J. Kevin Gilligan

Capella Education Co.

Chairman, CEO

Total compensation: $4,732,424 for the year ended Dec. 31

Salary: $787,653

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.

Patrick Kennedy