Stryker CEO MacMillan: No raise, please

Stryker CEO MacMillan: No raise, please

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Stryker Corp. (NYSE: SYK ) CEO Stephen MacMillan once again deferred a pay raise in 2010 due to the “challenging business environment,” despite increasing the company’s bottom line by 15 percent last year.

The top boss at the Kalamazoo, Mich.-based orthopedic device maker earned $1.2 million in base salary for 2010, the same amount he took in home in both 2008 and 2009, according to regulatory filings.

But unlike the previous year, MacMillan took home a significant performance bonus of nearly $1.4 million, just shy of the maximum $1.8 million he could have pulled down. MacMillan received just $545,000 in performance bonuses in 2009, as Stryker saw profits slip by nearly 4 percent for the year.

Stryker’s performance bonuses are based on meeting sales, EPS, cash from operations and quality/compliance standards. In 2009, none of the officers at Stryker Corp. reached even 80 percent of their target bonuses.

MacMillan also fetched about $2 million in stock option awards and about $225,000 in other compensation, for a total of $4.7 million. Some of those perks included country club fees, an executive physical and personal use of the corporate jet.

Overall, Stryker closed out last year on a strong note, reporting profits of $1.27 billion, or $3.19 per diluted share, on $7.32 billion in sales. That’s a 15.5 percent top-line increase from earnings of $1.1 billion, or $2.79 per diluted share, on $6.7 billion in sales during 2009.

 

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