Cendant Execs Receive 200% Bonuses

Interesting post about the Cendant (NYSE:CD) conference call whereby an investor questioned management's rich compensation awards. The article quotes the conference call:

Kirk Caras from Relational Investors:

So, with yesterday’s disclosure that the executive management team is receiving performance bonuses close to what looks like their original targets of 200% of based salary, I was wondering if you could provide a little bit more color on what exactly the performance criteria the comp committee uses in awarding those bonuses. And also, provide a little bit more color on what the decision process is going forward on Henry’s performance bonus compensation and why that decision hasn’t been made yet. Thank you.

Henry Silverman, Cendant CEO:

With respect to my colleagues, remember the bonuses were for 2005 and not 2006 and really don’t take into account performance in 2006 as the year obviously doesn’t count for a 2005 bonus. It looks at a variety of responsibilities. In the case, for example, of two of my colleagues, Mr. Holmes and Mr. Smith, their business has actually exceeded their budgets for the year, back in December of ’04.

So, you know, I think this is something we’re happy to discuss with you offline, but we feel very comfortable that our comp committee acted appropriately.

Mr Silverman must have rushed to get some sort of excuse drafted right after the call was completed.

Comments

[ティンバーランド]

京都府の担当者も「処理の実働部隊となる市町村に受け入れを要請する際の国の基準が不明確で、検討する予定はない」としており、まずは国基準をさらに明確化する必要があると主張。滋賀県も、県内の全１９市町が「受け入れ困難」としているため、県としても検討していないという。

　ティンバーランドまた、近畿で唯一、広域連合に加盟していない奈良県の担当者も「県民の理解や感情論を考えると現状では難しい」と話している。