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SEC filings list Akerson's pay

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SEC filings list Akerson's pay

Christina Rogers and David Shepardson / The Detroit News

Daniel Akerson, who became CEO of General Motors Co. last week, will receive the same pay and stock package planned for his predecessor: an annual salary of $1.7 million in cash, plus more than $7 million in stock, according to records filed Friday with the Securities and Exchange Commission.

In addition to his cash pay, GM's new boss -- its fourth in less than two years -- will get $5.3 million in short-term stock payable over the next three years, and another $2 million in restricted stock tied to GM's performance.

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Akerson, 61, who assumed the top executive position from Ed Whitacre Sept. 1, will receive no additional compensation for serving on GM's board of directors. The former managing director of a private equity firm, Akerson will replace Whitacre as board chairman at the end of the year.

Whitacre, 68, will receive $300,000 for his remaining four months on GM's board, as well as $5.3 million in stock over a three-year-period starting September 2012. Aside from that, he will receive no additional compensation from the company for the year, the SEC filing shows.

Whitacre, CEO since December, will forgo the $2 million in restricted stock tied to GM's performance. To be eligible for the stock, executives must be employed with the company at the time of payout, said GM spokeswoman Noreen Pratscher.

Whitacre said he stepped down because the company needed a CEO who would be in charge long after it sells stock to the public. The sale, called an initial public offering, is expected in mid-November.

The U.S. Treasury owns 61 percent of GM, which received a $50 billion taxpayer bailout following its bankruptcy in June 2009.

GM is one of four companies that received what was termed "exceptional assistance" under the $700 billion Wall Street and auto bailout fund and must get government approval for the pay it gives its top executives. Akerson, for instance, won't receive as part of his pay package $2 million in restricted stock unless the Treasury Department reviews the company's performance and approves the stock payout.

Also Friday, the Treasury Department announced its special master for pay, Ken Feinberg, had stepped down. His resignation ended a contentious 14 months, during which he was accused of not acting aggressively enough to recoup the excessive pay of Wall Street bankers.

Feinberg will be replaced by Patricia Geoghegan, a treasury department attorney. She will oversee the pay of top executives at the four companies still getting "exceptional assistance" from the government's $700 billion bailout fund: GM, American International Group, Chrysler Group LLC, and Ally Financial Inc., the financing arm for GM and Chrysler.

From The Detroit News: http://www.detnews.com/article/20100911/AUTO01/9110321/1148/auto01/SEC-filings-list-Akerson-s-pay#ixzz0zQAtjrSU

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New GM CEO's pay package worth $9 million

By TOM KRISHER

AP Auto Writer

DETROIT (AP) -- New General Motors Co. CEO Daniel Akerson will get up to $9 million in salary and stock, the same pay package granted to his predecessor, Ed Whitacre.

Akerson, a former telecommunications industry and private equity executive, will receive $1.7 million in annual salary, $5.3 million in short-term stock payable over the next three years, and another $2 million in stock that's part of the company's long-term executive compensation plan.

The automaker, which is 60.8 percent owned by the U.S. government, disclosed the pay package in a filing on Friday with the Securities and Exchange Commission. It is identical to what the company disclosed for Whitacre in February.

Akerson also is on GM's board of directors, but will receive no compensation for his duties there, the filing said.

Akerson, GM's fourth CEO in less than two years, took over leadership of the company on Sept. 1.

Whitacre, CEO since December, said he stepped down because the company needed a chief executive who would be in charge long after it sells stock to the public. The sale, called an initial public offering, is expected in mid-November.

Whitacre, 68, a retired CEO of telecommunications giant AT&T Inc., said he didn't want to stay too long after the stock sale.

Whitacre received roughly $1.1 million of his $1.7 million annual salary for his eight months as CEO, plus he will get the full $5.3 million in short-term stock compensation payable over three years starting in 2012, said GM spokeswoman Noreen Pratscher. He is not eligible for the $2 million in long-term stock compensation since he no longer is a company employee, she said.

GM also disclosed that Whitacre will get $300,000 to remain on as chairman until the end of the year when Akerson takes over that role as well.

Like Whitacre, Akerson has worked as a top executive at major telecommunications companies, holding leadership posts at both MCI and Nextel. A graduate of the U.S. Naval Academy, Akerson was appointed to GM's board by the government in July of last year after GM emerged from bankruptcy protection. He also led global buyouts for The Carlyle Group, a private equity firm.

