
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"Performance-based bonuses were down and discretionary bonuses not linked to performance were up — in general by 5 percent — among 200 larger firms studied by Equilar, a compensation research firm."
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Pittsburgh Compensation Packages are Focused on Rewarding Success
May 2, 2008
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"A study by Equilar Inc., a Redwood Shores, Calif.-based executive compensation research firm, said more public companies are increasingly tying CEOs' rewards to their performance."
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CBS's Moonves Gets Triple Pay of Viacom's Dauman
April 30, 2008
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"To put the pay packages of Dauman and Moonves into perspective, I compared them with the CEOs of 500 other companies, all with market values of $3 billion or more. Data for this study were obtained from Equilar Inc."
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In Search of: Citigroup's Robert Rubin
April 29, 2008
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"Rubin is paid handsomely for his work, Citi sources say. As the Times has reported, Citi has paid Rubin $126.1m since 1999, according to Equilar, a research outfit. Citi confirmed that number."
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| If you are interested in adding Equilar research and commentary to your next compensation or corporate governance story, please write to press@equilar.com. |
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| Citing Equilar Research |
To cite Equilar's research in your next story, blog, presentation or newsletter, please refer to Equilar, as "Equilar, Inc., an executive compensation research firm located in Redwood Shores, CA."
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| EquilarInsight |
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| New Blog Posting |
Insights on Executive Compensation Disclosure Trends
Equilar CEO David Chun shares interesting compensation trends and practices seen in the marketplace while offering independent and objective analysis. To read his recent entry about Equilar's new compensation survey, please click the following link:
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To learn more, please
click the following link: |
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2007 Executive Stock Ownership Guidelines
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To learn more, please
click the following link: |
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2007 Director Stock Ownership Guidelines
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To learn more, please
click the following link: |
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