CEO Pay Watch Tennant Co.
Chris Killingstad, president, CEO
Total compensation: $8,032,606 for the year ended Dec. 31
Non-equity incentive pay: $380,610
Other compensation: $86,828
Exercised stock options: $5,340,173
Value realized on vesting shares: $1,560,418
New stock options: 36,149
Total 2013 return to shareholders: 56.4 percent
Note: Killingstad’s compensation for 2013 increased 79.9 percent over his $4.5 million compensation package in 2012.
Killingstad’s salary at the Golden Valley-based maker of commercial surface maintenance equipment only rose 3.3 percent and his annual cash bonus went down. But the company’s stock had a 56.4 percent total return for the year, which helped Killingstad realize $5.3 million from stock options granted in previous years.
Tennant had good financial performance in 2013, including a 1.8 percent increase in annual sales to $752 million and better growth in its operating margin. But the company failed to meet certain other financial goals, and executives earned lower short-term incentive payouts, including Killingstad, whose annual bonus was down 20.6 percent from 2012.
At last April’s annual meeting, shareholders gave near-unanimous support for the company’s executive compensation plan, with a 98.3 percent approval on its nonbinding say-on-pay vote.