luvthe9
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Is Parker worth it?
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PITbull
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No executive at U is worth that kind of compensation package on the heels of all of labor's pensions being dumped last year, tied to low wages for the next 7 years, increases in medical, and still no sustaining company profits.
What U has is $2.5 billion from investors on a gamble of a successful merger.
Company should have a sustaining period of performance in order to justify and award huge compensation for a few execs. And this should trickle down to labor in the form of "contract reopeners".
Seatacus
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Did I read that wrong or did Parker make more money from merger than he did from salary?
fatherabraham
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DP is indirectly saying you can take anything from LCC that will keep you employed and out of jail. Leadership examples start at the top and I figure all is up for grabs that you as an employee can live with.
Go figure that AC has a pension that comes back to life.
Sorry state of affairs and not good for a company that must trust many employees and thier honest good will.
FA
Go figure that AC has a pension that comes back to life.
Sorry state of affairs and not good for a company that must trust many employees and thier honest good will.
FA
Dog Wonder
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"US Airways Chief Executive Officer Doug Parker's compensation package totaled $5.68 million last year, more than four times the amount in 2004."
I would settle for the .68 million. It is still more than the humble DPs alleged salary.
I would settle for the .68 million. It is still more than the humble DPs alleged salary.
Awa Contract
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Gee and what was all that heat I was taking for comments about Dougie - I keep telling you folks " Frankie with a candy coating"
AIRWOMAN
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Just posting the letter from Compass...that's all.
Letter from Doug Parker
April 10, 2006
To: All Employees
US Airways today filed its 2006 proxy statement with the Securities and Exchange Commission (SEC). The proxy statement contains a good bit of information about our company but the section that usually gets the most attention is the disclosure of executive compensation.
I have consistently said two things about my compensation: 1) It will be heavily weighted toward performance. That is, most of my compensation will be in at risk items such as stock options and incentive programs that only pay if the company is successful; and 2) I will always be open and honest with you about how I am compensated. I think it is absolutely your business to understand how I’m paid and you should never be surprised to learn about my compensation by reading about it after the fact.
With that in mind, the following highlights the major components of the executive compensation table that is disclosed in today’s proxy filing:
Base Salary: I was paid a base salary in 2005 of $550,000. This is the same salary I’ve had since I was named CEO of America West in 2001 and it has not been changed with the passage of time or as my responsibilities have grown at our larger, merged company.
Annual Bonus: As you know, I declined my 2005 annual bonus of $770,000 and this is disclosed again in the proxy.
Long Term Incentive Plan (LTIP): I received payments of $1.7 million in 2005 through our LTIP, which was put in place at America West in early 2002 as an added way to focus management on creating long-term shareholder value. It pays based upon the company’s stock performance versus our competitors over a three-year period. The value of America West’s stock (converted to US Airways stock after the merger) increased 558% from 2002 – 2005, far more than any other airline, which resulted in the maximum payment under the plan. The amount is also unusually large because two performance periods ended in 2005 due to the transition to this LTIP.
Restricted Stock Awards: The compensation table lists $3.3 million of restricted stock awards for me in 2005. These are shares of stock that were awarded at the time of the merger. As this is by far the largest dollar value in the table, it is important to understand that this compensation has not yet been earned. The shares are not earned until November 2007 at the earliest, and at that time will only have this much value if US Airways’ stock retains its value.
In addition to the 2005 compensation table, the proxy statement also notes that I have $13.6 million of vested, but unexercised, stock options. All of these options were issued as former America West shares. In my ten years at America West, I have never sold a single share of stock. The value of these shares has fluctuated wildly over time and I, of course, will not recognize any of this value until I actually exercise and sell the shares.
I hope this helps you better understand my compensation. I recognize that it is a significant expense to our company and I fully appreciate the obligation that comes with it. I am committed to meeting that obligation and working with you to transform US Airways into a truly great airline.
