Presiding over a 34% slump in a company’s share price in the space of a year might be considered a cause for executive hand-wringing. Not so at Walt Disney Company, where the most senior staff have been awarded multimillion-dollar bonuses for overseeing just such a freefall in 2002.
Disney’s annual report, released ahead of its Q4 results, shows that under-fire chairman/ceo Michael Eisner took home a $5 million (€4.7m; £3m) bonus on top of his $1m salary.
Eisner – who took most of his bonus in stock – has been criticised for Disney’s falling share price and the weak showing of its ABC television network. However, the media mammoth defended the payment, arguing it reflected Eisner’s “ongoing efforts to set the groundwork for strengthening the company’s future performance.”
The other big beneficiary is president and chief operating officer Bob Iger, who received $18m last year. This included around $12.6m from share options, a salary which rose from $1.5m to $2m and a bonus related to a promotion.
Data sourced from: Times Online (UK); additional content by WARC staff