Maurice Marciano, chairman of Guess Inc., chose to work without a salary last year, but managed to double the cash portion of his compensation on performance-based bonus payments.
Marciano’s total compensation was $5.6 million, 38 percent less than the $9.1 million reported for 2008, according to the company’s definitive proxy statement filed Tuesday with the Securities and Exchange Commission. Stripping out the noncash portion of this amount, including stock awards and change in pension value and nonqualified deferred compensation, his cash payments rose to $2.7 million from $1.3 million.
Although his $1 million salary in 2008 was replaced by $49,000 to cover tax withholding amounts for noncash items, Marciano’s nonequity incentive plan compensation was $2.25 million compared with zero in the previous year. Other items, including $312,000 for home security, rose 18 percent to $384,000 from $326,000.
Guess’s proxy said Marciano waived his salary “in light of the economic downturn and to reinforce his firm commitment to reducing company expenses.”
Although the cash amounts of his pay package grew, the long-term elements declined. The sum of Marciano’s stock and option awards dropped 55.2 percent to $1.6 million from $3.6 million, and the change in pension value and nonqualified deferred compensation fell by more than two-thirds, to $1.3 million from $4.2 million. Because of vesting schedules and fluctuating stock prices, stock and option awards aren’t necessarily realized by the executive, but the SEC requires that their fair value be reported in a company’s proxy statement.
Compensation for Paul Marciano, vice chairman and chief executive officer of Guess, declined 4.2 percent to $9.8 million from $10.2 million, with the cash portion of his pay slightly more than doubling to $5.9 million from $2.9 million. His salary was unchanged at $1 million and the sum of his stock and option awards essentially flat at $1.4 million, but his nonequity bonus climbed 165.6 percent to $4.8 million from $1.8 million.
The ceo’s nonequity bonus included $1.8 million tied to the firm’s licensing income.
Maurice and Paul Marciano are listed in the proxy as the owners of 16.9 percent and 13.9 percent, respectively, of the 93.3 million shares of Guess stock outstanding as of May 6.
The compensation of Carlos Alberini, who this month resigned as Guess’ president and chief operating officer to become co-ceo of Restoration Hardware Inc., was $3 million, up 0.1 percent, with increases in his nonequity bonus offsetting a decline in his stock and option awards.
In the year ended Jan. 30, the Los Angeles-based firm’s net income grew 14.6 percent to $246.3 million as revenues came in 1.7 percent ahead at $2.13 billion.
Exclusive: @britneyspears is continuing to expand her brand. The pop icon, who appears in @kenzo ’s latest campaign, is partnering with Epic Rights to launch a line of branded merchandise. Read @hernameislex ‘s story, link in bio. #wwdnews #britneyspears
The Duchess of Cambridge channeled Princess Diana’s look upon giving birth to Prince Harry, when she and the Duke of Cambridge departed the hospital with the new baby Prince this afternoon in London. #wwdeye #princeofcambridge
The new Prince of Cambridge has arrived! The Duke and Duchess of Cambridge posed with the 8-pound newborn. She wore a look from one of her go-to designers, @jennypackham. Tap link in bio for more. #wwdeye #princeofcambridge
Jewelry label @alisonlou has made a name for itself with fine jewelry that speaks to the Millennial market. Now @twallz21 reports that the label is bringing those playful ideas to a new affordable line of lucite hoops with the launch of Loucite by Alison Lou. Here’s a look from the line modeled by @emrata. #wwdaccessories
@sarahjessicaparker and @gilt are teaming up on a bridal ready-to-wear line. Tomorrow, Parker will launch SJP by Sarah Jessica Parker Bridal — and as part of the launch, Gilt will offer 15 exclusive styles from the SJP by Sarah Jessica Parker footwear collection that were designed to complement the new line. Made out of 10 styles, the line is designed for a variety of occasions, from bridal showers to receptions. Get more details on WWD.com #wwdfashion
A grooming moment between @tanfrance and @antoni last night at the The LGBT Community Center Trailblazer Awards honoring Anna Wintour, Ricky Martin and more. See more photos at WWD.com #wwdeye (📷: @lexieblacklock)
“It was a very surreal feeling. It wasn’t like we were in the studio together coming up with it — it’s more like he discovered it and loved it. I didn’t let myself get my hopes up, but then it happened it was very exciting,” said singer-songwriter @nombe on discovering that @pharrell would be using his song, “Cant Catch Me” on his HBO documentary series “Outpost.” The German-born singer — named Noah MacBeth — talked to WWD about feminism, using art as a platform for political expression and personal style. Read more on WWD.com #wwdeye (📷: @jilliansollazzo)
This season, denim is going west – in influence. Brands like @fathersdaughterla (pictured here), @tommyhilfiger Jeans, @levis and more are opting for raw, top-stitching styles. (Styled by @thealexbadia; 📷: @ryanplett)