CEO Pay Watch: James Cracchiolo, Ameriprise Financial
James Cracchiolo, chairman and CEO
Total compensation: $92,182,148 for the year ended Dec. 31
Salary: $950,000
Non-equity incentive pay: $10,890,000
Other compensation: $894,093
Exercised stock options: $76,388,601
Value realized on vesting shares: $3,059,454
New stock options: 166,967
Total 2013 return to shareholders: 88.3 percent
Notes: Ameriprise has been among the best-performing financial services companies since the recession, and the performance of its stock in particular has allowed CEO James Cracchiolo to realize large gains from long-held stock options.
Cracchiolo has led the Minneapolis-based financial services company since 2000 and been CEO of Ameriprise since the firm was spun off from American Express in 2005.
The biggest portion of Cracchiolo's 2013 compensation was the $76.4 million realization of 1,693,798 previously issued stock options. That was more than double the $35.2 million he realized from the exercise of stock options in 2012.
In 2013, Ameriprise stock had an 88.3 percent total return, outperforming the S&P 500 index and the S&P financials index. From the depths of the recession in March 2009 through the end of 2013 the stock has had a total return of nearly 700 percent, or 53.5 percent on an annualized basis. Since the spinoff from American Express in 2005, the company has added $13 billion in market capitalization.
The other big portion of Cracchiolo's 2013 compensation was a bonus of $10.9 million, up 44.3 percent from 2012. The company's overall financial performance was well above the targeted goals for the year, including a 7 percent increase in net revenue to $10.9 billion, a 26 percent increase in earnings per share to $7.05 and a 19.7 percent return on equity. Those financial measures all exceeded maximum targets.
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