When it comes to executive compensation, it’s hard to beat working for an industry leader.
Just ask the 11 Connecticut executives whose total compensation crossed into eight-digit territory in 2009. Of those, four work for General Electric, two work for Aetna and two — the most highly compensated two — work for United Technologies.
George David, former chairman of UTC, leads the pack with a total compensation in 2009 of $26,259,028, according to the company’s filings with the Securities and Exchange Commission. Much of that — $19,010,469 — came in “other compensation,” which included his exit package.
Current UTC Chairman and CEO Louis Chenevert is the runner up, with $20,501,712 in total compensation.
But as fat as those compensation packages may appear, both David and Chenevert didn’t fare as well in 2009 as they did in 2008. Chenevert was off 13 percent from his 2008 haul of $23,575,769. David’s compensation was essentially flat, off less than $25,000 from the previous year.
The UTC executives were not alone. The top eight earners on the Hartford Business Journal’s list of highest-paid executives all were behind their 2008 compensation. Overall, 13 of the top 27 earned less in 2009.
Among those, another pair of UTC executives had the dubious honor of taking the biggest hits. Ari Bousbib, president of commercial companies and corporate executive vice president, had a total compensation of $8,838,094, down 29 percent from the $12,351,664 he received in 2008. And Geraud Darnis, president of UTC’s Carrier Corp., had total compensation of $6,879,975 in 2009, down 24 percent from the $9,019,848 he received in 2008.
The biggest gainers were a pair of Aetna executives. Mark Bertolini, president of Aetna, saw his total compensation nearly doubled, from $6,650,860 in 2008 to $12,627,800 in 2009. Second place goes to Joseph Zubretsky, Aetna’s executive vice president and CFO, who saw his total compensation soar from $4,631,097 in 2008 to $8,739,195 in 2009.
John Lundgren, president and CEO of Stanley Black & Decker, enjoyed a good year too. He made a 59 percent gain, from $6,057,564 in 2008 to $9,602,517 in 2009. Much of that came in a $5,091,241 stock award, plus another $893,250 in stock options.
Indeed, stock awards and stock options were a larger driver of total compensation than salary in most cases. More than $13 million of Chenevert’s compensation, for example, came in the form of stock awards and stock options. Aetna’s Bertolini had almost $11 million in stock and option awards. And Aetna Chairman and CEO Ronald Williams had more than $14 million in stock and stock option awards.
In terms of pure salary, Jeffrey Immelt, chairman and CEO of General Electric, was the leader at $3.3 million. But only 14 of the top 27 in total compensation had a base pay at or above $1 million. Gregory Hayes, senior vice president and CFO at UTC, ranked 25th in total compensation despite having the lowest base pay — $575,000 — on the list. More than $4 million in stock awards and stock options pushed his total package to $5,956,747 in 2009.
