Indra Nooyi draws $17 mn in compensation

Posted By: Religare
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World's leading beverage company, PepsiCo Inc said that it has paid its chief executive Indra Nooyi, a total compensation valued around USD 17.1 million last year, a hike of 6 per cent over 2010, despite the food and drink maker failed to achieve its key internal performance goals.

Indra Nooyi draws $17 mn in compensation
The company said that the fatty compensation was paid due to 23 per cent increase in Nooyi's base salary, which happens to be her first raise in last five years as CEO and a gain in the value of her retirement benefits.

However, in the last few months Nooyi has been under pressure due to sluggish performance of the PepsiCo's North American soft drink business as she focused more on healthier products.

During the year 2011, Nooyi got a base salary of USD 1.6 million corresponding to USD 1.3 million last year, while her pension value and deferred compensation stood at USD 3 million against USD 2.1 million last year.

The company said, "Our net revenue, net income and earnings-per-share growth were slightly below the stretch targets established by the compensation committee under our incentive plans."

Recently, CEO of Coca-Cola Muhtar kent also got his first hike in salary last year since becoming CEO in 2008. His base salary jumps to USD 1.4 million from existing USD 1.2 million. There is also speculation that his salary will again rise to USD 1.6 million by April.

Dion Global Solutions Ltd

Read more about: pepsico, salary hikes
Story first published: Monday, March 26, 2012, 9:31 [IST]
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