Stock-related compensation once again played a major role in the total earnings of several finance executives, according to proxies recently filed with the Securities and Exchange Commission.
Oscar Munoz, executive vice president and chief financial officer of railroad giant CSX, earned about $8.5 million last year. The bulk of his compensation — more than $7.1 million — came from the company’s long-term incentive plan, which paid out half in cash and half in CSX shares. That payout was based primarily on the company’s exceeding a two-year (2004-2005) cumulative modified cash-flow performance target. Munoz also received a salary of about $546,000 and a bonus of about $835,000.
Other finance chiefs earned a big chunk of money last year from exercising stock options.
For example, William F. Ohrt, executive vice president and CFO of Walter Industries, netted more than $4 million after exercising stock options. He also received $267,000 in restricted stock in the water-infrastructure company, as well as a salary of $341,000 and a bonus of $423,000. His total compensation for 2005: a little more than $5.1 million.
Robert A. Hagemann, senior vice president and CFO of Quest Diagnostics, earned more than $4.1 million last year, including more than $3.4 million from gains on exercised stock options. His $437,000 salary last year was only slightly higher than his salary in 2004; his $288,000 bonus was about $80,000 less.
At St. Jude Medical, executive vice president and CFO John C. Heinmiller earned nearly $4.3 million, including roughly $3.2 million from exercising options. His combined salary and bonus worked out to a little more than $1 million.
Qwest Communications vice chairman and CFO Oren G. Shaffer received nearly $2.6 million in restricted stock, which will fully vest on December 31, provided Shaffer is employed by the company on that date. He also received a salary of $800,000, unchanged from the past two years, and a bonus of $1.8 million, up from $1.68 million in 2004. His total compensation: about $5.3 million.