Show me the Money!

[tw]

In a study for Bloomberg News, high salaries are attached most often the worst executives. For example, Leslie Moonves of CBS Corp was paid $43.2 million. Google's Eric Schmidt is paid $245,322. Of course both also have other compensations. Even with these numbers. Eric Schmidt is still under $1 million annually. Therefore Google is a product corporation. CBS struggles.

So what does a CBS spokesman say? "more than 85 percent of Mr. Moonves's compensation is keyed to performance-based measures" and is "closely aligned" to shareholders' interests, Right. These attitudes are not just limited to Wall Street firms.

Eastman Kodak is suffering some of the worst performances in the company's history. A $210 million loss, a 19% reduction in revenues, and now has fewer employees than in 1930. So Antonio Perez received a 61% pay increase in 2009, Well, the compensation committee cut his base salary by 9.8%. Then quietly more than compensated for the public salary cut with stock compensations and other incomes that resulted in a 61% incoming increase.

Let's not forget the company who invented the digital camera. And then its management did what any bean counter type would do. Surrender the market and jobs to the Japanese. No problem. Top management was well paid.

AT&T's Randall Stephenson got an 85 percent increase in 2009. Most diverted into his pension since his $29million annual salary was already a tax problem.

Goldman Sach's Lloyd Blankfein, in response to criticism for excessive compensation had his 'all stock' bonus limited to $9 million, But then he is a stock broker - deserves to be paid excessively.

According to a formula that relates chief executive pay to company performance, Cephalon (a Frazer PA based company) overpays their chief executive Frank Baldino Jr. eight times too much money at $11.1 million.

Curiously, Ford Motor's Alan Mulally who has led a massive turnaround of that company (by letting engineers design the cars) is defined as underpaid at $17.9 million.

And then is another innovative (therefore patriotic American company) named Amazon. Jeff Bezos is only paid $1.78 million annually.

One technique attaches an executive's compensation to performance. Spread sheets only report what was happening four to ten years ago. Therefore all stock options would be awarded five years later when the spread sheets are reporting what he really did. Guess who will suddenly be interested in advancing innovation. Not maximizing short term profits by defining innovators as an expense – as is routine in GM that can only make crap - then go running for government welfare.

[glatt]

Where do I sign up? I could be a really crappy CEO.

[xoxoxoBruce]

Goldman Sach's Lloyd Blankfein, in response to criticism for excessive compensation had his 'all stock' bonus limited to $9 million, But then he is a stock broker - deserves to be paid excessively.

But he earned it.

Goldman said first-quarter net income nearly doubled to $3.29 billion, bolstered by strength in fixed income trading and principal investments.