New Yahoo CEO Marissa Mayer
Yahoo's incoming CEO isn't coming in cheap.
Marissa Mayer is getting an initial compensation package valued at nearly $60 million - big for any incoming CEO - but one of the biggest ever awarded to a woman.
The 37-year-old Mayer could earn even more, depending upon her length of stay and her performance turning around the struggling Internet company. Based on a Thursday filing with the Securities and Exchange Commission, here's what Mayer is scheduled to receive:
•Annual salary: $1 million.
•Potential annual bonus: $2 million.
•Annual equity award: $12 million - 50% in restricted stock, 50% in stock options.
•A one-time retention award worth $30 million - 50% in restricted shares that vest over five years, 50% in stock options.
•A "make whole" stock grant valued at $14 million to cover compensation Mayer forfeited after leaving Google, where she had worked since 1999. The shares fully vest in 2014.
•Up to $50,000 a year for security expenses.
Mayer's employment contract with Yahoo has no specified length. Instead, she's serving "on at-will basis," according the SEC filing. But for each year she remains, she's eligible for at least $12 million in annual equity grants and bonuses of up to $2 million.
Mayer's pay package reflects the escalating costs of CEO hires. Last year, retailer J.C. Penney paid Apple retail store chief Ron Johnson more than $50 million. And when Apple replaced an ailing Steve Jobs, it gave Chief Financial Officer Tim Cook stock grants valued at more than $375 million.