The CEO of Wendy's/Arby's Group Inc. got a pay package in 2010 that was worth 43 percent more than he made in 2009, in part because this was the year he received a three-year bonus, according to An Associated Press analysis of a regulatory filing.
Roland C. Smith, 56, has served as director and CEO of the fast-food company since 2007. His compensation added up to $4.9 million in 2010, compared with $3.4 million in 2009.
The bulk of the increase came from the payment of stock and option awards in 2010 worth nearly $2.5 million. Wendy's/Arby's executives earn those over a three-year period so they did not receive similar awards in 2009.
The calculations are based on a filing the company made Monday with the Securities and Exchange Commission.
Smith's salary was steady at $1.15 million and he received no annual bonus for 2010, compared with $351,900 in 2009. But he did get a performance-related bonus of $1.1 million, down 36 percent from $1.7 million he got in 2009.
He also received $206,684 in perks, including travel and an apartment for himself and his wife. That's down 5 percent from the value of similar perks in the prior year.
Wendy's/Arby's, based in Atlanta, is in flux. The company is trying to sell the Arby's chain and has been considered a takeover target. During its last fiscal year, Wendy's/Arby's lost $4.3 million, and its revenue fell 5 percent to $3.42 billion.
The company is hoping new products, restaurant updates and expansion will draw more customers in the future.
The AP's formula for calculating executive compensation 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 many cases from the totals companies report to the Securities and Exchange Commission.