gave CEO Gary Bloom an extra $350,000 in cash in 2002 but cut his options way back in a year that the share price dropped 65%.
Bloom was awarded a bonus of $1.15 million in 2002, an increase of 44% over 2001, in addition to his base salary of $1 million, according to a statement filed with the
Securities and Exchange Commission
on Friday. However, the company slashed his options from 2.25 million in 2001 to 800,000. His base salary was flat from 2001.
When the business year began on Jan. 2, 2002, Veritas stock was priced at $44.85. Fast forward to New Year's Eve 2002: Veritas closed at $15.62 a share, a drop of 65%, and revenue had increased by just 1%
To be fair, the company did earn 14 cents a share last year, ending a three-year losing streak in which EPS averaged a negative $1.59.
Bloom's good fortune was shared by most of his senior management team. The company raised the salary of Executive Vice President Paul Sallaberry from $425,000 to $750,000, while boosting his bonus to $525,000 from $350,000. His options were cut by 50% to 200,000. He also received $83,642 in unspecified "other compensation."
Chief Technology Officer Fred van den Bosch got an $80,000 raise to $480,000, and a bonus of $300,000, unchanged from the previous year. Kristof Hagerman, an executive vice president, was paid a salary of $315,000, up from $242,051 in 2001, and received 300,000 options, 25,000 more than in the previous year. The strike price on options for the executives mentioned was $16.26.
Compensation for Veritas executives is set by a committee of three outside directors, and is based on "corporate financial performance and individual performance," according to the filing.
Veritas closed at $19.06 a share on Friday