Yahoo: Meet Your New CEO, the $70-Million Woman
Long-time Yahoo employees, meet your new CEO: The $70 million woman.
She arrived Tuesday, and her very large compensation package was laid out in a regulatory filing two days later.
Marissa Mayer could earn $71 million in a combination of salary, bonus, options and restricted stock over the next five years.
Here is how that breaks down:
-- A $1 million annual salary, for a total of $5 million -- As much as a $2 million annual bonus, for a total of $10 million -- A $30 million retention award that vests over five years -- $12 million in stock and options that vests in the next three years -- $14 million in restricted options to make up for what she left on the table for leaving Google (NASDAQ: GOOG)
Mayer's compensation is more than two-and-a-half times the announced pay package of former Yahoo (YHOO) CEO Scott Thompson at the time of his hire. Thompson resigned as CEO in May after questions were raised about his academic credentials.
She also will be eligible for additional stock grants each year going forward that Yahoo expects to be at or above the $12 million in stock and options Mayer is slated to receive this year.
Yet her pay is low when compared with CEO packages at more prominent Silicon Valley companies. Tim Cook earned $378 million last year, his first at the helm of Apple (NASDAQ: AAPL), according to a San Jose Mercury News analysis performed by the compensation data provider Equilar.
Oracle (NASDAQ: ORCL) CEO Larry Ellison was #2 in Silicon Valley, raking in $77.5 million, the majority of his pay coming from stock options.
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