Sears Holding Corp. has signed a contract with Edward Lampert to keep him on as CEO of the company at a salary of $1 per year.
A regulatory document filed Wednesday shows that the billionaire hedge fund manager will be paid an annual base salary of $1, but with the opportunity for a bonus of up to $2 million in cash or stock and up to $4.5 million in stock per year.
A number of companies have given their top leaders a salary of $1 during tough times to demonstrate their commitment to a turnaround. Some are then also rewarded through performance-based bonuses to encourage results. Lampert, 50, is the chairman and the largest shareholder of the Hoffman Estates, Ill. company. He will work out of Miami.
JOIN THE DISCUSSION | Register here
We welcome comments. Please keep them civil, short and to the point. ALL CAPS, spam, obscene, profane, abusive and off topic comments will be deleted. Repeat offenders will be blocked. Thanks for taking part — and abiding by these simple rules. A thorough explanation of rules of conduct can be found in our Terms of Service. If you have any questions, including why your comment may not be showing immediately after you submit it, be sure to visit the commenting FAQ.