CEO PAY WATCH ST. JUDE MEDICAL INC.
Daniel Starks, chairman, president, CEO Total compensation: $15,949,477 for the year ended Dec. 31
Salary: $975,000
Non-equity incentive pay: $1,061,775
Other compensation: $36,350
Exercised stock options: $13,876,352
New stock options: 450,000
Total return to shareholders: 11.6 percent
Note: Starks' total compensation for 2009 went down 50.5 percent, mainly because he exercised $29.8 million in stock options in 2008. His annual incentive was also down 22.2 percent as Starks and other St. Jude executives hit about 90 percent of their incentive target. Starks' short-term incentive is based 75 percent on earnings per share (EPS) and 25 percent on revenue. For 2009, St. Jude's revenue rose 7.3 percent to $4.7 billion and EPS was $2.26, up from $1.01 per share in 2008. Adjusted EPS for 2009 was $2.43, up from $2.22.
Starks' salary was down $18,750, but that was because of an extra week in the 2008 fiscal year. Starks' base pay rate has been the same since 2007, but it will increase in 2010 to $995,000.
For Starks' 2009 long-term incentive pay, the company recorded an expense of $5.9 million for stock options that will vest over the next four years, an amount down 8.7 percent from 2008.
PATRICK KENNEDY
