DuPont CEO got $11.3M pay package in 2010

AP News
Posted: Mar 18, 2011 8:55 PM
DuPont CEO got $11.3M pay package in 2010

DuPont Co. Chairwoman and CEO Ellen Kullman received compensation valued at $11.3 million last year, a 36 percent bump from what she received in 2009, according to an Associated Press review of data filed with regulators.

The Wilmington, Del.-based chemical giant credited Kullman with achieving outstanding revenue, earnings and cash flow results in 2010, while also streamlining the company and improving its productivity.

In doing so, the executive exceeded several of the company's performance targets for sales, earnings, cash flow and shareholder return.

As a result, Kullman, who took over as CEO in January 2009 and became board chairwoman at the end of that year, received sizeable increases to her 2010 salary, performance related cash incentive, and stock and option awards.

For the 12 months ended Dec. 31, Kullman was awarded a base salary of $1.3 million, a 15 percent increase from about $1.1 million in 2009, according to documents filed with the Securities and Exchange Commission on Friday.

She also received stock awards valued at $4.7 million, an annual increase of 29 percent, and option awards valued at about $2.2 million, up 25 percent from a year earlier.

In addition, Kullman's performance-based cash swelled 90 percent from the prior year to about $2.9 million.

DuPont gave the executive perks valued at $307,514 for the year, down 10 percent from what she received in 2009.

The perks package was comprised of $229,950 in contributions to a retirement savings restoration plan and another $22,050 for a separate retirement plan; $39,697 for personal use of company aircraft; $8,762 for financial counseling; and, $7,055 for personal use of the company car.

The executive did not receive a bonus for 2010.

Kullman's total compensation in 2009 was $8.3 million.

The Associated Press formula is designed to isolate the value that 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.

A recovery in the global automotive industry helped boost results last year for DuPont, whose products are used in a variety of automobile applications, including paint and plastics.

The company, which is also known as E.I. du Pont de Nemours & Co., earned $3.28 a share in 2010. That compares with a profit of $1.92 a share in 2009.

Excluding significant items, full-year earnings increased 62 percent to $3.28 a share.

The company's consolidated sales grew 20 percent, to $32.7 billion.

DuPont's stock price also rose in 2010, climbing 48 percent to $49.88 at the end of the year from $33.67 at the close of 2009.