Oracle pay for CEO Ellison jumps to $96 million
Larry Ellison, the founder and CEO of Oracle Corp. and one of the wealthiest people in the world, saw his pay jump to $96.2 million last year.
The pay, disclosed in a corporate filing, was up 24 percent from the previous year's total of $77.6 million. Most of Ellison's pay came from stock options that were valued at $90.7 million when they were granted in June 2011.
Those options, to buy 7 million shares at $32.43 a share, have value only if the stock is trading above that price. The options have been under water for most of the time since they were granted. But on Friday, Oracle stock rose 21 cents to close at $32.47.
The company cut Ellison's performance-based bonus to $3.9 million, down from $13.3 million a year earlier. Other senior executives endured similar cuts. That was because Oracle's profit growth for the year came in below its goals, according to the yearly filing it made Friday.
Oracle's net income rose 17 percent to $9.98 billion for the year that ended May 31. Revenue rose 4 percent to $37.12 billion.
The company said compensation was $51.7 million for both Safra A. Catz, its president and chief financial officer, and Mark Hurd, its president. Nearly all their pay was also in stock options that had little value as of Friday.
Oracle said its compensation committee recognizes that Ellison, 68, already "has a significant equity interest in Oracle, but believes he should still be eligible for an annual compensation package because of his active and vital role in our operations, strategy and growth."