United Parcel Service Co. gave its chairman and CEO compensation valued at $10.7 million last year, down 7 percent from the year before, according to an Associated Press analysis.
D. Scott Davis got a 3 percent increase in salary, to $1,049,703, but most of his compensation came in the form of stock awards.
The company says those awards went down in value because UPS failed to hit targets for revenue growth, return on investment and other financial measurements.
Davis got stock awards worth $8.7 million on the day they were granted, compared with 2011 awards valued at nearly $9.5 million.
Davis also got options last year that were worth $463,675 on the grant date, $426,034 in cash incentives, and $40,292 in other compensation.
The company disclosed its compensation for Davis and four other top executives to the Securities and Exchange Commission earlier this month.
Last year increases in pension expenses and other one-time items drove UPS' net income down 79 percent to $807 million, the lowest level since 2008. The company's adjusted profit and revenue each rose 2 percent.
The Atlanta company struggled with the sluggish global economy and a shift by customers to using slower and cheaper delivery options. In January UPS told investors that the first quarter of 2013 would be "relatively flat," and it offered profit forecasts for the quarter and full year that fell below analysts' expectations.
Shares of UPS rose less than 1 percent during 2012, although they have climbed 16.5 percent since the start of 2013 amid some signs of an improving economy.