Earnings

Return to Article

Scana Stock Grants Increased CEO Compensation

The Associated Press

COLUMBIA, S.C. (AP) — Electric and natural gas utility holding corporation Scana Corp. paid $6.7 million in compensation to its chief executive officer in 2008, up substantially due to the payment of stock grants last year that he did not receive in 2007.

William B. Timmerman was paid a salary of $1.1 million, a $186,830 bonus and a performance-based bonus of $467,075, according to a proxy filed Wednesday. He also received other compensation of $123,448 that included contributions to a defined contribution plan, financial planning services and a residential security system.

The bulk of Timmerman's compensation was $4.9 million in what the Columbia, S.C.-based Scana estimates to be the fair value of stock grants, at the time they were awarded, in two February payments last year.

In 2007, Timmerman, 62, was paid a slightly lower salary, bonus and performance-based bonus. He did not receive stock grants.

Timmerman's salary increase last year, from $1 million in 2007, was "necessary and appropriate in light of market survey data and individual performance," the company said.

Because Scana fell short of its earnings target of $2.97 per share for 2008, earning instead $2.95 per share, the company did not make payments on its earnings per share component of a short-term annual incentive plan, the company said.

However, the company said it rewarded senior executive officers because they and the company achieved other objectives. Timmerman's performance-based bonus was 5 percent higher than in 2007.

His award was based on his contributions and his leadership of other senior executives in achieving the company's overall corporate strategic plan objectives, Scana said.