“We are continuing to work on the comeback of AOL and have a plan that is beneficial for employees, customers and shareholders,” said AOL in a statement. On Friday, AOL extended their employment agreement with chairman and CEO Tim Armstrong through March 2016. His previous deal was supposed to expire on April 7.
“The agreement was entered into and became effective as of March 29, 2012 and supersedes and replaces the prior employment agreement,” said AOL in a regulatory filing. “The Agreement provides for a continuation of Mr. Armstrong?s annual base salary of $1 million and target annual incentive bonus opportunity of 200 percent of his base salary.”
Armstrong was given $5 million in new options. However Armstrong will be given fewer benefits compared to the prior agreement that was entered prior to AOL’s spin-off from Time Warner