The company behind one of the biggest search engines in the world is poised to make you an offer. They are worth $16 billion on paper and earned closed to $7 billion by the end of 2007. What will they pay you? The answer is made clear in an SEC statement filed by Yahoo!
Carol Bartz, the new CEO of Yahoo! will be earning $1 million per year before taxes and withholdings. Bartz will also be eligible to make an annual target bonus of 200% of the annual salary based on company performance. She will also be granted stock options of 5 million shares. In terms of time off, Yahoo! will offer Bartz 4 weeks of vacation per year, 10 paid holidays, and 2 personal floating holidays.
The SEC document also acknowledges that President Sue Decker will be resigning and Jerry Yang will be assuming the role as Chief Yahoo! once again.
The first thing I thought of when reading this document was that this was an impressive salary to be receiving as a CEO, hired from an external company. But then I remembered Terry Semel’s compensation…
In June 2007, Semel resigned as CEO of Yahoo! due to shareholder dissatisfaction of his salary. In 2006, Semel’s salary was $1, but he had stock options worth $70 million. Semel made over $500 million through his tenure at Yahoo! Semel was granted options of over $110 million as a bonus to join Yahoo! Semel still has another 18.6 million unexercised stock options in Yahoo!
Clearly the position that Yahoo! is in right now isn’t as good as it was before. If Bartz is able to undo the mistakes that Semel and Yang made in the past, then I’m sure she’ll see a substantial amount more heading her way.