The challenges of integrating the Warnaco acquisition while fighting off late-year swings in currency translation combined to lower the compensation package of PVH Corp. chief executive officer Emanuel Chirico by nearly 30 percent last year.
Chirico, chairman and ceo of the New York-based apparel giant, earned total compensation of $13 million last year, 29.1 percent below the $18.4 million registered during the prior year.
Both the cash and awards components of his pay declined, with the cash portion down 19.3 percent to $3.1 million, as his salary was unchanged at $1.35 million and his cash bonus, or nonequity incentive plan compensation, descended 29.6 percent to $1.8 million.
The combination of his stock and option awards fell 42.7 percent to a total of $7.9 million from $13.8 million. These awards are reported to the Securities and Exchange Commission at fair value on the date granted, but executives may receive less due to fluctuating stock prices, vesting schedules and other factors.
PVH noted in its definitive proxy, filed with the SEC Thursday, that PVH experienced “modest growth” in 2014 versus a stronger performance in 2013 and that results met threshold levels but fell short of target levels.
Elsewhere on PVH’s compensation tables, the actuarial measure of change in pension value and nonqualified deferred compensation earnings nearly quadrupled to $1.8 million from about $480,000 in 2013, while “other” compensation fell 16.9 percent to $157,000 from $189,000.
Chirico’s bonus opportunities are tied to the adjusted earnings per share performance of PVH. Last year, on a reported basis, earnings tripled to $439 million, or $5.27 a diluted share, while revenues rose 0.7 percent to $8.24 billion.