4 ms·

vesting over... 7-10 years? $10m a year for a guy running a $7b business.

rayiner 14y ago
That's not out of line with what F500 CEOs get paid. Heck, Jamie Dimon's peak comp was double that and JPM is a $100 billion/year organization.
- RockyMcNuts 14y ago
  $7b revenue will put you in the 300s on the Fortune 500. Since the display ads is one of Google's high margin cash cows, would guess quite a bit higher on the list in profits. Google has about 1/2 the earnings of JPM, about 1/3 the book value, but a larger market cap than JPM, and let's just say there's some wiggle room in what JPM reports, loan loss reserves, 'debt valuation adjustment', non-marked to market 'whale' losses, etc. Anyway, as a shareholder I have no problem at all with that kind of pay package if it's for a legitimate superstar who could otherwise run a competitor, it's reasonably tied to performance, not guaranteed if he pulls a <name a disaster/CEO scandal>. If he's adding 0.5% of earnings growth compared to the next best candidate it's a bargain.
  - rayiner 14y ago
    Article says that Goole gets 32% of that $7 billion, which is not out of line with JPM's profits on its revenue. Yeah, Google has a lot more growth potential, but on the flip side, I'd imagine Mohan isn't in the line of fire as much as the CEO of a Wall Street bank... Point is that he's not clearly getting low-balled at that number.
    - RockyMcNuts 14y ago
      very true. and if he's a legit key man and it's reasonably tied to performance, not irrational either, to match a Sheryl Sandberg type offer. $2.2b in profit will put you in the 90s on the Fortune 500. Google is 16th in net profit margin at 25.7, JPM 49th at 17.1 [1]. the saying is, earnings are an opinion, cash is fact.* JPM's earnings are more of an opinion than most. [1] http://money.cnn.com/magazines/fortune/fortune500/2012/performers/companies/profits/revenues.html http://money.cnn.com/magazines/fortune/fortune500/2012/perfo... *although cash can be generated from crazy contingent liabilities and derivatives, eg AIG.
- njx 14y ago
  Check out Top 500 CEO pay, larry makes $0/year https://my.infocaptor.com/dash/mt.php?pa=ceo_compensation_2012_5159dc6ecb22b https://my.infocaptor.com/dash/mt.php?pa=ceo_compensation_20...
  - walshemj 14y ago
    Tax dodge
rhizome 14y ago
Yeah, I'm sure there's a vesting schedule. Golden handcuffs and all.

That's not out of line with what F500 CEOs get paid. Heck, Jamie Dimon's peak comp was double that and JPM is a $100 billion/year organization.

RockyMcNuts 14y ago
$7b revenue will put you in the 300s on the Fortune 500. Since the display ads is one of Google's high margin cash cows, would guess quite a bit higher on the list in profits. Google has about 1/2 the earnings of JPM, about 1/3 the book value, but a larger market cap than JPM, and let's just say there's some wiggle room in what JPM reports, loan loss reserves, 'debt valuation adjustment', non-marked to market 'whale' losses, etc. Anyway, as a shareholder I have no problem at all with that kind of pay package if it's for a legitimate superstar who could otherwise run a competitor, it's reasonably tied to performance, not guaranteed if he pulls a <name a disaster/CEO scandal>. If he's adding 0.5% of earnings growth compared to the next best candidate it's a bargain.
- rayiner 14y ago
  Article says that Goole gets 32% of that $7 billion, which is not out of line with JPM's profits on its revenue. Yeah, Google has a lot more growth potential, but on the flip side, I'd imagine Mohan isn't in the line of fire as much as the CEO of a Wall Street bank... Point is that he's not clearly getting low-balled at that number.
  - RockyMcNuts 14y ago
    very true. and if he's a legit key man and it's reasonably tied to performance, not irrational either, to match a Sheryl Sandberg type offer. $2.2b in profit will put you in the 90s on the Fortune 500. Google is 16th in net profit margin at 25.7, JPM 49th at 17.1 [1]. the saying is, earnings are an opinion, cash is fact.* JPM's earnings are more of an opinion than most. [1] http://money.cnn.com/magazines/fortune/fortune500/2012/performers/companies/profits/revenues.html http://money.cnn.com/magazines/fortune/fortune500/2012/perfo... *although cash can be generated from crazy contingent liabilities and derivatives, eg AIG.
njx 14y ago
Check out Top 500 CEO pay, larry makes $0/year https://my.infocaptor.com/dash/mt.php?pa=ceo_compensation_2012_5159dc6ecb22b https://my.infocaptor.com/dash/mt.php?pa=ceo_compensation_20...
- walshemj 14y ago
  Tax dodge

rhizome 14y ago

Yeah, I'm sure there's a vesting schedule. Golden handcuffs and all.