Compass’ CEO is giving up $25 million in performance-based restricted inventory unit compensation in trade for one thing slightly extra particular, in line with an SEC submitting. His wage can even improve to $900,000.
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Compass CEO Robert Refkin plans to surrender $25 million in performance-based restricted inventory unit awards in trade for one thing slightly extra particular: a $7 million money bonus, sources say. journal reported. SEC filing genuine reported on.
robert refkin compass
CEOs’ base salaries have additionally elevated, at the very least from the most recent figures obtainable. Mr. Refkin’s wage in 2024 will probably be $900,000, up from $400,000 in 2022. Wage for 2023 has not but been introduced.
Mr. Levkin can even obtain a performance-based bonus in 2024 and $2.25 million in restricted inventory models (RSUs) that vest yearly over 4 years. He’ll obtain his second RSU in 2025.
There are restrictions on when you possibly can promote RSU shares, so their future worth will not be but identified.
Compass has struggled to show a revenue since its inception, and its inventory has misplaced 80% of its worth since going public in 2021. Nevertheless, the inventory worth is up 95% 12 months over 12 months.
The corporate can even pay $25,000 in authorized prices associated to adjustments in Mr. Refkin’s compensation.
The changes have been made “for the aim of offering market-based CEO compensation” and have been made together with impartial compensation consultants, the SEC submitting mentioned.
ryan schneider all over the place
Mr. Levkin’s new compensation is definitely in keeping with different massive actual property CEOs, however these firms have a a lot better observe report of profitability.
Anyplace’s Ryan Schneider was given an $8 million inventory grant and a $5 million money bonus final 12 months, and has a base wage of $1 million. The bonus was primarily a results of Anyplace’s settlement with Sitzer, in line with SEC filings. The Barnett Fee case resulted in bigger judgments towards different firms that went to trial on this case.
Opendoor’s Carrie Wheeler earned a base wage of $750,000 final 12 months, plus a $250,000 goal bonus, a $250,000 efficiency bonus and $27 million in inventory. After some struggles earlier this 12 months, Opendoor returned to profitability in his second quarter of 2023.
Carrie Wheeler | Open Door
In 2021, Mr. Levkin’s compensation was extra carefully tied to his brokerage inventory, probably as a result of Compass went public within the spring of that 12 months. Mr. Levkin obtained $89 million in inventory in 2021.
And though wage and bonus strings are set to be loosened, Levkin’s newest compensation bundle will not be with out limitations. If he leaves Compass or is fired throughout the subsequent two years, he must pay again his $7 million bonus, of which $875,000 will probably be returned. Quarterly non-refundable.
In 2021, Compass’ inventory worth debuted at $18 per share, and in 2023, it hit a low of $1.82 per share. As of Tuesday, the inventory worth was $3.54. In the meantime, Anyplace’s inventory worth was $7.89 and Opendoor’s inventory worth was $4.28 as of Tuesday’s market shut.
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