Top executives of Citadel Broadcasting are in line for big severance packages when the company is sold to Cumulus Media. So, how much are they already making?
The answer to that question is also revealed in the preliminary proxy materials filed a few days ago with the SEC.
A few months after Citadel emerged from Chapter 11 bankruptcy reorganization; all five top execs received bonuses for calendar year 2010. The SEC filing says the bonuses were based on the company achieving a target of $232.4 million of consolidated EBITDA. The actual figure (we looked it up) was $251.2 million, so they hit the target with millions to spare.
CEO Farid Suleman was paid a base salary of $1,186,955 for 2010 and got a bonus of $2 million for hitting the EBITDA goal. He received $2,554 in other compensation. The total compensation chart also lists the stock options that the execs received last year, but that was spelled out more fully and accurately in our previous report.
COO Judy Ellis got a base salary of $489,391, a bonus of $250,000 ($200K for the EBITDA performance and $50K additional) and other compensation of $2,554. That other compensation is for the 401(k) match and insurance for most of the execs.
VP/General Counsel Jacquelyn Orr got a salary of $342,574 and total bonuses of $350,000 – including $150K for her role in completing the Chapter 11 process and $200K for hitting the EBITDA target. Orr received $550,104 in other compensation, including her separation payments when she left the company at the end of January. As a result, she forfeited stock options which would have been worth $851,000 if she’d stayed for the deal which later emerged with Cumulus.
CFO Randy Taylor was paid a salary of $385,179 and got total bonuses of $400,000 — $150K for his role in the Chapter 11 process, $200K for the EBITDA performance and an additional $50K. His other compensation for the 401(k) and insurance was $2,554.
Last (and least in terms of executive compensation) was Sr. VP of finance and administration Patricia Stratford. She was paid a salary of $195,756 and got bonuses of $150,000, including $125K for the EBITDA performance and an additional $25K. Her 401(k) and insurance compensation was also $2,554.