Ranking Shows Energy Execs Earn Big Bucks
Archie W. Dunham, chairman and CEO of Conoco Inc., is the
highest paid executive of all the energy companies either
headquartered in Houston, TX, or with a significant local presence
there, according an annual ranking by the Houston Chronicle that
was released last week.
Dunham earns $4.6 million in annual salary and cash bonus, but
after you add in long-term incentives - such as perks, option
grants, and other payments - his total compensation comes to about
$24.9 million. The majority of the amount is in stock options,
while some is in the form of additional contributions to retirement
savings plans and perks such as company cars.
Although his is a salary that most of us just dream of, Dunham
wasn't the top paid executive in Houston. Rather, he came in fourth
in a ranking of the 100 highest paid executives in all industries
in the city. Dunham was immediately followed by Chuck Watson,
chairman and CEO of Dynegy Inc., whose annual salary (plus bonus)
was reported to be $5.3 million But his total compensation
skyrockets to $23.2 million after all the add-ons were attached,
according to Chronicle ranking.
Next in line was Kenneth Lay, chairman and CEO of Enron Corp.,
who grosses $5.2 million in annual salary and cash bonus. However,
once the stock options, perks, and other payments are included, his
annual compensation shoots up to around $21.2 million.
William Wise, president and CEO of El Paso Energy, was rated the
eighth highest paid executive in the city. His annual salary and
cash bonus add up to about $4 million. But when the extra add-ons
are tallied - including restricted stock awards - his total
compensation is $20.2 million. Wise is one of the few energy
executives to receive this added perk.
Jeffrey Skilling, president and COO of Enron, finished 12th in
the Chronicle ranking, earning $3.85 million in annual salary and
bonus. But after factoring in stock options, perks and other
payments, his compensation amounted to a tidy $$16.7 million.
Listed 15th was Stephen Bergstrom, president and COO of Dynegy,
raking in $14.6 million in compensation.
Of the 100 executives rated, the lowest paid energy executive
was Bobby S. Shackouls, chairman and CEO of Burlington Resources,
according to the Chronicle. But even though he was ranked near the
bottom (at 97th), that doesn't exactly qualify him for food stamps.
His annual compensation was estimated at $2.65 million after the
perks, restricted stock awards, option grants and other payments
were accounted for.