CEO.com assembled a list of 10 “big-time CEOs” who earn a base salary of just $1 a year. Chrysler CEO Lee Iacocca is credited with pioneering the $1 a year salary. In 1978, he made a statement with his salary slash the reverberated throughout the country. Sure, there were ulterior motives; Iacocca wasn’t exactly hurting financially, but small pay can equal big success. With a CEO’s near-future earnings primarily tied to performance, the concession is meant to be a grand gesture of confidence that everything possible will be done to grow the company.
None of these ten CEOs are hurting in the wallet. Many still make millions in bonuses, stock options and other perks. Whether they’ve done it for years like Google CEO Larry Page or during company crisis like Hewlett-Packard CEO Meg Whitman, CEO.com identified these CEOs that currently earn just one buck a year for their executive duties.
Since 2009, Larry Ellison’s salary has amounted to just $1 a year. But, don’t feel too bad for the guy—he’s also the fifth richest person in the world with a net worth of $43 billion. Last year, Ellison raked in a package valued at $96 million, mostly from perks, stock options and performance cash bonuses.
Richard Fairbank has worked for a base salary of $0 since 1997, but he did earn $15 million in stock and options last year, along with a deferred bonus of $2.19 million (his first cash compensation in 15 years).
In 2009, Jeffrey Katzenberg renewed his $1 salary to run through 2013, reduced his usual $1 million short term-incentive compensation to zero while gaining 900,000 shares of stock. Apparently, he was banking on some major company success to boost stock values. In 2011, Katzenberg earned $4 million in stock awards. A few months ago, Katzenberg also secured a deal to stay on as CEO through 2017, with more eligibility for equity incentives and cash bonuses.
With no salary and no bonus, Richard Kindler’s compensation for 2012 still came to a whopping $60.94 million in stock gains. The ex-executive from Enron has a net worth of $9.8 billion and currently ranks as America’s fourth highest-paid chief executive.
A regulatory document filed yesterday revealed Edward Lampert would join the club of CEOs earning a salary of $1. At the end of the year, however, the billionaire will most likely be handsomely rewarded with a bonus of up to $2 million and up to $4.5 million.
Chief Executive Group exists to improve the performance of U.S. CEOs, senior executives and public-company directors, helping you grow your companies, build your communities and strengthen society. Learn more at chiefexecutivegroup.com.
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1:00 - 5:00 pm
Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process
Executives expressed frustration with their current strategic planning process. Issues include:
Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns. They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning. Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process. This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented. If you are ready for a Strategic Planning tune-up, select this workshop in your registration form. The additional fee of $695 will be added to your total.
2:00 - 5:00 pm
Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations.
Limited space available.
10:30 - 5:00 pm
General’s Retreat at Hermitage Golf Course
Sponsored by UBS
General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.
The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.
