CEO PAY WATCH PLATO LEARNING INC.
Vincent Riera, president, CEO Total compensation: $656,000 for the year ended Oct. 31
Salary: $390,000
Non-equity incentive pay: $233,883
Other compensation: $15,125
Value realized on vesting shares: $16,992
New stock options: 255,000
Total return to shareholders: 157.6 percent
Note: The company recorded as expenses $57,822 worth of stock awards and $94,936 worth of option awards for Riera during the year.
Riera joined Plato Learning in April 2007 and was named CEO Nov. 1, 2008. A recession and a relatively new CEO warrants a closer look at executive pay. Last year Plato's compensation committee hired Deloitte Consulting to review executive compensation plans.
After being promoted from senior vice president of sales to chief executive, Riera received a salary increase of $64,800. Short-term incentive compensation was based on free cash flow and revenue targets. Based on 2009 financial performance the company achieved 100 percent of its targeted payout for short-term incentive compensation, 87 percent for reaching cash flow targets and 13 percent for achieving revenue targets.
Plato's long-term incentive compensation, stock options and performance shares are based on operating income and subscription renewal rates for its Plato Learning Environment online product. Long-term payout was 180 percent of target, five-ninths from operating income and four-ninths from subscription renewal. Plato's 2009 revenue was $65.2 million, down 4.7 percent from the previous year; operating income was $1.1 million, up from previous year's operating loss of $95.3 million.
PATRICK KENNEDY
