Piper Jaffray Cos.
Total compensation: $4,648,310 for the year ended Dec. 31
Non-equity incentive pay: $1,952,500
Other compensation: $109,567
Value realized on vesting shares: $2,036,243
New stock options: 49,000
Median employee pay: $179,011
CEO pay ratio: 31:1
Total 2019 shareholder return: -19.5 percent
Note: By some measures Chad Abraham made less in his first year as CEO of Minneapolis-based Piper Jaffray than he did the previous year as co-head of one of their better performing business units. In 2017 Abraham realized $5.7 million in total compensation.
Piper Jaffray noted in the proxy that Abraham's 2018 incentive compensation, including cash and equity incentives, decreased approximately 26 percent compared to 2017. The previous year had produced record results for the company, and he was co-head of the investment banking and capital markets group — one of Piper's strongest performing business groups in 2017.
Since his promotion to CEO in January 2018, the company has faced challenging market conditions that led to decreases in all business groups, a 10 percent decrease in overall adjusted net revenue and a 14 percent decrease in overall adjusted net income.
In recognition to his increased role in the financial company, the board increased his base salary by $125,000 and awarded Abraham a one-time, non-qualified stock option grant, 49,000 options with grant date value of $1.2 million.
Options have not been a regular part of Piper Jaffray's executive compensation plans for almost 10 years.