March 20 (Bloomberg) -- Steve Wynn, the founder of Wynn Resorts Ltd., will have to pay for his personal residence out of his own pocket, according to a company filing.
Wynn, 72, will pay annual rent of $525,000 for his villa at the company’s namesake property in Las Vegas, an amount that was determined by a third party appraiser, the company said yesterday in its annual proxy statement. His lease was previously included as part of his compensation.
The changes reflect discussions with shareholders, according to the filing. Wynn Resorts is modifying its executive pay so more compensation is tied to the company’s performance. Wynn’s $4 million base salary will shrink to $2.5 million this year under a new plan, according to the filing. Investors will vote on the 2014 compensation plan at the company’s annual meeting, which will be held May 16 in Macau.
“This is an example of our compensation committee working very hard to ensure we continue to be current with the best market practices,” Wynn Resorts said in an e-mailed statement.
Wynn, who serves as chairman and chief executive officer of the company, received $19.6 million in total compensation last year, based on Securities and Exchange Commission reporting rules, a 10 percent increase from 2012.
Under the existing plan, executive compensation is tied to adjusted earnings before interest, taxes, depreciation and amortization. The 2014 plan adds third-party recognition of the company’s quality, as well as goals related to the development of the Wynn Palace, a resort the company is building in Macau, according to the filing.
Wynn Resorts, based in Las Vegas, fell 2.3 percent to $229.01 yesterday in New York. The stock has advanced 18 percent this year.
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