Executive compensation packages for Walmart's top executives showed a general decline, and the company detailed further its changes for its annual shareholders meeting as part of its annual proxy statement filed Friday with the U.S. Securities and Exchange Commission.
Chief Executive Officer Doug McMillon earned $18.3 million in total compensation, according to the company's proxy statement filed with the SEC. His pay was a 22 percent decrease from a year ago, when McMillon earned $23.4 million in total compensation.
McMillon's financial package included $1.28 million in base salary, which was a slight decrease from a year ago and about $11.8 million in stock awards. He also earned $4.7 million in non-equity incentives.
The Arkansas Democrat-Gazette follows a formula developed by The Associated Press that reflects amounts identified in proxy statements that are actually paid to executives. The formula does not account for change in pension value and non-qualified deferred compensation earnings.
Walmart listed McMillon's total compensation as $22.8 million in the 2018 proxy statement. His compensation ratio was 1,288:1, with the median pay for company employees at $19,177 in fiscal 2018. The disclosure was required under the Dodd-Frank financial law.
Marc Lore, the company's U.S. e-commerce chief, saw his compensation decrease significantly after benefiting greatly last year on the sale of his company Jet.com. to Walmart. Lore received $8.8 million in total pay. Lore received $243.9 million in total compensation last year.
M. Brett Biggs, Walmart's chief financial officer, earned $6.4 million; Greg Foran, top executive over the company's U.S. operation, saw compensation of $9.4 million; and John Fulmer, the president of Sam's Club, earned $11.3 million.
Walmart reported $500.3 billion in revenue for fiscal 2018, which was a 3 percent increase from $485.9 billion the previous year. But the company's net income fell nearly 28 percent to $9.8 billion largely because of efforts to grow its online business. Walmart's U.S. e-commerce sales increased 44 percent during the fiscal year, but it included a deceleration to 23 percent in the fourth quarter.
Approval of executive compensation will be one of the items on the agenda when the company holds the business portion of its shareholders events on May 30. The retailer has changed the format of its shareholders meeting this year, scheduling the business and entertainment portions on separate days.
The hourlong business meeting, which will focus on shareholder votes and proxy proposals, will be held at the John Q. Hammons Center in Rogers. The company will hold its celebration for employees and shareholders at the University of Arkansas' Bud Walton Arena two days later on June 1.
The business meeting agenda also will include votes on two shareholder proposals: a request that the chairman of the board be someone who is independent of Walmart management and a report on racial or ethnic pay gaps in the company. The board has recommended shareholders reject both proposals.
Eleven directors are on the ballot for this year's election. They include seven independent directors and three female nominees. The nominees are Steve Easterbrook, Tim Flynn, Sarah Friar, Carla Harris, Tom Horton, Marissa Mayer, Doug McMillon, Greg Penner, Steve Reinemund, Rob Walton and Steuart Walton. Two independent directors James I. Cash Jr. and Kevin Y. Systrom are retiring due to term limits.
Business on 04/21/2018
Print Headline: Walmart exec's pay down 22%