Never underestimate the imagination of Fortune 2000 CEOs. Brookfield Homes paid its CEO a minus $2,300,000 last year, at least according to its proxy statement. Of course, Mr. Cockwell, the CEO, had no trouble living off a negative income. You see he actually earned about $8,000,000 in 2006. This $8,000,000 of what you and I would call income was offset by a $10,300,000 loss in the value of stock options Mr. Cockwell has been granted. Makes perfect sense to me. Don't you understand the world of high finance? Do whatever it takes to benefit the CEO.
Another example of this world is Toll Brothers. They earned a magnificent minus 22% for shareholders last year, which was worse than the average homebuilder who achieved a sterling minus 14%. For this wonderful performance the CEO was awarded about $20,000,000. Go figure!
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