- Herbalife Nutrition ( NYSE: HLF ) said Tuesday its chairman and CEO Michael Johnson agreed to a salary of $1 and equity-based long-term incentive plan in the form of stock appreciation rights and restricted stock units.
- Johnson, who was serving as chief on an interim basis , will now permanently serve as CEO.
- The pay package includes an annual bonus targeted at $1.2M with a maximum opportunity of $2.4M, payable in stock, and an equity incentive award having a grant date fair value equal to $10M, of which 50% was granted in time-based stock units and the rest in stock appreciation rights.
- Separate from his salary, Johnson will also receive a signing bonus of $250K.
- He is not entitled to separate pay with respect to his service as a board member.
- The new CEO employment deal has a term through December 31, 2023.
- Read why SA Quant cautions that Herbalife ( HLF ) is at high risk of performing badly .
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Herbalife chairman Johnson agrees to $1 salary as permanent CEO