CC Discloses Pittman, Hogan Compensation Packages
| RADIO ONLINE | Tuesday, January 14, 2014 | 2:36pm CT |
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An 8K filing with the SEC has revealed the terms of John Hogan's separation agreement as Chairman/CEO of Clear Channel and the compensation package for CC Media Holdings Chairman/CEO Bob Pittman. Pittman will receive a base salary at a rate no less than $1.2 million annually, which shall be increased at the discretion of the CCMH board or its compensation committee.
Pittman will also have the opportunity to earn an annual performance bonus for the achievement of reasonable performance goals established annually by the CCMH board or its compensation committee after consultation with Pittman. The target performance bonus is 150% of Pittman's annual base salary.
As part of John Hogan's retirement from Clear Channel as Chairman and CEO, Hogan was paid a severance of $900,000, representing the amount he previously earned via an incentive plan with respect to 2012 performance, along with his annual bonus of $77,250 during 2013 and a prorated annual bonus during 2014. Also, under the separation agreement, the vesting of 93,076 restricted shares of class A common stock will be accelerated and CCMH will repurchase 83,938 shares, provided Hogan does not revoke the separation agreement.
Additionally, in exchange for the separation agreement, Hogan's release of claims and the extension of certain restrictive covenants applicable to him, and provided that Hogan does not revoke the Separation Agreement, CCB agreed to pay, including $333,000, representing the remaining amount earned by Hogan under a supplemental incentive plan with respect to 2011 performance. Plus, an equity value preservation payment equal to $1.027 million paid in a lump sum payment and a lump sum severance payment equal to $1.538 million.
