J. Kevin Gilligan
Capella Education Co.
Total compensation: $4,732,424 for the year ended Dec. 31
Nonequity incentive pay: $1,821,933
Other compensation: $14,245
Exercised stock options: $1,352,366
Value realized on vesting shares: $756,227
New stock options: 67,786
Total 2016 shareholder return: 95 percent
Note: Performance-based incentive bonuses at Capella are awarded to executives based on financial and quality metrics. Last year, Capella exceeded targets for revenue and profits, achieved maximum levels on two of three quality measures and met threshold performance on the third. That helped executives earn bonuses that were 144 percent of the targeted amounts and helped Gilligan earn a $1.8 million bonus in 2016, $975,515 more than the previous year.
Capella was one of the best performing stocks in Minnesota last year as the company largely outperformed its education services industry peers. The rising share price also allowed Gilligan to realize more value from the options he exercised during the year.