DJ USAirways Gives New CEO $687,952 in Stock, 288.800 Options
Dow Jones Newswire
05-21-04 1425ET-- 02 25 PM EDT 05-21-04
Dow Jones Newswire
05-21-04 1425ET-- 02 25 PM EDT 05-21-04
Usairways Gives New Ceo
- Thread starter usairways_vote_NO
- Start date
Puts him in line with CEOs of the LCCs. Good move on UAIR's part. If UAIR wins, so does Lakefield. Also saw that he does not have a golden parachute clause like Siegel did.
PhillyFlyGuy
Member
- Nov 21, 2002
- 90
- 0
What's your point here? For the most part every CEO has always been alotted stock shares. Are you trying to stir the pot more? Hmmmmm.....I smell a RAT on this fourmusairways_vote_NO said:
Someone please call pest control :cop:It was reported here in another thread that Lakefield has a $3mil pay-out if terminated within 3 years... Not sure if this is true.marco90821 said:
PhillyFlyGuy
Member
- Nov 21, 2002
- 90
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From the Board of Directors Meeting
The US Airways Board of Directors made several decisions related to the governance of the company at a meeting today in Prattville, Ala., in conjunction with the US Airways annual meeting. Those actions include:
Approving a compensation package for President and Chief Executive Officer Bruce Lakefield that was designed to be in line with CEO compensation at low-cost carriers Air Tran, America West, JetBlue and Southwest. Lakefield's base salary will be $425,000, which is the median base salary of the CEOs at AirTran, America West, JetBlue and Southwest. He has been granted 760,000 shares of UAIR stock that will vest over a four-year period, split between restricted stock (62 percent) and options (38 percent). He will not have an employment agreement and will be an "at will" employee serving at the pleasure of the Board of Directors. However, in the event of a change in control of the company and he is terminated, Lakefield would be eligible for the equivalent of three years base salary and bonus.
Lakefield will be eligible to participate in the management incentive compensation and long-term incentive compensation programs, but has declined any participation until such time as the company is profitable. He has also elected not to participate in the senior management's defined contribution retirement plan or 401(k) match. Overall, his total compensation package and stock grant are lower than the CEOs for all the other low-cost carriers that were used in the comparative analysis.
The US Airways Board of Directors made several decisions related to the governance of the company at a meeting today in Prattville, Ala., in conjunction with the US Airways annual meeting. Those actions include:
Approving a compensation package for President and Chief Executive Officer Bruce Lakefield that was designed to be in line with CEO compensation at low-cost carriers Air Tran, America West, JetBlue and Southwest. Lakefield's base salary will be $425,000, which is the median base salary of the CEOs at AirTran, America West, JetBlue and Southwest. He has been granted 760,000 shares of UAIR stock that will vest over a four-year period, split between restricted stock (62 percent) and options (38 percent). He will not have an employment agreement and will be an "at will" employee serving at the pleasure of the Board of Directors. However, in the event of a change in control of the company and he is terminated, Lakefield would be eligible for the equivalent of three years base salary and bonus.
Lakefield will be eligible to participate in the management incentive compensation and long-term incentive compensation programs, but has declined any participation until such time as the company is profitable. He has also elected not to participate in the senior management's defined contribution retirement plan or 401(k) match. Overall, his total compensation package and stock grant are lower than the CEOs for all the other low-cost carriers that were used in the comparative analysis.
PhillyFlyGuy
Member
- Nov 21, 2002
- 90
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http://www.charlotte.com/mld/observer/news/8709587.htm
Excerpted from the above article:
Lakefield, who took over as chief executive after David Siegel was asked to resign last month, said he would be a different kind of chief executive, one with no golden parachute and no long-term contract. Siegel left after two years with a severance package with an estimated value of $4.5 million.
The airline's board, however, after the meeting announced a contract for Lakefield that gives him some protection if he is forced to leave. His base salary will be $425,000 and in the event there is a change in control of the airline, and if he is asked to leave, he would be eligible for the equivalent of three years salary and bonus.
"It is not a golden parachute," said Jerry Glass, senior vice president for employee relations, but rather "a standard change-in-control provision."
Excerpted from the above article:
Lakefield, who took over as chief executive after David Siegel was asked to resign last month, said he would be a different kind of chief executive, one with no golden parachute and no long-term contract. Siegel left after two years with a severance package with an estimated value of $4.5 million.
The airline's board, however, after the meeting announced a contract for Lakefield that gives him some protection if he is forced to leave. His base salary will be $425,000 and in the event there is a change in control of the airline, and if he is asked to leave, he would be eligible for the equivalent of three years salary and bonus.
"It is not a golden parachute," said Jerry Glass, senior vice president for employee relations, but rather "a standard change-in-control provision."
Sure, and he is not a union breaker but a tactical employee redeployment expert.Justme said:
This guy should have been redeployed, what a joke he is along with this charade of a new management team.
Bronner may be money wise but people wise he is woefully lacking, letting such people as Glass stay on board.
autofixer
Veteran
Read between the lines. "If there is a change of control, Lakefield is entitled to three years base salary and bonus." Look for a change of control soon. Always, always, alwyas, boys and girls, follow the money. JMHO
I agree... The US Airways BOD really, really, needs to find a way to entice executives and CEO's to STAY. This company's problems will only become worse with a revolving door to the executive suite at CCY.autofixer said:
At this point, it looks like an incentive to sell the airline, hence a "change in control" within three years. Just like they gave to Wolf, and then Seigel. It looks like the BOD doesn't even want to attempt to incentivise somebody to stick around and run this company... Perhaps with Lakefield and his options they come closer than before, I don't really know. But that's a real shame - they need to award the bonus if Lakefield is still around in 3 years... Not if he's just another CEO who goes through the motions for a couple of ulcer producing years, quitting just in time to get his bonus.
In Glenn Tilton's speach to the Wings Club, he noted that UAL had 3 CEO's in 4 years, and 7 CEO's in 15 years... What are those numbers for US Airways... They are certainly 3 CEO's in the last 4 years... what are the longer-term numbers? Anyone know?
Boy your the model employee usairways loves. Read it on the hub and it must be the truth and nothing but the truth. :blink: You obviously have no street smarts. Hey, the hub said they were going to farm out 10 airbus s checks to alabamie, and guess what #11 & 12 are waiting on the ramp to get in, that damn hub starting rumors again. Haven't you been around long enough to realize that the company will lie to its employees everyday??? :angry:PhillyFlyGuy said:
thepoohbear
Advanced
A real leader would do like Lee Iaacoca did with Chrysler.Give him $1.00 a year. If he turns the company around then we could compansate him for the great work.It seems there is no incentive to do a good job. All you have to do is screw up and you get rewarded with 1.25 mil. If I screw up the only mil I get the 2 mil bag to empty my locker with.
The powers that be should stop treating the employees as liabilities and treat us like the assets we really are.Unfortunately we are controlled by bean pushers. :unsure: :huh: :rant:
The powers that be should stop treating the employees as liabilities and treat us like the assets we really are.Unfortunately we are controlled by bean pushers. :unsure: :huh: :rant:
