The 5 most outrageously overpaid CEOs
http://moneycentral.msn.com/content/P125120.asp
Here’s the pantheon of execs whose paychecks soar while their companies suffer. Also: 5 who produce stellar results for a comparative pittance.

By Michael Brush

"All's fair, they say, in love and war. Not much is out of bounds when it comes to executive pay, either.

Consider Michael Ovitz. Although stockholders sued, the one-time Hollywood superagent gets to keep the $140 million he was paid for 14 months of work as president at Walt Disney (DIS, news, msgs). A Delaware judge ruled in mid-August that Disney's board didn't breach its responsibilities in awarding the huge severance package."


"The worst offenders
The upshot: Some boards award breathtakingly large pay packages to CEOs even as the executives trash their shareholders’ investments. The worst:
Top honors go to Gary Smith at Ciena (CIEN, news, msgs). His shareholders have been virtually wiped out -- losing 93% in the past four years. His compensation over that period: $41.2 million.


Jure Sola, the CEO and chairman at Sanmina-SCI (SANM, news, msgs) collected $26.4 million during the past four years while Sanmina shares fell 78%. The bulk of Sola's pay came in the form of a performance bonus of $19.9 million, paid for hitting one recent quarter's targets.


Sun Microsystems (SUNW, news, msgs) paid Scott McNealy, its CEO, chairman and founder, $13.1 million a year over the past four years, even as Sun's shareholders lost 76% of their money.


Shares of supermarket chain Albertson's (ABS, news, msgs) fell 39% over the past four years. Despite this dismal record, Albertson’s CEO and Chairman Larry Johnston collected a total of $76.2 million in that time.


Under CEO Peter Dolan’s watch at Bristol-Myers Squibb (BMY, news, msgs), shareholders have seen the stock decline by 48% over the past four years. Dolan took home $41 million.
“I feel nothing but contempt,” says Don Hodges, president of the Hodges Fund (HDPMX). “They pay themselves like they are rock stars.” "



It's lovely how fair capitalism can be, eh? :rolleyes:

Heh, I wouldn't mind being a CEO for a day so I could retire for a year off that. ;)

- N

It's lovely how fair capitalism can be, eh?

Well, if fair is what you're wanting things to be, why didn't you post five examples of CEOs who've worked to make great profits for the shareholders? Why give a list of only the "bad" CEOs?

That ain't fair, is it? Or don't you want to be fair?

Baron Max

CEO's are paid millions of dollars like they don'ttake a dump in the bathroom, yet we have people wiltering along in poverty. To me there is just no reason why anybody should be living in poverty while another literaly sleeps on a bed of money, thats extreme capitalism, and extreme capitalism causes poverty to others.

, why didn't you post five examples of CEOs who've worked to make great profits for the shareholders?

Because we don't bitch if they make big money WHEN the company is also doing well. (although there are cases of overcompensations, but it is easier to justify when the stockholders also made money)

To simplify it for you: You buy a very expensive brand new car, and it turns out to be a lemon, with all kinds of problems. Wouldn't you rightfully bitch about it????

thats extreme capitalism, and extreme capitalism causes poverty to others.

No money coming in causes extreme poverty.

Well, if fair is what you're wanting things to be, why didn't you post five examples of CEOs who've worked to make great profits for the shareholders? Why give a list of only the "bad" CEOs?

I'll bit troll, oh I don't know, maybe it's because the thread is about the worst CEO's?

140 million dollar at 14 months
thats 1 000 000 dollar a month
thats 33 333 dollar a day (a day has 8 work hours)
thats 4166 dollar a hour
thats 69 dollar a minute
thats 1.15 dollar a second (abouth 1 euro)

a average american income is 46 326 dollar
http://www.forbes.com/economy/2006/10/16/demographics-income-population-biz_cx_tvr_1017median.html

1 years = 1 day and abouth 6 hours
1 man = 3022 families

Well this sounds fair doesn't it

PS did anybody notice that a 140 mil devided by 14 is 10 mil and not 1 mil :eek:

No money coming in causes extreme poverty.

