Home Stock The total amount paid to the Norwegian Cruise CEO more than doubled...

The total amount paid to the Norwegian Cruise CEO more than doubled to more than $ 36 million in the year COVID


In a year that Norwegian Cruise Line Holdings Ltd. With a loss of $ 4 billion and a 20% cut in staff salaries as the travel operator struggled to address a COVID-19-related shutdown, CEO Frank Del Rio’s gross salary was more than doubled to more than 36 million dollars. .

Company
NCLH,
+ 0.74%

revealed on Wednesday in it Authorization statement is filed with the Securities and Exchange Commission that Del Rio’s total compensation in 2020 is $ 36.38 million, up from $ 17.81 million in 2019.

The largest part of the increase was that “all other claims,” ​​rose to 10.48 million dollars from 270,040 dollars.

Included in that increase of $ 10.27 million from “advance contract payments,” this debt under his previous employment agreement was revised in August 2017, records show .

Also includes $ 100,000 “travel expense subsidies”, $ 20,000 for “country club members” and $ 12,000 “personal allowances,” all of which were the same as last year. Meanwhile, the 401 (k) match has grown to $ 14,025 in 2020 from $ 13,700 in 2019.

Remember “Action Plan COVID-19Announced a year ago during the early phase of the pandemic included ‘travel suspension for seaside staff throughout the organization’ and ’employer matching 401 (k) contributions. motion is paused. “

The action plan also included a 20% cut to the salaries of seaside employees, which when divided proportionally resulted in Del Rio’s base salary being cut by $ 272,459, or 15%, to 1.53 million USD.

Instead, Del Rio received a $ 2.82 million “build bonus” in 2020, after failing to receive any bonuses for the previous two years, which required Del. Rio must stay with the company until 2021. If Del Rio leaves the company before the end of the year for any reason other than the valid termination, he will be required to refund the 100% of the bonus. out.

Elsewhere in Del Rio’s 2020 payroll package, the non-equity incentive plan compensation remained constant at $ 3.60 million, while the value of the stock award increased to 17.95. million dollars from 12.20 million dollars in 2019.

In February, Del Rio stated that 2020 was “without a doubt the most challenging year in the company’s more than 50-year history” when the company had a net loss of $ 4.01 billion from net income of 930.2. million dollars in 2019 and total revenue. down 80.2% to $ 1.28 billion.

A company spokesperson said in a statement Wednesday that Del Rio’s “annual salary” by 2020 was actually around $ 12.8 million.

“As part of the total compensation, he received the previous year’s revised awards mainly related to the US government’s decision to cancel a trip to Cuba, the business impact from COVID. -19 and one-time payments related to his previous and new extended employment agreement, “said the spokesperson. “We believe these changes are in the best interest of the company and ensure Mr. Del Rio’s continued invaluable expertise and key industry relationships to drive our recovery from COVID-19. ”

Shares of Norwegian Cruise rose 0.7% to close Wednesday at $ 31.31. It’s up 19.5% on a six-day win streak and it’s up 23.1% so far.

Stocks have rallied lately as investors see the light at the end of the long tunnel. The Norwegian Yacht said this week it was Make a plan to restart operations of the yacht from US ports on July 4, according to its requirements the Centers for Disease Control and Prevention (CDC) raise Sail command conditional.

In 2020, shares are down 56.5%, after rising 37.8% in 2019. Meanwhile, shares of rivals are Royal Caribbean Group.
RCL,
+ 0.31%

down 44.1% by 2020 and Carnival Corp.
CCL,
+ 1.40%

stocks fell 57.4%, while the S&P 500 index
SPX,
+ 0.15%

16.3% increase.

Among the Norwegian Cruise (NEO) other named executives, total compensation in 2020 for Chief Financial Officer Mark Kempa increased 44.7% from 2019 to $ 5.79 million; for Executive Vice President, Shipping Operations Robin Lindsay increased 71.3% to $ 6.85 million; as for the CEO, Regent Jason Montague increased 58.7% to $ 6.36 million; and for the CEO, Harry Sommer, the Norwegian, rose 57.0% to $ 6.29 million.

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