CEO pay is generally not correlated with performance: http://www.bloomberg.com/bw/articles/2014-07-22/for-ceos-correlation-between-pay-and-stock-performance-is-

CEO pay is generally not correlated with performance: http://www.bloomberg.com/bw/articles/2014-07-22/for-ceos-correlation-between-pay-and-stock-performance-is-pretty-random http://www.bloomberg.com/bw/articles/2014-07-22/for-ceos-cor... . Most likely it's based on a hodgepodge of past performance, convention, social connections, and emotional factors within the company's board.