EXECUTIVE COMPENSATION:
Greg, I retract that word of mine, "obscene" and would like
to substitute instead: "cozy".
In my experience it works this way:
-- the CEO does whatever necessary to ensure a friendly
Board, including picking the persons
-- he/she particularly makes sure that the Chairperson of the Compensation Committee is his/her real friend
-- he/she goes out of his/her way to ensure that Board members are "looked after" in ways that are totally competitive with anything else that's out there in other companies
-- they respond by treating him/her equally well
Nothing wrong with that, right? It's called mutual backscratching.
And if the CEO makes $100, $200 or $300 million in a
BAD year, why not? Basketball players get $70 million or
something, yes?
Of course if the CEO gets $100 to $300 milion in a BAD
year, we would want to see him incentivized for a good
year, yes?
If it's friends, looking after friends, why not?
(not whining, just commenting, Greg!) I just posted the
article, I didn't write it.
Namaste!
Jim |
