Alliance Data Sets New Pay Deal for Chairman Parks

(MoneyWatch)  Alliance Data Systems has announced a new pay package for former CEO J. Michael Parks. Now transitioning to chairman of the board, he gets a lower base salary than before. Here's the new deal:

... as compensation for 2009, Mr. Parks will receive (1) an annual base salary at the rate of $889,200 and (2) a target incentive compensation payment equal to 125% of his base salary, with 50% of such target award tied to a 2009 operating cash flow target of $604,000,000 and 50% tied to a 2009 cash earnings per share target of $5.15 ...

Plus:

... a maximum 200% payout when the target is exceeded. In addition, as compensation for the period January 1, 2010 through the Transition Date, Mr. Parks will receive total base salary of $842,000.

In 2007, his base salary was more than that, at $900,000. That year he also earned a $100,000 bonus, $1.6 million in incentives, $65,000 in "other" compensation, and stock and options, which combined totaled $6.2 million.

Loyalty marketing giant ADS paid Parks (pictured) just for "living." Among his perks:

... travel and related expenses for spouses in connection with company events, and in certain cases, commuting and living expenses.

ADS has not yet filed paperwork describing Parks' total compensation in 2008.

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