GM's SEC filing said that Akerson agreed to the pay package after the government's pay czar approved it Wednesday. Pay czar Kenneth Feinberg stepped down on Friday and was replaced by Treasury Department lawyer Patricia Geoghegan. The pay czar is responsible for setting pay guidelines for top executives at the four companies still getting exceptional assistance from the government's $700 billion bailout fund.

In addition to GM, those companies are American International Group, Chrysler Group LLC and Ally Financial Inc., the financing arm for GM and Chrysler.

A Treasury Department spokesman said Akerson's pay package is in line with Whitacre's and consistent with the rules governing the federal bailout fund.

The U.S. government got its stake in GM after giving the Detroit auto giant a $50 billion bailout to live through bankruptcy protection last year. GM has repaid $6.7 billion, and the government hopes to get the rest of its money back through the common-stock sale.

GM itself also plans to sell preferred shares to raise capital and pay off debt.

link:

http://hosted.ap.org/dynamic/stories/U/US_GM_CEO_PAY?SITE=MIDTN&SECTION=HOME&TEMPLATE=DEFAULT

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Akerson to draw $9M as GM CEO

BY CHRISSIE THOMPSON

FREE PRESS BUSINESS WRITER

Dan Akerson stands to make $1.7 million in cash and $7.3 million in deferred or restricted stock annually in his new job as General Motors' fourth CEO since 2009.

But consider this: Alan Mulally, CEO of Ford, which made a $2.7-billion profit in 2009, was paid $12.9 million last year in salary and benefits, as well as $5.1 million in stock options.

Top GM executives must still have their compensation approved by the U.S. Treasury "pay czar," who enforces salary restrictions at companies running on federal aid. Former pay czar Kenneth Feinberg ruled on Akerson's pay before his tenure ended Friday. Treasury lawyer Pat Geoghegan, who had assisted Feinberg, replaces him as acting pay czar.

Former CEO Ed Whitacre had complained that pay restrictions could hurt GM's ability to recruit top talent. The low GM pay helped doom the board's attempts to recruit an outside CEO after directors ousted Fritz Henderson.

Akerson, whose compensation plan essentially matches Whitacre's, will make $5.3 million in salary stock, delivered over three years starting Sept. 30, 2011, GM said Friday in a regulatory filing. He could also receive another $2 million in restricted stock linked to company performance.

Akerson took over Sept. 1 after Whitacre told GM's board of directors he didn't want to serve long past the company's stock offering, tentatively timed for mid-November.

Whitacre is to stay on as chairman of GM's board until year's end and will receive $300,000 in salary over his final four months with the automaker, GM said in the filing. As for his CEO compensation, he will receive the cash salary he earned this year through Sept. 1, in addition to the salary stock he accrued year to date, spokeswoman Renee Rashid-Merem said. That stock is payable over three years, beginning in 2012, a few months after Akerson is to start receiving his salary stock. Whitacre will lose the restricted stock portion of his salary, because he won't work for the company when the payment time comes after year's end.

Akerson, a former telecommunications executive who most recently worked in private equity for the Carlyle Group, has served on GM's board since July 2009. Akerson has already made his millions. In May 2009, Virginia Business estimated Akerson's net worth at $130 million, down from $190 million a year earlier.

Read more: Dan Akerson to draw $9M as GM CEO | freep.com | Detroit Free Press http://www.freep.com/article/20100911/BUSINESS01/9110303/1331/Business01/Dan-Akerson-to-draw-9M-as-GM-CEO#ixzz0zQFJyuEr

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NEW GM CEO, AKERSON, SET TO RECEIVE $9M COMPENSATION

By Mark Kleis

General Motors today filed the paperwork with the Securities and Exchange Commission outlining the total compensation schedule for Dan Akerson, GM's latest CEO, which calls for a total of $9 million to be paid in various forms over the next three years.

Akerson's cash pay will come in the form of $1.7 million annually in salary, to be supplemented by short-term stock worth $5.3 million, to be paid over the next two years. The Associated Press also points out there will be another $2 million in stock paid as part of the company's long-term executive compensation plan.

Ed Whitacre, the man Akerson has replaced as the head of GM, will be paid $300,000 for his time as director and chairman for the remainder of 2010, according to The Wallstreet Journal. Beyond the $300,00, GM says there will be no additional "employment related" compensation, leaving open the opportunity for advisory roles often popular for former executives.

link:

http://www.leftlanenews.com/new-gm-ceo-akerson-set-to-receive-9m-compensation.html

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