Target Corp. chief executive officer Brian Cornell saw his 2016 compensation fall 33 percent to $11.3 million as his incentive pay disappeared and the value of his stock awards declined.
Cornell’s salary held steady at $1.3 million, but the value of his stock awards (which might never be fully realized given share price fluctuations) fell to $9.7 million from $13.4 million in 2015. He received no incentive pay, down from a $2 million payout he saw in 2015. The ceo also logged other compensation of $330,532.
The 58-year-old executive took control at Target in August 2014 and has been pushing to update the mass retailer, which, like other brick-and-mortar players, is facing a tough shopping environment, the new habits of Millennials and competition online, namely from Amazon.
He is looking at combination of data analytics, style cred and gut instinct to bring customers to Target, both online and off.
It’s still a work in progress.
In March, Cornell acknowledged that 2016 “was not our best year” and laid out plans for the retailer to spend $7 billion over the next three years and sacrifice $1 billion in annual operating profits as it looks to grab market share.
The retailer is renovating more than 600 stores over the next three years.
“They’ll look and function differently. They’ll be reconfigured with more space for fashion storytelling and table settings in home. They’ll be digitally connected,” he said. “Order pickup and bridal registry in 2018 will touch 250 stores — 600 by 2019, and that’s just the beginning.”
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