American Express CEO Gets 60% Pay Raise

(AP)  The CEO of American Express Co. is getting a 60 percent raise in his base salary.

Kenneth Chenault's base salary rises to $2 million this year from $1.25 million, according to documents filed Friday with the Securities and Exchange Commission.

Chenault, 58, also received options for 650,918 shares, at an exercise price of $38.10 per share, the company said in a separate filing dated Thursday. At that price, the shares are worth about $2.48 million. The options can be exercised in four equal annual installments beginning Jan. 26, 2011.

Three other executives are getting smaller base salary increases ranging from 21 percent to 33 percent.

They are Vice Chairman Edward P. Gilligan, whose salary increases to $1.45 million from $1.1 million; Chief Information Officer Stephen J. Squeri, whose salary climbs to $1 million from $750,000; and Chief Financial Officer Daniel T. Henry, whose salary increases to $850,000 from $700,000.

The raises go into effect Feb. 1.

The company said the increases shift compensation for the executives toward a higher base pay and lower incentive awards. Executive compensation still is weighted toward long-term incentives, particularly stock-based awards, it said.

Chenault's 2009 total compensation has not yet been filed.

In 2008 he was paid $42.9 million, a large portion was stock options and awards, the value of which fell considerably when the stock dropped more than 60 percent.

He declined a bonus for 2008, although the other executives were paid multimillion dollar bonuses that year.

New York-based American Express earlier this month said its profit jumped in the final three months of the year as the company set aside less money to cover bad loans.

The credit card company earned $716 million in the quarter, or 60 cents per share, up from $240 million, or 21 cents per share, in the same period a year ago.

On an adjusted basis, excluding discontinued operations, the company earned 59 cents per share, which beat analysts' estimate of 57 cents per share, according to Thomson Reuters.

The gain broke a streak of eight consecutive quarters of falling profits.

The company earned $1.54 per share for the full year, just missing analysts' forecast of $1.55 per share. The company earned $2.32 per share in 2008.

Shares rose 23 cents to close at $37.66 Friday.

[noloyalisti]

The Republicans have no plans for anything except to help the big corporations and the rich. At least the Democrats have some sense and some brains. We the People must tweak them to take the country back from the big corporations who are the real enemy.

So it is time for the CONS to wise up and unite with us against their elected reps who are COMPLETELY pwned by their corporate masters.

[tryhonesty]

Corporate America at its best!

[afmcalax]

Hey he hiked AMEX interest rates 60 percent so I guess that justifies his raise.