NEW YORK, N.Y. - Bryan Stockton, the CEO of Mattel Inc., the largest U.S. toy maker, received compensation valued at $11.9 million in 2012 during his first year in that role, and nearly double what he made as chief operating officer the prior year.
Stockton, 59, who replaced Robert Eckert as CEO in January 2012, received a base salary of nearly $1.2 million. The bulk of his pay in 2012 came in stock and option awards valued at $7.9 million on the dates they were granted, according to a company filing on Tuesday with the Securities and Exchange Commission. That's double the $3.9 million in stock and option awards in 2011 when he was COO. It includes a one-time $1.5 million grant of stock and options for becoming CEO.
His performance-based bonus totalled $2.6 million, up from $994,500 in the prior year. And his perks, $212,745 in all, included $24,000 for a company car allowance and $134,725 in retirement contributions.
During the year net income for the company that makes Barbie and Hot Wheels edged up 1 per cent to $776.5 million, or $2.22 per share, from $768.5 million, or $2.18 per share, in the prior year. Revenue increased 2 per cent to $6.42 billion.
The company raised its quarterly dividend in February by 16 per cent, to 36 cents.
The Associated Press formula calculates an executive's total compensation during the last fiscal year by adding salary, bonuses, perks, above-market interest that the company pays on deferred compensation and the estimated value of stock and stock options awarded during the year. The AP formula does not count changes in the present value of pension benefits. That makes the AP total slightly different in most cases from the total reported by companies to the Securities and Exchange Commission.
The value that a company assigned to an executive's stock and option awards for 2012 was the present value of what the company expected the awards to be worth to the executive over time. Companies use one of several formulas to calculate that value. However, the number is just an estimate, and what an executive ultimately receives will depend on the performance of the company's stock in the years after the awards are granted. Most stock compensation programs require an executive to wait a specified amount of time to receive shares or exercise options.