Ford CEO Alan Mulally got a significant raise in 2013 as his total compensation increased 10.7 percent to $23.2 million, based in part on bonuses.
Mulally and fellow top executives surpassed annual objectives, allowing his bonus to increase to $5.9 million from $3.95 million in 2012.
Ford’s pre-tax profit in 2013 totaled $8.6 billion, one of the best annual results in company history, and net income was $7.2 billion. Mulally’s salary of $2 million was unchanged. Ford reported earlier this month that the executive received stock valued at $13.6 million based on Friday afternoon’s share price, which last traded up 1.3 percent at $15.46.
As a result, Mulally now owns 6.18 million shares of Ford common stock, which as of Friday afternoon was valued at about $95.5 million. Ford’s top executives achieved their collective 2013 goals at a rate of 112 percent, based on achieving targets for pre-tax profit, automotive operating cash flow, cost performance excluding special items, market share in the company’s three global regions and quality of vehicles based in part on warranty expense.
Executive chairman Bill Ford took a compensation cut last year due to a change in the notional value of his pension benefits, to $11.96 million (-19 percent). Mark Fields, chief operating officer, received $10.2 million in 2013, up from $8.8 million the previous year. Joe Hinrichs, head of Ford’s operations in North America and South America, got $4.4 million in total compensation for 2013, up from $4.1 million in 2012.