Top Auto Industry Execs Rake in the Dough . . . But Not Like Last Year

04/11/96

United Press International reported that recently released proxy statements show that compensation packages for the top executive officers of the big three U.S. automakers declined from 1994.

John F. Smith, company Chairman, CEO, and President of GM earned 9 percent less in 1995 than he did in 1994, but he still brought in a whopping $5.5 in salary, bonuses and stock options. The CEO and Chairman of Ford, Alex Trotman, earned $5,781,354. The figure includes $1.5 million in salary--the same as he got in 1994, and a $3 million bonus--half of his 1994 bonus Trotman's total compensation in 1994 rang in at $10.73 million. Chrysler's CEO and Chairman Robert Eaton earned $4.17 million. His bundle of loot included $1.3 million in salary and a $2.3 million bonus. The previous year Eaton earned $6.2 million.

The decline in executive compensations was decried and blamed on more restriction incentive targets. Bonuses are based on profitability and stock value.

Here's a list of what other auto big wigs make:

• GM Vice Chairman Harry J. Pearce, $3.28 million.
• GM Executive Vice President Louis R. Hughes, $2.85 million.
• GM Executive Vice President G. Richard Wagoner Jr., $2.85 million.
• GM Vice President and Chairman of Hughes Electronics C.M. Armstrong, $3.33 million.
• Ford Vice President W. Wayne Booker, $1.96 million.
• Ford Vice President and President Ford Automotive Operations Edward E. Hagenlocker, $2.25 million.
• Ford's retired Vice Chairman Louis R. Ross, $2.8 million.
• Ford Vice President and President Ford Financial Services Group, $2.1 million.
• Chrysler President and Chief Operating Officer Robert A. Lutz, $3.4 million.

Paul Dever -- The Auto Channel