On the heels of Disney’s historic deal to buy 21st Century Fox, Disney chairman-CEO Bob Iger saw a big increase in compensation last year thanks to stock awards he received after extending his contract in late 2017.
Iger’s total compensation for Disney’s fiscal 2018, which ended September 30, reached $US65.6 million ($90.9 million), up from $US36.2 million in 2017, according to Disney’s Securities and Exchange Commission proxy filing on Friday.
The biggest driver of the increase was $US26.3 million in stock awards Iger received in connection with his decision to extend his tenure as CEO through 2021 in order to shepherd Disney’s integration of 21st Century Fox assets.
Iger’s base salary increased slightly in fiscal 2018 to $2.9 million, from $US2.5 million in 2017. He received a total of $US35.4 million in stock awards and another $US18 million in bonuses, per Disney’s proxy filing. Without the stock awards, Iger’s 2018 compensation package would have come in at $US39.3 million.
Disney’s filing disclosed that the total value of all of Iger’s Disney stock award holdings, assuming that the company performs at the highest levels according to the metrics in his employment contract, is $US149.6 million. Iger has been CEO since 2005 and has presided over a triple-digit increase in the company’s shareholder returns. Disney at present is in the home stretch of finalising its $US71.3 billion acquisition of 21st Century Fox.
The filing also discloses that Kevin Mayer, chairman of Disney’s direct-to-consumer and international unit, received $US11.6 million in total compensation in fiscal 2018, including a $US5.3 million bonus and $US2.7 million in stock awards. Disney CFO Christine McCarthy took in $US11.8 million. General counsel Alan Braverman received $US10.4 million. Longtime corporate communications chief Zenia Mucha received $US5.1 million.
Disney’s 2019 annual shareholders meeting is set for March 7 at the Stifel Theatre in St. Louis. Also Friday, Disney disclosed that Derica Rice, president of CVS Caremark and exec VP of CVS Health, has been nominated for election to the board at the annual meeting. Current board members John S Chen, Aylwin B Lewis and Fred H Langhammer will be departing the panel in keeping with Disney’s board policy that limits the tenure of members to 15 years and sets 74 as the retirement age.
“As a well-respected leader in a dynamic, consumer-facing industry, Mr. Rice will bring a wealth of expertise and experience to our Board,” Iger said. “We look forward to his insight and perspective as we continue to position the Company for long-term growth during this transformative era.”