Alex Trotman took home a record $69.07 million in cash, stock and exercised stock options in 1998, his final year asMotor Co. chairman and chief executive officer. Ford says Mr. Trotman's paycheck is the largest ever for a Ford chairman.
Mr. Trotman's base salary was $2.5 million and his bonus totaled $10 million, up from $7 million in 1998, according to the proxy statement released Friday (April 16). Mr. Trotman exercised 1,428,652 stock options last year worth $30.06 million. Mr. Trotman, who retired in September of 1998, got a huge boost in his salary last year from $24.14 million in stock that comes from a long-term incentive plan. In 1997, he was paid $9.8 million in stock under the plan. Incentives for the long-term plan payout always are disclosed the year after they are set. Mr. Trotman's 1998 awards will be paid in July, but because he is now retired they will not be disclosed in next year's proxy statement.
Mr. Trotman was paid $2.37 million in other compensation, up from $1.69 million in 1997, which included restricted stock awards.
Mr. Trotman's annual pension will be close to his base salary.
Jac Nasser, who replaced Mr. Trotman as chief executive in January, was paid $12.94 million in cash and long-term stock incentives in 1998 in his former role as automotive operations president. His pay rose from $5.12 million in cash and long-term incentive compensation in 1997. Mr. Nasser did not exercise any stock options in 1998,says. Ford issued a special grant of 700,000 in stock options last year to Mr. Nasser as a way to keep him tied to the company.
Mr. Nasser's base salary climbed to $1.05 million, up from $717,000 in 1997. His bonus of $5 million was up from $3 million. Under the long-term incentive stock plan, Mr. Nasser received $6.05 million in stock, up from $1.04 million in stock in 1997.