Teva Reveals Proposed $1.3 Million Compensation For New CEO Erez Vigodman
Israel-based Teva Pharmaceuticals has revealed its proposed compensation of over $1.3 million base salary to newly named CEO and President, Erez Vigodman. Company shareholders have the privilege to vote for the executive pay proposal after a previous legal settlement required Teva to report its executive compensation.
Teva formally announced its appointment of Vigodman in a press release earlier this month. Vigodman’s appointment will take effect on February 11, after he officially leaves his executive position at generic agrochemical company Makhteshim Agan Industries (MAI). Vigodman said, “It is a great honor for me to be named President and CEO of Teva, a pioneer in the healthcare industry… I am excited to work with the management team and Teva's employees to build on the great traditions of the company to solidify our global leadership and fully tap the company’s great potential to deliver medicines and solutions to patients all over the world. I understand the challenges facing Teva and I am confident that, together with the management team, we can address these challenges and deliver on our commitment to creating value for our shareholders by expanding Teva's businesses and delivering long-term growth.”
A regulatory filing revealed Vigodman’s executive pay numbers to company shareholders: a bonus of $1.89 million if he meets all the company objectives for 2014, a $2.7 million bonus pay if he bests company expectations, and an award valued at $3 million included in the equity-based compensation. Additional lump sums and other payments are also available upon Vigodman’s retirement, provided certain conditions are met.
Teva’s Board Vice President Amir Elstein, who also led the special committee for CEO selection, approved Vigodman’s appointment. “Erez is the right person to lead Teva. We evaluated a comprehensive list of internal and external candidates as part of our rigorous search and Board process, engaging the international search firm Egon Zehnder. Erez stood out due to his impressive track record in transforming global and complex corporations and delivering breakthrough results. He is a change agent with an impressive strategic mindset and a proven ability to execute restructuring programs, build organizational momentum, expand successfully in emerging markets, and work with the capital markets. We are extremely pleased with his appointment.”
Teva Pharmaceuticals currently employs more than 45,000 employees worldwide and has achieved net revenues of $20.3 billion in 2012.
Source:
http://www.tevapharm.com/Media/News/Pages/2014/1889288.aspx
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