According to Associated Press calculations, Sun Microsystems Inc. Chief Executive Jonathan Schwartz received a compensation package which the company valued at $7.7 million for beating financial goals. The new CEO helped the server and software maker emerge from its prolonged dot-com-era-induced slump and return to consistent profitability. Schwartz, who replaced Sun co-founder Scott McNealy as chief executive in April 2006, saw his base salary increase 9 percent over his pay before the promotion to $980,769 during the latest fiscal year.
Schwartz's pay package included substantial bonus money - $2.5 million - for hitting certain financial targets, including boosting revenue and operating profit margin, which measures how much a company makes before interest and taxes on each dollar of revenue. In the fiscal year ended in June, Sun pulled in $13.87 billion in sales, a 6 percent increase over the prior year, and had $309 million in operating profit, which compared to operating losses of $870 million in the prior year. Improved profitability of its products and Schwartz's cost-cutting campaign, which has included cutting about 4,000 jobs through layoffs and attrition since June 2006, also helped lift Sun's financial fortunes.
View: Full Story on SiliconValley.com
Schwartz's pay package included substantial bonus money - $2.5 million - for hitting certain financial targets, including boosting revenue and operating profit margin, which measures how much a company makes before interest and taxes on each dollar of revenue. In the fiscal year ended in June, Sun pulled in $13.87 billion in sales, a 6 percent increase over the prior year, and had $309 million in operating profit, which compared to operating losses of $870 million in the prior year. Improved profitability of its products and Schwartz's cost-cutting campaign, which has included cutting about 4,000 jobs through layoffs and attrition since June 2006, also helped lift Sun's financial fortunes.
View: Full Story on SiliconValley.com
24 Steven Ballmer United States 50 13.6 billion United States
Mr. Schwartz - not on the list.
There's already a difference between leading a company the size of Microsoft that was raking in billions in profits and turning a company that has made a huge loss into a profitable one.
But of course you kids don't understand the difference - not that I expect you to either to be honest. Genetics can be a bitch.
shame 4000 jobs had to go, but needs must and all that
go Schwartz,
reduce expenses = fire people.
Increase profit = sell some license or division.
Less people and less license is equal to a business shrink. Today Sun is java plus a bunch of legacy products and services (such Solaris), so firing people or losing some valuable of the company can means profit in the present but losses in the future.
Quite common nowadays.
Last edited by ANova on 26 Sep 2007 - 22:39
I guess turning a company around through downsizing to a more appropriate size, based on market changes is a rough thing to do. You get the ill-informed calling you a douchebag.
I guess turning a company around through downsizing to a more appropriate size, based on market changes is a rough thing to do. You get the ill-informed calling you a douchebag.
Oh yeah, because it was really necessary to lay off all those workers already making much less than you when you're recieving $7.7 Million in comp in one year.
Ill-informed? Don't make me laugh.
http://dictionary.reference.com/browse/greed
Last edited by ANova on 27 Sep 2007 - 00:29
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