Letter from Doug Parker
April 10, 2006
To: All Employees
US Airways today filed its 2006 proxy statement with the Securities and Exchange Commission (SEC). The proxy statement contains a good bit of information about our company but the section that usually gets the most attention is the disclosure of executive compensation.
I have consistently said two things about my compensation: 1) It will be heavily weighted toward performance. That is, most of my compensation will be in at risk items such as stock options and incentive programs that only pay if the company is successful; and 2) I will always be open and honest with you about how I am compensated. I think it is absolutely your business to understand how I’m paid and you should never be surprised to learn about my compensation by reading about it after the fact.
With that in mind, the following highlights the major components of the executive compensation table that is disclosed in today’s proxy filing:
Base Salary: I was paid a base salary in 2005 of $550,000. This is the same salary I’ve had since I was named CEO of America West in 2001 and it has not been changed with the passage of time or as my responsibilities have grown at our larger, merged company.
Annual Bonus: As you know, I declined my 2005 annual bonus of $770,000 and this is disclosed again in the proxy.
Long Term Incentive Plan (LTIP): I received payments of $1.7 million in 2005 through our LTIP, which was put in place at America West in early 2002 as an added way to focus management on creating long-term shareholder value. It pays based upon the company’s stock performance versus our competitors over a three-year period. The value of America West’s stock (converted to US Airways stock after the merger) increased 558% from 2002 – 2005, far more than any other airline, which resulted in the maximum payment under the plan. The amount is also unusually large because two performance periods ended in 2005 due to the transition to this LTIP.
Restricted Stock Awards: The compensation table lists $3.3 million of restricted stock awards for me in 2005. These are shares of stock that were awarded at the time of the merger. As this is by far the largest dollar value in the table, it is important to understand that this compensation has not yet been earned. The shares are not earned until November 2007 at the earliest, and at that time will only have this much value if US Airways’ stock retains its value.
In addition to the 2005 compensation table, the proxy statement also notes that I have $13.6 million of vested, but unexercised, stock options. All of these options were issued as former America West shares. In my ten years at America West, I have never sold a single share of stock. The value of these shares has fluctuated wildly over time and I, of course, will not recognize any of this value until I actually exercise and sell the shares.
I hope this helps you better understand my compensation. I recognize that it is a significant expense to our company and I fully appreciate the obligation that comes with it. I am committed to meeting that obligation and working with you to transform US Airways into a truly great airline.
MarkMyWords
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I applaude him for even taking the time to discuss it at all. Shows a great amount of character and good will in my book. If he is able to turn this merger into a success story, he will bear the fruits of his (our) labor. Sure does give him insentive to keep that stock price pretty high.
Thanks Doug!
Thanks Doug!
If it were'nt for the HUGE pay and benefit cuts from the contract employees, none of us would be working for this airline right now..
Is Doug worth it? Too early to tell.
Is there people out there that actually believe, [eventually], Doug will NOT get his $770,000 ?
Is Doug worth it? Too early to tell.
Is there people out there that actually believe, [eventually], Doug will NOT get his $770,000 ?
AIRWOMAN
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That's true. And this is one of the things that some of the east employees hammer on the west employees about......at AWA, all employees were paid on the lower end whether or not they were under a union contract. Hopefully the understanding of this will come around soon.If it were'nt for the HUGE pay and benefit cuts from the contract employees, none of us would be working for this airline right now..
Is Doug worth it? Too early to tell.
Is there people out there that actually believe that eventually Doug will not get his $770,000 ?
No........he'll get it eventually and maybe even more.
gonzo
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At this point in time he is NOT worth it. Wait for it.........you can hear all the cheerleaders getting ready to start the complaints. You can see the quivering lower lip and tears rolling down........he's a good man! I bet he doesn't give and of those "perks" back. ROFL 🙂
PITbull
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If he weren't here, there would be a different CEO. U went through 6 of them in the past 5 years.
Did he mention anything in his address about company performance and contract reopeners for wages for the employees?????
I would think this CEO would consider raising the wages of his workers before he would cash in on stock and bonus if the company reaches performance targets.
