Executives' Wages In U.S. Still Soar High Above the Rest

Executives' Wages In U.S. Still Soar High Above the Rest -...

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November 24, 2003 CEO SUMMIT CEO SUMMIT 2003 Special Report Main Page 2 Executives' Wages In U.S. Still Soar High Above the Rest By DAVID REILLY Staff Reporter of THE WALL STREET JOURNAL Companies are fond of saying that in the global economy, business knows no borders. The same doesn't hold true for executive pay. Despite the increasingly similar responsibilities and pressures facing chief executives around the world, where the boss sits still has a big impact on what he or she is paid. And while the bear market has caused pay for many American CEOs to tumble over the past two years, they still tend to make far more than their European peers. How much more? Average total compensation for U.S. executives of $2.25 million ( 1.89 million) in 2002 was nearly three times the average of $804,000 for executives in nine European countries, according to a study by human resources consulting firm Towers Perrin. The study focused on industrial companies that had annual sales of around $500 million. Such differences also apply to bigger companies, which weren't included in the survey. Take, for example, Franck Riboud and William R. Johnson. Mr. Riboud, chairman and chief executive of Paris-based food company Groupe Danone, heads a publicly traded multinational company that had annual sales in 2002 of about $14.2 billion and sports a market capitalization of about $20 billion. He received total compensation, excluding stock options, of 2.4 million in 2002, according to Danone's annual report. This compensation included salary, bonus, profit sharing and social security benefits. A Danone spokeswoman said that Mr. Riboud received a base salary of 990,000 and a bonus of 1.4 million. DOW JONES REPRINTS This copy is for your personal, non-commercial use only. To order presentation-ready copies for distribution to WSJ.com - Executives' Wages In U.S. Still Soar High Above the Rest file:///H|/Personal Disk (H)/Newspaper Articles/Wall Stree. ..Executives' Wages In US Still Soar High Above the Rest.htm (1 of 3)10/12/2009 9:59:05 AM
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This note was uploaded on 10/18/2011 for the course BUSINESS Bus 302 taught by Professor Pendergast during the Winter '11 term at Cal Poly.

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Executives' Wages In U.S. Still Soar High Above the Rest -...

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