CFOs Cash In on Stock-based Awards

Stock options, restricted stock, and long-term incentives figure into the pay structure at Yahoo, Home Depot, Boyd Gaming, and Tiffany.

Yahoo chief financial officer Susan Decker took home nearly $41 million in 2005, roughly $31 million of it from exercising stock options and selling the underlying shares. She was also awarded more than $7 million in restricted stock, four times as much as in 2004.

Decker also received a salary of $500,000, the same as last year, and a bonus of $1 million, $100,000 more than in 2004.

Stock-related compensation also played a major role in the total earnings of several other finance executives, according to proxies recently filed with the Securities and Exchange Commission.

At Home Depot, executive vice president and chief financial officer Carol Tomé earned about $6.9 million last year, much of it from incentive pay. Tomé made $1.85 million from exercising options and more than $2.9 million from restricted stock awards; she also received more than $470,000 in long-term incentive plan payouts.

Ellis Landau, executive vice president and chief financial officer of Boyd Gaming, earned nearly $6.8 million from exercising options. Including a salary of $500,000, a bonus of $280,000, and long-term incentive plan payouts of $325,000, his compensation last year totaled nearly $7.9 million.

Tiffany executive vice president and chief financial officer James Fernandez netted more than $3.1 million from exercising options out of a total pay package of $4.7 million. His $116,000 of “other compensation” included $93,768 attributable to life insurance premiums, $16,106 attributable to premiums for executive long-term disability insurance, and $6,500 for the company’s matching contributions to his 401(k).

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