Nov. 10 (Bloomberg) -- Verizon Communications Inc., the second-largest U.S. phone carrier, increased Lowell McAdam’s salary by 70 percent to $1.4 million following his promotion to chief operating officer from head of its wireless unit.
McAdam, 56, was previously making a base salary of $825,000, New York-based Verizon said today in a regulatory filing. The changes went into effect this month.
Verizon has named McAdam as a likely successor to Chief Executive Officer Ivan Seidenberg when the 63-year-old CEO retires. Under McAdam’s leadership at Verizon Wireless, the unit has grown through customer wins and acquisitions to become the largest mobile-phone service provider in the country. The mobile division also has become Verizon’s biggest source of revenue and profit as traditional home-phone customers have declined.
McAdam’s potential short-term bonus was increased to 187.5 percent of his base salary from 112.5 percent, Verizon said. His long-term incentive package, which includes company shares, was increased to a possible 625 percent of his salary from 525 percent. The combined pay could give McAdam as much as $12.8 million in compensation.
Francis Shammo, who was promoted to chief financial officer in September, was awarded a $75,000 increase to his $600,000 base salary, according to the filing.
Verizon declined 16 cents to $32.85 in New York Stock Exchange composite trading at 4:04 p.m. The stock has gained 6.1 percent this year.
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