Most Recent Articles In Denim
Latest Denim Articles
- Notify Expands Made-to-Measure Denim
- Fabrics and Innovation Proliferate at Denim PV
- XCVI Acquires Agave for Foothold in Men’s Denim Market
More Articles By
Maurice Marciano, who made the transition to nonexecutive chairman of and consultant to Guess Inc. at the close of its last fiscal year on Jan. 28, pocketed a $1.4 million special cash bonus in connection with his retirement.
The bonus helped lift his overall compensation last year to $13.8 million, 27.9 percent above the $10.8 million recorded for fiscal 2010. His salary for the year was unchanged at $1 million and he received no nonequity incentive plan compensation after getting $1.9 million in the prior year.
His stock and option awards rose to $8.4 million from $3.4 million, as provisions of his retirement kicked in. Because of vesting schedules and fluctuations in stock prices, his awards may ultimately translate to lesser amounts, but the Securities and Exchange Commission requires they be reported at “grant date fair value.”
RELATED STORY: Gucci Presses On in Trademark Case >>
The company’s proxy statement, released Wednesday, detailed the ongoing relationship of Marciano, 63, with the company he co-founded with brothers Paul, Armand and Georges in 1981. A two-year consulting arrangement began immediately upon his retirement and provides for fees of $500,000 a year. Outstanding equity awards will continue to vest during his tenure as a director of the firm.
Marciano was executive chairman at the time of his retirement.
Paul Marciano, vice chairman and chief executive officer of Guess, earned a total of $14.4 million last year, 6.7 percent below his 2010 compensation. His salary remained at $1 million and his stock and option awards increased 1.7 percent to $2 million. His nonequity incentive plan compensation, tied closely to the company’s licensing income, was cut in half, to $2.4 million from $4.8 million.
Guess saw its net income fall 8.3 percent to $265.5 million last year as revenues notched up 8.1 percent to $2.69 billion. On Tuesday, the company reported a 37.6 percent drop in first-quarter profits, to $26.6 million, as revenues dropped 2.2 percent to $579.3 million.