Bewkes Up, Parsons Is Down
by Staff -- Multichannel News, 3/31/2008
The Facts: Time Warner Inc. CEO Jeffrey Bewkes raked in $19.6 million in compensation in 2007, according to the company’s proxy statement filed with the Securities and Exchange Commission on March 21. Included in his pay package was $1.25 million in salary, $7.3 million in stock awards, $3.9 million in option awards and a $7 million bonus (about $500,000 less than in 2006). The total package was a 4.6% raise from Bewkes’ 2006 total compensation of $18.7 million.
Time Warner chairman Richard Parsons received about $18.6 million in compensation in 2007, a 17.3% decline from the $22.5 million he was awarded in 2006.
The Details: According to the proxy, Parsons, who served as chairman and CEO for all of 2007 (Bewkes became CEO on Jan. 1, 2008), the difference in compensation was mainly in stock awards — Parsons received $4.9 million in stock awards (versus $5.6 million in 2006) and $4.1 million in option awards (versus $6.3 million in 2006) for the year. Parsons’ 2007 bonus was $7.5 million in 2007, compared to $8.5 million in 2006. In the proxy, Time Warner said Parsons exceeded targets for cash flow and free-cash-flow growth, as well as several other performance goals, but that Time Warner’s total shareholder return fell short of the average return of companies in the Standard & Poor’s 500 Index.
