Amazon CEO's compensation fell 6 percent in 2010

AP News
Posted: Apr 27, 2011 4:07 PM
Amazon CEO's compensation fell 6 percent in 2010 Inc. CEO and founder Jeff Bezos received $1.7 million in compensation last year, a dip of 6 percent from 2009, according to an Associated Press analysis of a Wednesday regulatory filing.

Bezos, 47, received a salary of $81,840, the same as he received in 2009. As in the past, the online retailer said in its filing with the Securities and Exchange Commission that its executives' base salaries are intentionally "significantly less than those paid by similarly situated companies."

Bezos received other compensation worth $1.6 million, which Amazon said covered his security and business travel. In 2009, he received $1.7 million in other compensation.

He did not take home a bonus, incentive or stock or stock options. Bezos, who owns close to 20 percent of Amazon's stock, has never gotten stock-based compensation from Amazon.

The AP's calculation of executive pay includes salary, bonus, incentives, perks, above-market returns on deferred compensation and the estimated value of stock options and awards as of the day they were granted. The calculations exclude changes in the present value of pension benefits, making the AP total different in most cases than the total reported by companies to the SEC.

Amazon, based in Seattle, is the leading retailer on the Web. During 2010, the company earned $1.15 billion, or $2.53 per share, compared to a profit of $902 million, or $2.04 per share, in 2009. Revenue from the company's two main categories _ electronics and other general merchandise and books, CDs, DVDs and other media totaled $34.2 billion, up from $24.5 billion in 2009.

To support its growth, the company opened more than a dozen centers during the year to fill customer orders for its own retail business and the business it has where it fills other merchants' orders.

Also in 2010, Amazon built up the ecosystem for its Kindle e-reader by introducing new models of the Kindle, including one with Wi-Fi for wirelessly downloading books that cost $139 _ $50 cheaper than the price of the then-cheapest version of the device, which used 3G cellular networks to download content. The company also rolled out new Kindle apps for mobile devices like Apple Inc.'s iPad and smartphones running Google Inc.'s Android operating software. Amazon has never said how many Kindles it has sold.

The company's stock price climbed 34 percent in 2010, finishing the year at $180.