NYT MAKES IT RAIN FOR TOP BRASS: The New York Times Co. revealed that chairman and publisher Arthur Sulzberger Jr. is poised to receive a 28.8 percent increase in total compensation in fiscal 2014, according to a proxy filing with the Securities and Exchange Commission. Sulzberger will net $6.8 million in total compensation when shareholders gather at the company’s annual meeting at The Times Center on May 6 in order to approve key issues including executive pay and the election of board of members.
This story first appeared in the March 25, 2015 issue of WWD. Subscribe Today.
Built into Sulzberger’s pay day is a salary of $1.1 million — what he earned in 2013 — as well as $2 million in stock awards, $2.3 million in non-equity compensation, a $1.3 million pension and $186,405 in other compensation, which includes a reimbursement for relocation expenses.
The publisher’s counterpart, president and chief executive officer Mark Thompson, saw his total compensation slip 1.3 percent to $4.5 million, even though his annual salary remained the same at $1 million. Where Thompson lost ground is on non-equity plan compensation, which fell 26.1 percent to $1.5 million. Thompson’s stock awards totaled $2.3 million, while his other compensation more than doubled to $176,257. A reason for the bump was not provided.
Another interesting tidbit in the filing dealt with payment and termination. Should Sulzberger be terminated, resign, retire/die or suffer a disability, he would obtain an annual and long-term performance award of $5.2 million. In those cases, his stock options would total $441,012, his nonqualified deferred compensation would amount to $1.4 million and his pension would equal $13.7 million. These figures would hold true should The Times change control and Sulzberger be terminated.
Under a change in control of the company, Sulzberger would net annual and long-term performance awards of $3 million and a deferred compensation of $1.4 million.
For Thompson, the story is a bit different. If terminated, the ceo will net $1 million in annual and long-term performance awards, stock options of $87,721 and severance benefits of $3.6 million. Should he become disabled, pass away or retire, the ceo will get $4.1 million, a severance of $13,183, deferred compensation of $73,704 and a mix of restricted stocks and stock option amounting to $773,553. If The Times changes hands, Thompson will get about $3 million, but if he’s terminated and it changes control, he will nab $4.5 million in awards, $87,721 in stocks and severance benefits of $3.6 million.
Unlike Sulzberger, whose family owns 4.6 percent of The Times or 7.7 million shares, if Thompson resigns, he gets nothing.