Peter Chernin's Contract Reveals Sweet Retirement Package: Details

BusinessWeek:

Odds are News Corp. President Chernin won't be leaving; he waited to sign his most recent contract until the last one had actually expired. But the buzz remains that he's thinking of bolting, and the timing couldn't be worse for News Corp. The parent of Fox Broadcasting and The Wall Street Journal recently reported a massive $7.6 billion second-quarter loss, much of it related to writing down the declining value of its TV stations and newspapers. And at $6.78 a share, News Corp.'s stock is trading near a 10-year low.

A Deluxe Package of Goodies
News Corp. is mum on Chernin's plans, but the 57-year-old executive wouldn't be hurting much if he decides to walk away, judging from the retirement benefits package in his contract. For starters, Chernin, who earned $28.8 million last year in salary, stock, and other awards, sits on top of a pile of money. He's got nearly $27 million in deferred compensation, along with another $11 million in various pension funds, going back to when he ran the Fox film studio and TV network before moving up to the presidency, according to News Corp's proxy filing with the Securities & Exchange Commission.

Read the whole story: BusinessWeek

Comments

[AN2009]

Talk about going to the extreme in terms of executive compensation and perks:

- $28.8 million last year in salary, stock, and other awards
- another $27 million in deferred compensation
- another $11 million from various pension funds
- a six year deal with Fox to buy films or TV shows produced by him; Fox would be required to buy at least two movies a year from him, paying a fee at least as favorable as the most favorable agreement Fox had with a producer in 2004
- the right to use News Corp.'s company jet for up to 50 hours a year for six years (worth $1.65 million)
- the right to use News Corp.'s company car (worth $210,000)

Looks like business practices don't change, even during a massive recession. According to the BusinessWeek article, Chernin went to Berkeley -- who said Berkeley was supposed to be liberal...

[TaxTheRichNow]

Correction required here. The article states:

For starters, Chernin, who earned $28.8 million last year in salary, stock, and other awards, ...

The correction reads

For starters, Chernin, who TOOK $28.8 million last year in salary, stock, and other awards, ....