Intel CEO’s Pay Drops 40% to $9.6 Million for 2013James Callan and Ian King
Intel Corp.’s Brian Krzanich, a 32-year veteran of the chipmaker who was elevated to chief executive officer last May, saw his compensation last year drop 40 percent from 2012, when he received a large stock award.
Krzanich was paid a total of $9.6 million last year, including $887,500 in salary, $6.58 million in stock and option awards and $1.87 million in non-equity incentive compensation, the company said today in a filing. In 2012, when he was chief operating officer, Krzanich was given a total of $15.9 million, including $13.2 million in stock and options.
Krzanich, 53, is trying to jump start Intel’s progress in areas outside of personal computers, where the Santa Clara, California-based company’s processors are in eight out of 10 devices sold. He’s focusing on tablets, smartphones and wearables, which are denting demand for PCs.
Intel will this year begin changing its pay structure and require more executives to own stock and tie bonuses to operating goals. The moves, following input from investors, are aimed at connecting pay more closely with the financial performance of the world’s largest chipmaker.
Krzanich’s stock and options compensation fell compared with his final year as chief operating officer when he was one of a group of executives under consideration to replace previous CEO Paul Otellini. Intel paid those executives a retention bonus to persuade them to stay.
Through yesterday, the shares have risen 8.1 percent since May 16, the day Krzanich became CEO. The stock increased 1.4 percent to $26.26 at 10:57 a.m. in New York.