After about five months on the job, on top of her $1 million annual salary, Yahoo CEO Marissa Mayer received a $1.12 million cash bonus, plus about $13 million in additional restricted stock options for her work in 2012 — a ton of money for such a short period of time. And from Yahoo's perspective, she earned it. Since taking the helm last July, company stock has risen 46 percent. Mayer ended 2012 with a nice upward trajectory, as you can see here:
Beyond adding (and taking away) perks, Mayer has revamped Yahoo Mail, its Flickr app, and the homepage. But, more importantly, she has made the company more money, mostly because of improvements to its search business. In its most recent quarterly earnings, Yahoo reported an increase in revenue for the first time in four years because of a 4 percent increase in search revenue, up to $482 million. Investors have so far liked what they've seen, which has pushed Yahoo stock up. It rallied after both of Mayer's earnings calls in October and again at the end of January.
Mayer is eligible for $2 million in cash bonuses each year if she meets certain targets. Clearly she met those metrics: For 2012, she earned pretty big. The 2012 number comes out to $1.12 million because she only worked for five and a half months.
Unsurprisingly, the news has incited talk about Mayer's recent work-from-home ban, which has extremely little to do with the bonus she earned last year.
This article is from the archive of our partner The Wire.