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.
@tradesy is turning the concept of a showroom upside down with its new space in Santa Monica. Here, the company plans to hold events, art exhibits and a showcase rare fashion pieces like this Louis Vuitton boxing set. Get all the details on Tradesy’s first showroom on WWD.com. #wwdnews
Spotted last night at the @erdem x @hm launch event: Kate Bosworth, Rashida Jones, Kirsten Dunst and Selma Blair. The party, which took place in LA, also marked the opening of their pop-up shop. “I was interested in creating a collection that wasn’t in any way disposable. It was about pieces you’d create and keep forever, things that have a permanence to it,” designer Erdem Moralioglu said. #wwdeye (📷: Katie Jones)
Renee Zellweger in yellow in 2001 and again in 2017. Chosen as one of the 12 @pantone Leading Spring Colors (and dubbed “Meadowlark”), it only makes sense that the bright hue stands the test of time and is making a resurgence this season, seen already on stars like @blakelively and @gigihadid. (📷: Donato Sardello & @rexfeatures) #wwdfashion #tbt
Dior’s 70th anniversary celebration continues with a new exhibition at the Royal Ontario Museum in Toronto. “Christian Dior,” which is scheduled to run through March 18, takes a look at the founders tenure from 1947 to 1057 and feature 40 designs. Pictured here is an evening gown from the Ailée, fall 1948-49 haute couture collection. #wwdfashion (📷: Brian Boyle)
As one of the most recognizable models in the world, Christy Turlington Burns has an insider’s view of the fashion industry and the allegations of sexual harassment swirling around it. “I can say that harassment and mistreatment have always been widely known and tolerated in the industry. The industry is surrounded by predators who thrive on the constant rejection and loneliness so many of us have experiences at some point in our careers,” Turlington told WWD, along with her suggestions for how the modeling world should protect younger women and men. Read more on WWD.com. Link in bio. (📷: Tony Palmieri) #wwdnews
@asics America has tapped a new brand ambassador: famed DJ/record producer @steveaoki. This initiative is intended to set the tone for the new brand identity and philosophy and will include partnerships with influencers and in-store and off-line activations that will continue into next year. This is Asics’ most significant marketing effort in two decades, and is expected to attract younger consumers to the brand. #wwdfashion
24-year-old Jean Prounis is redefining the rules of jewelry. Formerly a studio assistant to Jemima Kirke and a design apprentice at Ghuran, she focuses on handcrafted subtleties and ancient goldsmithing techniques. “There was a really sterile feel in the environment and I wanted to have jewelry with character that shapes how you wear it everyday,” Prounis said. Each piece is hand made in New York, either by Prounis or three other jewelers in the district. #wwdfashion
“These collections continue to build on that vision, empowering differently abled adults to express themselves through fashion,” said @tommyhilfiger of his line of adaptive apparel, which launches today. The line consists of 37 men’s and 34 women’s styles based upon the pieces from the spring Tommy Hilfiger sportswear collection. #wwdnews