Friday, November 30, 2007

Motorola Shareholders Still on Hook for $30 Million to Zanders



Ed Zander, the embattled chief executive of Motorola (MOT-$15.81), will resign at the end of the year and will be replaced by No. 2 executive Greg Brown, the company announced today.

Mr. Zander’s reward for driving the struggling mobile phone maker’s market share down an embankment? The
2007 Annual Proxy filed in March reveals that Mr. Zander is entitled to severance, stock options (unvested and accelerated), Restricted Stock Units (unvested and accelerated), health and welfare benefits of $7.05 million, $11.89 million, $10.83 million, and $40,652, respectively. Add in the $178,630 (present value) of accumulated pension benefits, and Messer. Zander will walk away with about $30 million!


2 comments:

adam hartung said...

Ed Zander inherited a very troubled Motorola, and lest us forget he reinvigorated communications and opened doors for innovation. Several new products were introduced in all Motorola businesses, and the company remains at the forefront of 2-way radios in almost all markets as well as DVRs. The company beat Apple to market with the ROKR and several other products. Unfortunately, not enough emphasis was placed on growing revenues from these innovations, and discussion devolved to talking about cell phone market share - a not-too-interesting topic. Read more at http://www.ThePhoenixPrinciple.com

David J. Phillips said...

Adam:

Kind words about Zander--bottom-line, however, is how did the price of the stock--thus, shareholders--fair during his reign as CEO?

Best--
David J Phillips, Publisher