LEVI STRAUSS, VF CORP. CHIEFS GOT BIG SALARY RAISES IN 1994
Byline: Thomas J. Ryan
NEW YORK — The heads of the two largest jeans makers — Levi Strauss Associates and VF Corp. — each received big pay hikes in 1994.
Robert D. Haas, Levi’s chairman and chief executive officer, garnered a 36.3 percent pay boost, while Lawrence R. Pugh, VF’s chairman and ceo, was awarded a 48.3 percent pay hike.
Haas earned $4.77 million last year, up from $3.5 million in 1993, according to Levi’s recently released 10K. The latest year included base salary of $1.04 million, bonus of $1.37 million, long-term incentive payouts of $1.36 million and $990,861 in other compensation. According to VF’s just-released proxy statement, Pugh earned $1.88 million in 1994, including base salary of $760,000, bonus of $1 million and $118,000 in costs of personal benefits, such as personal aircraft transportation. In 1993, Pugh earned $1.27 million.
Pugh also realized $518,850 on the exercise of stock options for 15,000 shares last year. In addition, he received options for 90,000 shares at $47.90 each. VF’s stock closed Friday on the New York Stock Exchange at 50 7/8.
Both firms had strong years in 1994, benefiting from improvement in the jeans business and cost reduction programs. Levi’s operating earnings advanced 13.8 percent to $969.1 million, while sales edged up 3.1 percent to $6.07 billion. VF’s operating earnings climbed 24.8 percent to $538.8 million, with sales ahead 15 percent to $4.97 billion. Both companies’ presidents and chief operating officers were highly compensated, as well.
Thomas W. Tusher, Levi’s president and chief operating officer, received $3.16 million in compensation in 1994, up from $2.93 million. The latest year included $709,852 in base salary, $785,953 in bonus, $1.2 million in long-term incentive payouts and $465,924 in other compensation.
Mackey J. McDonald, VF’s president and chief operating officer, saw his compensation almost double to $1.3 million from $727,750. His latest year’s pay consisted of $525,000 in base salary, $700,000 in bonus and $78,860 in personal costs, partly due to relocation expenses tied to his promotion to president in October 1993. — Fairchild News Service