10 US CEOs Rake in at least $100m — New Record
|October 30, 2013||Posted by Staff under Inequality / Concentration|
This 2013 excerpt of the Guardian, Oct 22, is by Dominic Rushe.
Zuckerberg’s total compensation topped $2.27bn – more than $6m a day.
For the first time ever, the 10 highest-paid chief executives in the US received more than $100m in compensation last year, and two took home billion-dollar paychecks.
Mark Zuckerberg, Facebook’s co-founder, was America’s highest-paid boss in 2012. His base salary was $503,205 but the vast majority of his enormous pay package came from exercising 60m Facebook share options when the company went public last year.
Richard Kinder, the CEO and chairman of energy firm Kinder Morgan, had a base salary of just $1 in 2012 and received no other bonuses. But he made $1.1bn selling restricted stock. The payout follows a nearly $60m profit from stock in 2011.
Half of the top 10 are company founders. The rest are appointed executives. The no 3 slot really belongs to Gregory Maffei, who appears twice in the list as CEO of Liberty Media and Liberty Interactive. He reaped a combined $391m from the two posts.
All told, the top 10 CEOs in this year’s poll took home over $4.7bn between them, and for the first time ever, none earned less than $100m.
These huge pay deals are seldom linked to shareholder returns.
The top 10 made $3.3bn in 2012 on stock option profits and the vesting of restricted stock. Cash bonuses totalled $16.2m.
This year’s top earners far outstripped those below them by making huge fortunes cashing in share options as the stock markets bounced back.
Median household income, adjusted for inflation, was $51,017 in 2012, broadly unchanged from 2011.
The top 1% captured 95% of the income gains in the first three years of the recovery.
The disparity is noticeable even among the 1%, where riches accrue to the very wealthiest at an even faster rate than those below.
The average pay package of an S&P 500 chief executive last year was $13.7m. For those in charge of S&P small cap companies, it was $3.5m.
Of the top 10 earners in 2012, all received the majority of their compensation for the year from share schemes.