Yeah, that and not having anything to sell that anyone wants to buy! And, yes, that includes ones own labor.

Baron Max

CEO's are paid millions of dollars like they don'ttake a dump in the bathroom, yet we have people wiltering along in poverty. To me there is just no reason why anybody should be living in poverty while another literaly sleeps on a bed of money, thats extreme capitalism, and extreme capitalism causes poverty to others.It's been opined that people perceive a system as satisfactorily fair so long as the income of the person at the top is no more than ten times as great as that of the person at the bottom.

$20K seems like a fair value for the work of a janitor, and it also seems like a fair wage since a man and his wife can support themselves decently if they both earn $20K and are doing something to work they way a little bit higher up the ladder.

Does $200K seem like a fair wage for a CEO? I'd hope to double or triple that if I ever got that much responsibility, job insecurity, 24/7 duty, public scrutiny of my life, people out to take me down, etc., so I'd make the model more expansive. But it's hard to see the equitability in eight-figure earnings, especially when they so often are paid for work that does not profit the enterprise, its customers and its employees--including their pension funds that hold its stock.

Once again, I do not blame the system of free-market capitalism for this inequity. I blame the artifact of the corporation, which was created by governments to take the place of the aristocracy in the era of democracy. There is no level playing field, no free market, when consumers are doing business with corporations that have the wealth and power of Liechtenstein.

It's hard to see why any department has to close if the CEO from the compagny earns 6 044 years salaries anually

Because he is a 100 times more important then you doesn't wreally explain it.

And I do agree with Fraggle Rocker a CEO shouldn't earn more then 1 mil a year, + offcourse all the privet jet bills and the hooker bills those also add up offcourse.

Well, if fair is what you're wanting things to be, why didn't you post five examples of CEOs who've worked to make great profits for the shareholders? Why give a list of only the "bad" CEOs?

That ain't fair, is it? Or don't you want to be fair?

Baron Max

five most overpaid.
the word "overpaid" implies the ones that dont deserve 100% of their salary.

the thread you want should be called "the good, the bad, and the disgustingly rich."

make it happen, maxy-boy!!

It's been opined that people perceive a system as satisfactorily fair so long as the income of the person at the top is no more than ten times as great as that of the person at the bottom.

I think it is a false assumption. Most people would agree that a CEO's job is way MORE than 10 times as important as the janitor's. Not 10000 times, but more than 10 times.

Read about the difference between American and European CEOs' salaries...

Americans if I recall well are overpaid by twice more than their European counterparts. And I assume the Europeans are paid well enough...

In 1998 the US CEO's were getting 4 times as much as the British, but Europe started to catch up recently:

http://www.iht.com/articles/2006/06/15/business/pay.php

Asian CEOs are still behind...

Also:"according to Tyler Cowen on the NY Times, CEO pay rose by a factor of 6 since 1980 - 2003. Incidentally, average market capitilzation rose by 6 as well. So it would seem that if the pay is tied to market cap, it is justified."

No money coming in causes extreme poverty.

Same as coming out. I know we can't give people money for sake of inflation, that would be free money. But for the sake of God basic things like shelter and food should be avialable to the dirt poor needy. With all the bullshit industrial development we proud ourselves with there are still very many villages in Africa and South West Asia with dirt poor conditions. The best we can do is sell "RED" cellphones and merchandise to combat poverty. And the best undeveloped governments can do is sit on their behind and wimper. All the money spent of defense in some countries can provide better ammenities five times over, and who they are defending against..no one really knows. What the world needs is more intelligent people and less retarded posers. Certain people prefer to be watched, to be the center of attention, instead of doing something meaningful that would leave a lasting legacy, somethig people would really talk about.
A lot of all these problems is because we put pompous politicians in political posts around the world, and the few group of people that have a tight Tiger's grip on the world are too afraid to let it go to someone else, which is why they would never increase productivity. Of cause I don't have any evidence for my assertions.

Bill gates, that bastard :(