CEO Pay

[Channahon]

Frederick Smith - Fed Ex

2006 CASH COMPENSATION

SALARY $1,320,383

BONUS $2,679,147

OTHER ANNUAL $1,250,664

TOTAL $5,250,194

2006 Stock Options

UNEXERCISED 905,000 $13,300,838 UNEXERCISABLE 995,000 $ 3,135,073
Total value $16,435,911

source : ExecutiveDisclosure - Frederick W. Smith, Fedex Corporation - Executive Profile

 

[hoser]

the only thing is our stock is currently dead in the water. I'm sure it'll go somewhere soon, up I hope (especially if FedEx ground unionizes, though Express never will, if they know whats good for them).

I believe one of the UPS contract drafts even included profit sharing as a possible option. However, the teamsters rejected it as the money would go directly to us and not them. That last bit was from someone who worked there a while, whether its true or not I don't know.

Unionized companies are reflective of diminished corporate culture. Unionized companies pay their employees more and don't give much else. Non-union companies pay their employees less but give the employees a better corporate culture, and, hey, profit sharing, too.

I have to share your opinion. Our management team busts their hinds to get it done, yea sometimes we really want to choke them out, but they get it done. What do they get? 15 hr days (sometimes) and ridiculous goals.

As I said before setting goals gives an operation direction, setting ridiculous goals is just a lesson of diminished returns and lowered morale. UPS is pretty much pushing its people as hard as it can, we're not robots, we can only move so fast, for so long. I would say people are moving as fast as they possibly can, but a la spaceballs UPS: lightspeed is too slow! we need to go right to...ludicrous speed.

Its just sad that all the people who make the gears of this multi-billion dollar company turn everyday (management and hourly alike) get the shaft in the grand scheme of things.

In a company where your best is never good enough, you just breed the "don't give a #$@!" attitude because people know no matter how hard they work, how fast they move and how safe they work...it will never be good enough.

Agreed. UPS is so obsessed with efficiency that it's inefficient. If they could run 100PPH with 1%DAMAGE and 1%MISSORT and 0%MISSSERVICE or 200PPH with 5%DAMAGE and 3%MISSORT and 10%MISSSERVICE, they'd opt for the 200PPH, because hey, that's a larger PPH number, right?

And very few of their numbers are based on manpower (OT spent cleaning up, taping, needlessly handling boxes because they were at the end of the belt inside of a trailer), just the time the last box goes under the DIMweighter.

So backwards, this company.

 

[hoser]

I am far from a stock guru, but I thought one reason Wall St doesn't like us is because we pay such large dividends.

They'd rather us re-invest in the company with that money.

DRIP makes a lot more sense than taking the $10 dividend cheque every quarter, IMHO.

 

[pkgdriver]

Agreed. UPS is so obsessed with efficiency that it's inefficient. If they could run 100PPH with 1%DAMAGE and 1%MISSORT and 0%MISSSERVICE or 200PPH with 5%DAMAGE and 3%MISSORT and 10%MISSSERVICE, they'd opt for the 200PPH, because hey, that's a larger PPH number, right?

And very few of their numbers are based on manpower (OT spent cleaning up, taping, needlessly handling boxes because they were at the end of the belt inside of a trailer), just the time the last box goes under the DIMweighter.

well said hoser

 

[brownmonster]

I agree the DRIP makes more sense but the dividend check lands the same week as the bill for my daughters orthodontist and covers it almost to the penny. Oh the extra money I will have some day.

 

[rod]

I agree the DRIP makes more sense but the dividend check lands the same week as the bill for my daughters orthodontist and covers it almost to the penny. Oh the extra money I will have some day.

Don't count the ol chickens just yet. First you have to pay for college and then the wedding. Braces are just a drop in the ol bucket! I think old Marty has five daughters - that's why he is still working.

 

[brownmonster]

Have one in college also. Sure wish the dividend covered that!