The CEO of McDonald's Corp., the nation's largest hamburger chain, received compensation valued at $17.6 million for 2009, an increase of 29 percent, according to a regulatory filing Friday.
Jim Skinner, who is also the vice chairman at McDonald's, got the biggest boost from a large increase in a performance-based cash bonus.
In 2008, his compensation was valued at $13.6 million.
In 2009, the 65-year-old received a base salary of $1.4 million, a 4 percent increase from what he earned the previous year.
But the bulk of his compensation came from a hefty $11.5 million performance-based bonus, two-and-a-half times what he received the previous year. Much of that bonus — $8.3 million, or 72 percent of it — was from a long-term incentive plan award paid out once every three years.
Most of the remainder of Skinner's compensation came from restricted stock and options valued at $3.9 million. That's about 45 percent less than the $7.1 million he received in the 2008 fiscal year.
During the most recent year, Skinner, also received other compensation, or "perks," the Oak Brook, Ill. company valued at $734,000, roughly a third more than the value of the perks he got the year before.
Among them: nearly $600,000 from profit sharing, a savings plan and excess benefits and almost $72,000 for personal use of the company's airplanes.
The Associated Press formula is designed to isolate the value the company's board placed on the executive's total compensation package during the last fiscal year. It includes salary, bonus, performance-related bonuses, perks, above-market returns on deferred compensation and the estimated value of stock options and awards granted during the year. The calculations don't include changes in the present value of pension benefits, making the AP total different in most cases than the total reported by companies to the Securities and Exchange Commission.
During its most recent fiscal year, McDonald's was hurt by the nation's souring economy and job market, which cut into sales and caused the restaurant chain to post its first annual revenue decline since at least 1984.
But thanks to its cost-cutting efforts, and the early benefit it got from the recession as diners sought out cheaper menus, the company earned $4.55 billion for the year, or $4.11 per share — up 6 percent.
Revenue slipped 3 percent to $22.74 billion.
On Friday, McDonald's shares dipped 14 cents to $68.62 in midday trading.
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