Exxon Mobil Chief Got $27.8M in 2003
Apr. 15, 2004
FORT WORTH, Texas (AP) _ Exxon Mobil Corp., which earned a record profit in 2003, rewarded chairman and chief executive Lee R. Raymond with a pay package worth $27.8 million, according to a company filing Wednesday.
The bulk of the package _ $17.9 million _ was in restricted stock awards. Raymond, 65, received a $3.25 million salary and a $3.56 million bonus, as well as $3 million in long-term incentive payouts and other types of compensation.
The package was nearly 8 percent larger than Raymond's $25.8 million compensation package for 2002, which Forbes magazine ranked 16th among U.S. public companies.
Exxon Mobil, the world's largest publicly traded oil company, earned a record $21.5 billion last year, nearly double the $11.5 billion profit of 2002. Its 2003 revenue was $213.2 billion.
Raymond, chief executive since 1993, has not said when he would retire. He was scheduled to retire in August 2003 under company policy, but the board asked him in 2001 to delay his departure.
In a move widely viewed as signaling his successor, Exxon Mobil in February promoted longtime manager, Rex Tillerson, 51, to the vacant position of president and indicated it would give him a seat on the company board.
Raymond's package represented a continuation of Exxon Mobil's shift toward using restricted stock awards to compensate top executives. Compensation experts said companies are changing long-term incentive plans at least partly because of the likelihood that federal rules could soon require the expensing of stock options.
In a statement, Exxon Mobil said it believed the restricted stock awards would likely be ``a better long-term incentive and retention tool'' and easier to value for financial-reporting purposes.
In trading Thursday on the New York Stock Exchange, Exxon Mobil shares closed up 38 cents at $43.68.