General Motors Co. (GM) increased Chief Executive Officer Dan Akerson’s compensation to $7.7 million for 2011 when he led the company to record profit and GM regained its position as the world’s top-selling automaker.
The automaker also said it’s nominating two new directors, including the outgoing head of ConocoPhillips (COP), for election at its June 12 annual meeting in Detroit.
Akerson, whose pay is subject to government review because of GM’s 2009 U.S. bailout, received $1.7 million in salary and $6 million in stock awards and other compensation, the Detroit- based automaker said today in a regulatory filing. He made $2.53 million in 2010 when he replaced Ed Whitacre as CEO and led GM the last four months of that year.
The U.S. Treasury Department said April 6 that Akerson’s compensation in 2012 would be frozen at the 2011 level.
Akerson’s compensation is a fraction of Ford Chief Executive Officer Alan Mulally’s $29.5 million package last year and the 17.5 million euros ($23.1 million) that Volkswagen AG (VOW) CEO Martin Winterkorn received.
GM earned $9.19 billion last year, the largest annual profit in its 103-year-history. The automaker, which lost its global sales crown in 2008 to Toyota Motor Corp. (7203), saw deliveries rise 7.6 percent last year to 9.03 million to outsell its Japanese competitor.
GM said it’s nominating ConocoPhillips Chief Executive Officer Jim Mulva and Tim Solso, retired CEO of Cummins Inc. (CMI), for board seats. Mulva departs ConocoPhillips on May 1. The election of Mulva and Solso, both 65, would increase the board to 14 members, including 12 outside directors. Akerson and Vice Chairman Steve Girsky are the two employee directors.
The two are joining the board as Akerson faces challenges in Europe, where GM lost $747 million last year before interest and taxes and losses have totaled $15.6 billion since 1999.
GM’s full-year profit in 2010 of $6.17 billion had been the automaker’s largest annual income since its predecessor earned $6.7 billion in 1997, excluding profit in 2009 to account for its post-bankruptcy recapitalization.
Girsky received compensation of $5.31 million in 2011, including $600,000 in salary.
GM rose 1.8 percent to $23.72 at the close in New York.
To contact the reporter on this story: Tim Higgins in Southfield, Michigan at email@example.com
To contact the editor responsible for this story: Jamie Butters at firstname.lastname@example.org