Time Warner Cable CEO pay package worth $14.4M
The chief executive of Time Warner Cable Inc. received $14.4 million in compensation last year, down 8 percent from the prior year due to a smaller bonus, according to an Associated Press analysis of data filed with regulators Monday.
Glenn Britt received a salary of $1 million last year, unchanged from 2007, and a performance-based bonus of $6.4 million, down from $7.8 million a year earlier, according to a Securities and Exchange Commission filing.
He received other compensation worth more than $82,500, which included more than $25,000 in life insurance premiums, a car allowance and a company savings plan match.
Britt also received nearly 104,000 restricted stock units worth $2.86 million on the date they were granted. He received 374,610 stock options, as well, with an exercise price of $27.51, worth $4 million when they were granted on March 3, 2008. However, the options are currently worth less given that Time Warner Cable shares closed at $27.37 Monday, slightly below the exercise price.
The Associated Press formula is designed to isolate the value the company's board placed on the executive's total compensation package during the last fiscal year. It includes salary, bonus, performance-related bonuses, perks, above-market returns on deferred compensation and the estimated value of stock options and awards granted during the year.
The calculations don't include changes in the present value of pension benefits, and they sometimes differ from the totals companies list in the summary compensation table of proxy statements filed with the SEC, which reflect the size of the accounting charge taken for the executive's compensation in the previous fiscal year.
Last year, the nation's second-largest cable operator saw revenue rise by 8 percent to $17.2 billion, despite adding fewer new customers late in the year and losing many basic cable TV subscribers as consumers pinched pennies amid the recession and competition from phone providers heated up.
The New York-based company suffered a loss of $7.3 billion, or $7.52 per share, largely because of a $14.8 billion non-cash impairment charge related to cable franchise rights. Excluding one-time items, adjusted earnings rose 8 percent to $6.2 billion.
Shareholders saw the company's stock tumble 22 percent to end 2008 at $21.45, though shares have since rebounded 28 percent year-to-date.