Nokia CEO Earns $10.5 Million After Bringing Out Windows Phones

Nokia Oyj (NOK1V) Chief Executive Officer Stephen Elop received pay and options valued at 7.94 million euros ($10.5 million) in 2011 as he worked on a turnaround plan and brought out the company’s first Windows Phones.

Elop got 1.02 million euros in base salary and 473,070 euros as a bonus for 2011. His pay also included deferred compensation in the form of stock awards and options and payment of 2.08 million euros to make up for lost salary from his previous employer, Microsoft Corp. (MSFT), Nokia said in its 20-F filing with the U.S. Securities and Exchange Commission.

Elop, 48, was appointed in September 2010 to turn around the company’s struggling smartphone business. After a five-month asset review, he announced a turnaround strategy based on cooperation with Microsoft to build Windows Phone handsets, as well as investments to bring more smartphone capabilities to the Espoo, Finland-based company’s low-end phones. He has unveiled four Lumia Windows Phone handsets since October as sales of Nokia’s earlier Symbian smartphones plummeted.

The CEO can get an additional bonus of as many as 750,000 shares if the company’s total shareholder return is competitive with peers and if the share price reaches at least 9 euros by the end of 2012, according to the filing.

Nokia hasn’t traded at that price since May 2010. The shares fell 1.4 percent to 3.78 euros at 4:30 p.m. in Helsinki.

Chairman Jorma Ollila received 440,000 euros in 2011 for his last full year at Nokia. Risto Siilasmaa, the founder and chairman of F-Secure Oyj (FSC1V), has been nominated to lead the board after Ollila, who built Nokia into the world’s largest mobile phone maker as chief executive officer, retires in May.

To contact the reporter on this story: Diana ben-Aaron in Helsinki at dbenaaron1@bloomberg.net

To contact the editor responsible for this story: Kenneth Wong at kwong11@bloomberg.net

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