Akamai CEO pay falls 15% while president nets $6 million signing bonus

Akamai CEO Paul Sagan received compensation valued at $6 million last year

Akamai CEO Paul Sagan netted $6 million last year, down from $7.1 million in 2009. President David Kenny took home a $6.6 million pay package, including a new hire equity grant worth $6 million.

Akamai Technologies CEO Paul Sagan (pictured) received compensation valued at $6 million last year, according to documents filed this week with the U.S. Securities and Exchange Commission. His total package is down 15% from 2009, when he received compensation valued at $7.1 million.

President David Kenny, meanwhile, netted a $6.6 million package in 2010. Kenny, who has been a member of the company's board of directors since 2007, became president of Akamai effective Sept. 7. His employment agreement included a new hire equity grant worth $6 million ($4 million in stock options and $2 million in restricted stock units).

BY THE NUMBERS: Pricey perks for tech CEOs

Kenny's pay package also includes a $218,619 salary, a performance-based cash bonus of $208,894, and equity awards valued at $199,990 (granted during his capacity as a non-employee director).

For CEO Sagan, the bulk of his 2010 pay package came in the form of equity awards, including stock awards valued at $3 million (down from $4.1 million in 2009) and option awards valued at $986,667 (down from $1.3 million).

Sagan's pay package also includes a $602,710 salary (which is up 12% from the $536,113 salary he received in 2009) and a performance-based cash bonus of nearly $1.4 million (up 35% from $1 million). He received no other compensation or perquisites.

ANALYSIS: Perks? What perks? Some tech CEOs go without

The company, meanwhile, grew revenue and profits by 19% and 17%, respectively, in its 2010 fiscal year ended Dec. 31. Revenue came in at $1.02 billion, up from $860 million in 2009. Net income hit $171 million, up from $146 million in the prior year.

Total pay for Sagan and Kenny is calculated using data supplied in a proxy statement filed with the SEC on April 6. The following figures are taken from the summary compensation table: salary, stock awards, option awards, non-equity incentive place compensation (bonus), and all other compensation. The estimated value of stock options represents the aggregate grant date fair value of option awards granted during the fiscal year.

Follow Ann Bednarz on Twitter: twitter.com/annbednarz

Learn more about this topic

Perks? What perks? Some tech CEOs go without

Pricey perks for tech CEOs

Join the discussion
Be the first to comment on this article. Our Commenting Policies