Best Buy CEO makes $20 million in first few months
NEW YORK — Best Buy CEO Hubert Joly earned nearly $20 million during his first five months on the job in 2012, the Associated Press reported.
Joly, a turnaround expert, took the reins of the chain in September. Former CEO Brian Dunn left in April when a board investigation found that Dunn violated company policy by having a "close personal relationship" with a female staffer. Board member Mike Mikan, one of Best Buy’s board members, served as temporary CEO before Joly was hired.
Joly, 53, received a base salary of about $490,000 and a $3.5 million bonus for the year ended Feb. 2, 2013. The bulk of his pay came from stock and option awards valued at $15.6 million on the date that they were granted.
In the fiscal year ended Feb. 2, Best Buy's loss narrowed to $249 million from $1.32 billion the year before. Revenue inched down less than 1%, to $49.62 billion.
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.