Dell executives have profitable year, too
from Austin American-Statesman, Monday, May 18 1998, page D1
Michael Dell got a 14.5 percent pay increase last year, boosting his salary to $788,462 in the company's 1998 fiscal year. On top of that, the founder and chairman of Dell Computer Corp. received a $2 million bonus -- up from $1.3 million -- in the prior year, according to the computer maker's latest proxy statement.
The $2.8 million in compensation was a 40% increase for the 33-year-old chief executive.
The Round Rock-based company's revenues grew 82 percent to $12.3 billion last year, while profits soared nearly 90 percent to $944 million.
In comparison, Eckhard Pfeiffer, chairman and CEO of top PC seller Compaq, received $4.5 million in salary in 1997.
Vice chairmen Mort Topfer and Kevin Rollins received salaries and bonuses of $2.6 million and $1.6 million respectively.
Rollins, who last year was promoted to a new position as the company's second vice chairman, received a 32 percent salary increase to $450,381. That was the biggest salary hike among the company's five highest-paid executives. His bonus more than doubled to $1.1 million.
Rollins' combined compensation was a 90 percent increase over the previous year's.
Topfer's combined pay grew by 66 percent, including a 13.2 percent hike in salary to $616,346. his $2 million bonus was nearly twice the year-earlier bonus. Topfer and Rollins elected to take the bonus in discounted stock options rather than cash, according to the proxy.
The Dell annual meeting is July 17 at the Austin Convention Center.
end of article.
Items of special interest:
1. Evidently the meeting has outgrown the facilities at the Four Seasons Hotel.
2. If DELL's future is gloomy, its price is bloated and headed for the basement, and if sales and earnings are slowing, then why did Mr. Rollins and Mr. Topfer choose to take their bonus in stock options?
3. Do you think that if Mr. Pfeiffer reduced his pay to what Michael is earning, perhaps his company could become profitable again?
<vvvbg> DELLish, 3. |
