March 11 (Bloomberg) -- General Electric Co. Chief Executive Jeffrey Immelt received total compensation of $25.8 million in 2012, including a $12.1 million award for improving manufacturing performance and shrinking the finance unit.
Immelt, 57, also received $3.3 million in salary, the same as the previous year, and a bonus of $4.5 million, up $500,000 from 2011, according to Fairfield, Connecticut-based GE’s proxy materials filed today with the U.S. Securities and Exchange Commission.
GE’s board rewarded its CEO for exceeding three-year growth targets on earnings per share as well as industrial cash flow and return on capital, all while shrinking GE Capital’s balance sheet. Shares of the world’s biggest maker of jet engines, diesel locomotives and medical scanners advanced 17.2 percent last year, outpacing a gain of 13.4 percent on the Standard & Poor’s 500 Index.
Immelt’s 2012 total compensation climbed 20 percent from the previous year’s $21.6 million, according to the SEC filing. Excluding the change in the value of his pension and other deferred compensation, it increased 80 percent to $20.5 million.
His realized compensation, or income reported to the U.S. Internal Revenue Service for the period, was $7.91 million, little changed from a year earlier, the SEC filing shows. That doesn’t include the payout under GE’s long-term performance award program, which was settled in cash this year.
Three GE board members aren’t standing for re-election at this year’s annual meeting. Penske Corp. CEO Roger Penske, former U.S. Senator Sam Nunn and former Procter & Gamble Co. CEO Alan Lafley are all stepping down.
Marijn Dekkers, chairman and CEO of Bayer AG; former Vanguard Group Inc. CEO John Brennan; and Francisco D’Souza, CEO of Cognizant Technology Solutions Corp., were appointed to the board after last year’s annual meeting. GE nominated former SEC Chairwoman Mary Schapiro for a board seat earlier today.
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