Feeds

Cisco chief's package shrinks 65 per cent

Forced to make do with $6.6 million pay packet

Beginner's guide to SSL certificates

Cisco chief John Chambers' total direct remuneration package slumped 65 per cent in fiscal 2011 to a mere $6.625m (£4.14m), according to an SEC filing.

Clearly the time has come for the Chambers' household to switch to the value range in supermarkets, holiday at home and downgrade the family fleet of cars.

The long-serving exec saw his salary slip by 2 per cent to $375,000 and received only half of the $12.5m long-term equity awards after Cisco's compensation committee said it would not shower top bosses with cash incentives or performance-based options.

This is despite Cisco easing past its "target operational performance goals for its cash incentive and its performance-based equity incentive awards" as "shareholder value eroded in fiscal 2011", the SEC filing stated.

"Consequently, the Compensation Committee exercised its negative discretion and determined that no named executive officer would receive a cash incentive award or a performance-based equity award for fiscal 2011," it added.

Chambers was not alone, as other named exec officers saw their total direct compensation drop by approximately 60 per cent compared to fiscal 2010.

The networking goliath's share price fell to a 52-week low in July amid the news that Cisco was preparing to axe thousands of staff in a company-wide restructure that saw some senior channel execs leave the business.

The closure of the Flip camera unit and subdued profits also weighed heavy on share value in the year.

Cisco closed fiscal 2011, which ended early August, with revenues of $43.2bn up 7.9 per cent, but net profits fell 16.4 per cent to $6.5bn and earnings per share dipped 12 per cent to $1.17. ®

Internet Security Threat Report 2014

Whitepapers

Choosing cloud Backup services
Demystify how you can address your data protection needs in your small- to medium-sized business and select the best online backup service to meet your needs.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Simplify SSL certificate management across the enterprise
Simple steps to take control of SSL across the enterprise, and recommendations for a management platform for full visibility and single-point of control for these Certificates.
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.