Continental CEO defers pay/bonus until profitability restored

[jonjuan]

Say what you want but Kellner never deferred his salary, or said he would.

Agree-only scum bag execs defer compensation....all except Ultras DB, that is......

 

[IAHERJ]

Wow, a $190 million profit on revenues of around $13 billion. What is that a 2-3% operating margin?

Yes, that is correct. I guess you should pat yourself on the back for the part you play in keeping the legacy carriers at such low yields.

 

[Secret Squirrel]

Yea, You guys are, and always have been, a beacon of light when it comes to compensation and WORK RULES.

 

[SuperFLUF]

Say what you want but Kellner never deferred his salary, or said he would.

Not that the accountant was any better of a CEO than the lawyer will be, but he DID actually do the same thing (defer salary & "bonuses") in 2005 (except it was not contingent on profit so he really gave up that pay). When took the reins from Gordon and asked all of the employees for a pay cut to avoid bankruptcy.

AND he still made quite a bit of money that year with his stock grants and ROBIC "non-bonus". In fact, I seem to recall that the executive ROBIC plan was created to help pay Larry after he "gave up" his salary.

Now the problem the analysts say we have is that we didn't go through bankruptcy so our costs are higher than the competition. Go figure. :smash:

 

[Hutchman]

Wow, a $190 million profit on revenues of around $13 billion. What is that a 2-3% operating margin?

More like 1.5%..........

1% of 13 Billion would be $130 million.

 

[Hutchman]

Not until full year profitability, didn't you read? Rings hollow for him to give up his salary and bonus. He's already made 10X what he needs to retire today and not change his lifestyle one bit.

And now the rest of the story......

"In a regulatory filing Monday, Continental said Smisek's annual salary is $730,000. In his previous job as president and chief operating officer, he was due a salary of $576,000 in 2008 but declined more than half and was paid $240,000. He got no bonus that year — nor in the previous two years — but was paid $1.4 million under an incentive program that rewards executives for the company's performance over the previous three years."

Where else can you tell your employees AND THE MEDIA that you will not take a salary or BONE-US and still pocket 1.4 million?

 

[SuperFLUF]

And now the rest of the story......

"In a regulatory filing Monday, Continental said Smisek's annual salary is $730,000. In his previous job as president and chief operating officer, he was due a salary of $576,000 in 2008 but declined more than half and was paid $240,000. He got no bonus that year — nor in the previous two years — but was paid $1.4 million under an incentive program that rewards executives for the company's performance over the previous three years."

Where else can you tell your employees AND THE MEDIA that you will not take a salary or BONE-US and still pocket 1.4 million?

And that's not even all of it.
A business reporter in Houston reported yesterday that he made 4.9 million in 2008 as the president. Certainly made more than that last year and with his pay raise as CEO, even if he does give up his salary...yada, yada....he will still make more this year than last.

 

[General Lee]

It is all deferred compensation. He will get the same amount eventually, but he is trying to make you look bad to the rest of the employees. Classic MBA tactics.


Bye Bye--General Lee

 

[Ben Franklin]

Classic MBA tactics.


Bye Bye--General Lee

I would think a "classic MBA tactic" would be to get paid as much as possible as soon as possible... and then on to the next one.

Seems to me that taking a "paycut" to serve the greater good of an institution is a communist tactic.

Sincerely,

B. Franklin

 

[jonjuan]

I would think a "classic MBA tactic" would be to get paid as much as possible as soon as possible... and then on to the next one.

Seems to me that taking a "paycut" to serve the greater good of an institution is a communist tactic.

Sincerely,

B. Franklin

he's taking a paycut to get the trojan horse in the back door of the MEC.