Williams Hawkins, the former CEO of Medtronic Inc. (NYSE:MDT), pulled down $5.5 million in salary and benefits during fiscal 2011, according to a regulatory filing.
Hawkins stands to do pretty well this year too, as his severance package includes a deal to stay on for fiscal 2012 at the same pay rate, according to the filing.
Hawkins’ took home $3.6 million in cash for FY2011, which ended April 29, including $1.3 million in base pay, a $1.8 million incentive bonus and a $1.5 million payout from his long-term incentive plan. He also realized nearly $1.9 million in restricted stock awards and "other benefits and perquisites," according to the filing. He’ll also get a severance check for about $3.8 million once he leaves Medtronic for good after April 27 next year, amounting to 1.25 percent of his base salary and cash bonus plus the value of two years worth of health and dental benefits.
That’s not all. Hawkins will also get the chance to earn about $1.9 million in long-term performance plan awards and accelerated vesting of about $8.7 million worth of stock options. And he’ll be able to tap Medtronic for office space, secretarial and outplacement services for a year after he leaves, as well as up to $50,000 in legal and tax planning fees associated with retiring.
The Securities & Exchange Commission proxy statement also details stock options granted to Hawkins during his seven-year tenure at the Fridley, Minn.-based medical device maker, which ranked fifth on the MassDevice Big 100 list of the world’s largest medical device makers. Most of the grants between 2002 and 2007 are under water (they ranged from $44.87 to $56.74 per share, compared with "the value delivered at April 29, 2011 stock price" of $41.75), but Hawkins still has about $4.7 million worth of options at his disposal, according to the filing.
Hawkins wants to MDT shares were down slightly as of about noon today, trading at $37.33.