Like The Herald Business Journal on Facebook!
The Herald of Everett, Washington

The top local business stories in your email

Contact Us:

Josh O'Connor
Phone: 425-339-3007

Jody Knoblich
General Sales Manager
Phone: 425-339-3445
Fax: 425-339-3049

Jim Davis
Phone: 425-339-3097

Site address:
1800 41st Street, S-300,
Everett, WA 98203

Mailing address:
P.O. Box 930
Everett, WA 98206

HBJ RSS feeds

Boeing CEO McNerney's pay up 20% last year

SHARE: facebook Twitter icon Linkedin icon Google+ icon Email icon |  PRINTER-FRIENDLY  |  COMMENTS
Bloomberg News
Boeing Co. Chief Executive Officer Jim McNerney's compensation climbed 20 percent to $27.5 million last year, before the planemaker's marquee 787 Dreamliner was grounded by overheating batteries.
McNerney, 63, received $10.8 million of incentive pay in addition to his $1.93 million salary and $840,775 in other compensation, Chicago-based Boeing said today in proxy materials filed with the Securities and Exchange Commission. He earned $23 million in 2011.
The 787 Dreamliner has been grounded since Jan. 16 as Boeing and regulators led by the U.S. Federal Aviation Administration probe the cause of the battery malfunctions. The plane entered service in 2011 after three years of delays caused by supply chain disruptions, assembly problems and a strike by its machinists' union.
McNerney's incentive pay included a $4.44 million annual bonus and $6.38 million from a long-term program as Boeing exceeded 2012 and three-year profit targets. The value of his pension increased $6.37 million, according to the filing, and he received $7.53 million in stock and option awards.
McNerney's realized compensation, or income reported to the U.S. Internal Revenue Service for the period, was $20.1 million, compared with $12.4 million a year earlier.
Jim Albaugh, who served as head of Boeing's commercial airplanes division until his retirement last year, earned $9.63 million in 2012, versus $8.49 million in 2011, according to the filing. Albaugh took a lump-sum payment of supplemental retirement benefits of $12.1 million as he left Boeing effective Oct. 1, according to the filing.
Boeing said he also was due to receive service-based equity and performance awards that had a value of $5.54 million as of Dec. 31. Under Internal Revenue Service rules, the final value of that package can't be calculated until after April 1, six months following his retirement, Boeing said.
Story tags » 787Management



Share your comments: Log in using your HeraldNet account or your Facebook, Twitter or Disqus profile. Comments that violate the rules are subject to removal. Please see our terms of use. Please note that you must verify your email address for your comments to appear.

You are logged in using your HeraldNet ID. Click here to update your profile. | Log out.

Our new comment system is not supported in IE 7. Please upgrade your browser here.

comments powered by Disqus

Market roundup