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Thu, May 03, 2012

Airline CEO Compensation Sees Significant Rate Of Climb

United, Delta Boost Pay For Chief Executives

We know it comes with a lot of responsibility, but the position of airline CEO also comes with a healthy, and apparently growing, compensation package.

The Associated Press reports that United Continental Holdings CEO Jeff Smisek has seen his pay and other compensation jump from $4.4 million in 2012 to $13.4 million in 2011. The numbers were reported in a proxy statement filed late last week with the Security and Exchange Commission (SEC). The figure does not include the value of Mr. Smisek's pension.

A report from Reuters shows Smisek's package to be even higher ... as much as $14.7 million. The news service says that about half of that is in stock awards which are tied to performance goals. The filing said the boost reflected the increase in responsibilities for the merged airlines.

Over at Delta, the AP reports that CEO Richard Anderson (pictured, below) has seen his compensation jump from $8 million to $8.9 million. His base salary remained the same, according to an SEC report, at $600,000, but the stock award value grew by $1 million.

After seeing Mr. Smisek's numbers, Mr. Anderson may be looking around for an airline for Delta to buy.

FMI: www.sec.gov


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