Deere & Co. said Friday that Chairman and Chief Executive Samuel Allen’s compensation for the company’s 2010 fiscal year almost tripled from the previous year.
Allen’s base salary, incentive pay, executive perks and awards of stock and options totaled $12.29 million for the year ended Oct. 31, up from $4.27 million a year earlier, according to a regulatory filing with the Securities and Exchange Commission.
The cash portion of the Allen’s compensation package nearly tripled to $6.64 million. His base salary rose 50.7 percent, to $1.2 million, while his performance-based cash awards soared to $5.28 million from $1.60 million the year before, reflecting the farm and construction equipment manufacturer’s improvement from the depths of the recession.
Fiscal 2010 also represented Allen’s first full year as the Moline, Ill., company’s top executive. Allen, 57, began 2009 as president of Deere’s construction and forestry division and was promoted to chief executive in August to replace retiring CEO Robert Lane.
Deere, the world’s largest farm machinery company by sales, had fiscal 2010 net income of $1.86 billion, or $4.35 a share, compared with $873.5 million, or $2.06 a share, a year earlier. Sales and revenue rose 13 percent, to $26 billion.
Stock shares and options granted to Allen last year were worth $5.64 million on the day they were granted in late 2009, compared with $1.64 million for stock and options issued for fiscal 2009. Deere’s stock is up 53.5 percent in the last year. Early Friday afternoon, Deere was down 0.36 percent, at 89.15 a share.
Allen’s executive perquisites last year declined 15.4 percent from 2009, to $187,941. The reduction stemmed largely from a 22.2 percent reduction in the company’s contributions to John Deere’s Savings and Investment Plan on behalf of Allen. The company also eliminated most so-called tax gross ups to cover taxes on executives’ perks and reimbursements, except those related to moving expenses and overseas assignments.