Ford CEO gets $58.3M reward
SOUTHFIELD, MICH.— Ford Motor Co. has awarded chief executive officer Alan Mulally $58.3 million (U.S.) in stock as a reward for the automaker’s turnaround. Ford paid the stock to its top executive as part of an incentive plan for 2009, according to filings with the Securities and Exchange Commission. Ford earned $29.5 billion (U.S.) in the past three years after $30.1 billion in losses from 2006 through 2008. The shares, which traded as low as $1.01 on Nov. 20, 2008, closed Wednesday in New York at $12.24. Mulally will receive other compensation for 2011, including salary and benefits, which will be revealed in a proxy report in the coming weeks. Dearborn, Mich.-based Ford withheld some of the stock award to cover Mulally’s income taxes. After taxes, Mulally received $34.5 million in stock. Ford has awarded him stock worth more than $100 million the past two years. Last July, United Auto Workers president Bob King assailed Mulally’s compensation as “outrageous” and “excessive.” Last year, Ford rewarded Mulally with $56.6 million in stock. The executive’s 2010 compensation rose 48 per cent to $26.5 million.
In his new awards, Mulally, 66, also received 1.28 million stock options with a strike price of $12.46, which he can begin to exercise next year, and he was awarded 376,016 restricted stock units that can be converted into shares in 2014.
Executive chairman Bill Ford, 54, received 595,238 stock options with a strike price of $12.46, the first of which he can exercise next year, and he was awarded 175,473 restricted stock units that can be converted into shares in 2014, according to a separate filing with the SEC.