Meet the CEOs who earn extra than 100 million dollars a yr

The highest-paid CEOs aren’t usually the ones jogging the most important agencies. The CEOs of Hertz, Pluto and Pinterest each earned over $100 million in 2022, outpacing almost each CEO within the S&P 500 inclusive of Tim Cook from Apple, who earned $ninety nine million.Also entered the list: the director of CS Disco LAW, a issuer of cloud offerings for legal professionals with a marketplace price of approximately $500 million.

Tim Cook, CEO of Apple – handiest earned $ninety nine million a year / Photo: Shutterstock

Six of the 10 highest-paid CEOs ultimate yr ran groups that weren’t within the S&P500, consistent with C-Suite Comp, an government compensation records and analysis firm. The S&P500 index consists of most of the most important U.S. Publicly traded organizations.

Highest annual payout: $253 million

Steven Schwartzman, personal fairness grantor, Blackstone, received the highest total charge – $253 million. Blackstone, which is bigger than many businesses within the S&P 500 with a market capitalization of greater than $a hundred billion, has a company structure much like twin-proportion organization preparations, which till lately kept it and different companies out of the index.

Schwarzman narrowly edged out Sundar Pichai, CEO of Alphabet, Google’s discern business enterprise, who earned $226 million — an quantity that positioned him at the pinnacle of the Wall Street Journal’s annual CEO pay survey in advance this year. After Pichai, inside the preceding survey, Michael Rapino changed into listed with $139 million.

Some of the CEOs on C-Suite Comp’s list of pinnacle earners, which include Pinterest and Hertz executives, received’t make the Journal’s annual pay scores due to the fact they started out during the yr, at the same time as the Journal’s analysis ranks most effective CEOs who've served the complete year.

Median pay for CEOs of S&P500 companies fell to $14.Five million ultimate yr, from $14.7 million the previous yr.

More broadly, nine CEOs earned more than $one hundred million in 2022, out of the nearly four,000 publicly traded U.S. Groups blanketed in C-Suite Comp’s analysis. That’s down from more than 20 final yr, as fairness offers faded, said the pal.

Blackstone’s CEO income jumped 50%

The bulk of the CEO’s earnings usually includes constrained stocks or options, the value of which can range. Many equity offers are frequently acquired, and grow to be the manager’s belongings in full – best if certain performance dreams are met, or if the supervisor remains employed for a exact duration.

For Schwarzman, Blackstone’s co-founder, approximately $190 million of his profits got here inside the form of success and incentive fees. Success fees consult with a reduce of earnings above a target that a few investment managers receive. Another $fifty eight.Eight million covered stocks in a real estate investment believe that Blackstone manages. Schwarzman’s general pay was greater than 50% of his 2021 salary of $one hundred sixty million.

The total return for Blackstone stocks, which include the business enterprise’s dividend, changed into down forty% last yr, compared to a terrible 18% go back for the S&P500. But via the cease of June this yr, Blackstone’s general return turned into 22%, in comparison to a go back of about 14% in the index.

Schwarzman owns nearly 20% of Blackstone, a stake that earned him about $1 billion in dividends in 2022.

A Blackstone spokesman said nearly 30% of Schwartzman’s 2022 payout reflects investment overall performance in 2021, a length while the enterprise’s inventory fee also doubled. “Almost all of his repayment contains hobby and incentive costs – which might be simplest paid while we meet our customers’ expectancies,” the spokesman said. He declined to say how a lot Schwartzman’s salary turned into in coins.

At Hertz, CEO Steven Scher’s general payment, which was $182 million, covered $three.Four million in income and bonuses. An extra $178 million in constrained stocks are planned to mature by using 2026, with most of them truely being acquired most effective if the company’s stocks reach 90-day average price objectives, accomplishing as much as almost twice its contemporary share fee.

In its annual statement, the company said  price goals have already been met, that means about $50 million in shares at recent costs are set to mature if Sher remains hired until 2026, in addition to the $20 million they received on Dec. 31. Sher, who formerly worked as the chief monetary officer of the Goldman Sachs institution, took up his senior function at Hertz in February 2022, about seven months after the auto apartment chain emerged from insolvency complaints.

Hertz shares fell 22% in the course of Sher’s tenure final year, at the same time as the S&P 500 fell 16%. The business enterprise valued Sher’s capital provide at approximately $128 million on the give up of the year, in step with files submitted. The Hertz share rose this 12 months by way of about 20% till June 30. A Hertz spokesman declined to remark beyond the employer’s disclosures.

$168 million, nearly completely in stock options

Pluto’s Barry McCarthy started as CEO in February 2022, after stints as leader economic officer at Spotify and Netflix. His $168 million Pluto payout became almost absolutely in stock options, which vest month-to-month over a four-yr duration. While Pluto is buying and selling In recent days at near $7.50 consistent with proportion, those 8 million options are “below the water line”, which means that their exercising will price more than the value of the underlying shares (on which the options are based totally, PT).

Peloton stocks have fallen about three% this 12 months through June 30, and are down 79% in 2022, as falling call for has left the company with a glut of the workout motorcycles it sells. Peloton representatives did not reply to requests for remark.

Of the $123 million Pinterest offered Bill Reddy closing year, almost $a hundred and one million got here in inventory alternatives and $21.5 million in restricted stock made up most of the rest. Both gave in connection along with his hiring as CEO at the stop of June 2022. The equity offers are offered quarterly for 4 years furnished Reddy remains employed. By the end of the year, the price of Reddy’s stock and options for 2022 had expanded in fee to $153.6 million, Pinterest stated in a submitting.

Pinterest inventory is up just over 20% within the past 12 months. So a long way this year, Pinterest stock is up about 13% via June 30.

A Pinterest spokeswoman said Reddy isn't always anticipated to receive every other private furnish throughout his first 4 years, and the employer sees his 2022 fairness offers as worth about $30 million a year over that point. In addition, Reddy had to buy and maintain $five million worth of inventory. “If the organization is appearing nicely, then Bill’s alternatives have value,” the spokeswoman said. “If the business enterprise does now not be successful, Bill’s compensation will also be affected.”

CS Disco, a 10-12 months-vintage Austin, Texas-based organization that sells on line offerings to regulation corporations, paralegals and felony offerings agencies, is the smallest company inside the maximum-paying institution. CEO Kiwi Kamara, a co-founder, received a earnings of $500,000 plus alternatives well worth $109 million, a provide accepted by way of shareholders in a vote final 12 months.

Camara’s options vest handiest if the agency’s ninety-day common inventory charge reaches any of six targets by using 2032, or if the company is received or Camara loses his process underneath certain circumstances.

Camara earned simply below $1 million in overall in 2021, the year the company went public in past due July. Its shares closed Friday at $eight.22, up 30% 12 months to date, but down extra than 75% from the employer’s proportion rate in early 2022. CS Disco did no longer reply to requests for comment.