Mulally Snags $28.2 Million from Ford - TheStreet

Mulally Snags $28.2 Million from Ford

Included in the compensation is a $7.5 million signing bonus and $11 million in forfeited Boeing awards.
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CEO Alan Mulally received $28.2 million in compensation for his four months on the job with the automaker last year.

Mulally, who took over as CEO from Bill Ford Jr. on Sept. 1, earned $666,667 in salary for the year, Ford disclosed in a proxy statement Thursday. That number was significantly boosted by a $7.5 million hiring bonus and $11 million to offset his forfeited stock options and performance awards from his former employer,

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.

Mulally also had $8.7 million in options and other stock-based awards, and $334,433 in other compensation for items like use of the company aircraft. Ford said in the filing that its board recently clarified that its travel agreement allows for Mulally's wife, children and guests to travel on the company aircraft without him to "ease the burden" of Mulally moving to Ford's Dearborn, Mich., headquarters and away from his family in Seattle.

Bill Ford, who continues to serve as chairman, received no cash salary or bonus, consistent with a 2005 agreement that called for him to forgo any new compensation until the struggling automotive business returns to sustainable profitability. In terms of other items like stock-based awards, however, his compensation totaled $10.5 million.

Among other Ford bigwigs, Chief Financial Officer Don Leclair had total compensation of $4.4 million; Mark Fields, president of the Americas division, received $5.6 million; and Jim Padilla, the president and chief operating officer who retired in July, had compensation totaling $8.7 million.

Ford posted a $12.6 billion loss for 2006 as the automaker struggled with declining U.S. sales and a big restructuring. The company offered buyouts to all of its hourly workers and slashed its salaried workforce by a third during the year, and it continues to negotiate for new cuts with the United Auto Workers union.