By  on May 25, 2011

Paul and Maurice Marciano, the brothers who serve respectively as chief executive officer and chairman of Guess Inc., saw their collective compensation rise 70 percent last year, to more than $26 million, as their firm registered double-digit increases in sales and profits.

Paul Marciano, the Los Angeles-based company’s top earner, netted $15.4 million in total compensation, 57.4 percent above the $9.8 million reported for 2009, with his $1 million salary unchanged and his nonequity incentive plan compensation down 1.7 percent to $4.75 million from $4.84 million. His stock and option awards totaled $2 million, 39.7 percent above the $1.4 million reported for 2009.

Nearly all of the increase in Paul’s pay package was linked to a $5 million increase in pension value and nonqualified deferred compensation earnings, which grew 208 percent to $7.6 million from $2.5 million in the prior year. The company attributed the jump in the pension column to new guidelines affecting actuarial calculations tied to the company’s supplemental executive retirement program, or SERP.

Maurice Marciano earned a total of $10.8 million last year, 91.9 percent above the 2009 level of $5.6 million. His $1 million salary came against just $49,000 in 2009 pay as he voluntarily waived his base salary during the recession. Although the other component of his cash payments, nonequity incentive plan compensation, fell 15.6 percent to $1.9 million from $2.3 million in the prior year, his stock and option awards more than doubled, to $3.4 million from $1.6 million, and the change in pension value and nonqualified deferred compensation earnings more than tripled, to $4.1 million from $1.3 million, also as a result of a SERP adjustment.

Stock and option awards aren’t necessarily realized because of fluctuating stock prices and vesting schedules, but companies are required to report them at fair market value.

In the fiscal year ended in January, Guess’ net income increased 19.3 percent, to $289.5 million, as revenues grew 16.9 percent to $2.49 billion.

Eliminating overlapping stock holdings, the Marciano brothers own 30.1 percent of Guess’s outstanding common stock, according to their most recent Securities and Exchange Commission filings.

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