US: Coca-Cola Co hands CEO pay cut
Coca-Cola paid its CEO US$21.6m in 2012
The Coca-Cola Co CEO Muhtar Kent saw his pay fall by 16% last year as the company underperformed in the global market.
Kent picked up US$18.2m for 2013, mostly in stock awards, according to company records released last week. In 2012, the CEO was paid $21.6m.
The shortfall came from a drop in incentives, which last year totalled $2.2m, down from a $6m award in 2012.
Coca-Cola said it links incentives to its own global growth targets, which last year outpaced actual performance. In full-year results, released last month, net profits were 5% down on 2012 at $8.58bn and net sales slid by 2% to $46.85bn.
The firm blamed “ongoing global macroeconomic challenges”.
Company records also showed that the departed president of the axed Coca-Cola Americas unit, Steve Cahillane, was Coca-Cola's second highest earner in 2013 after Kent. Cahillane, who left Coca-Cola on 1 January “to pursue other opportunities”, collected $8.25m, $1.7m more than third-placed earner, CFO Gary Fayard.
Cahillane's post at the head of Coca-Cola Americas was made obsolete when the integrated unit was returned to separate business and bottler arms at the start of the year.
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