Compensation of CVS chief falls 17% to $14.4 million
New York City The president, CEO and chairman of CVS Caremark Corp. received compensation valued at $14.4 million in 2009, down 17% from the $17.4 million he received the previous year.
Thomas Ryan's pay was largely due to a decrease in his performance-based cash bonus and stock-based awards, according to an Associated Press calculation of figures disclosed in a regulatory filing.
Ryan drew a $1.4 million in salary in 2009, the same as in 2008. He also received stock and options valued at $9.3 million on the days they were granted, down 23% from similar awards of $11 million in 2008.
Ryan also received a $3.5 million performance-based cash bonus, compared with a $4.6 million bonus the year before.
Ryan received $269,000 in perks, down from $466,000 in 2008. His perks included company contributions to defined contribution plans, use of the company aircraft, home security and other items.
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, and they sometimes differ from the totals companies list in the summary compensation table of proxy statements filed with the Securities and Exchange Commission, which reflect the size of the accounting charge taken for the executive's compensation in the previous fiscal year.