Chambers' pay package climbs 16% while Cisco net income falls 23%

Cisco CEO gets a $2 million bonus as part of his 2009 compensation package

Cisco CEO John Chambers got a 16% raise this year, according to calculations made by the Associated Press, including a US$2 million bonus for vision and leadership.

According to Cisco’s most recent filing with the U.S. Securities and Exchange Commission, Chambers’ base salary was $375,000, flat with the year before. But he received stock options and restricted stock worth $11.8 million at the time they were issued, the AP says.

His grand total in compensation was $14.2 million, the AP calculates.

Chambers’ did better than Cisco itself, which reported a revenue decline of 8.7% and net income drop of 23.8% in fiscal 2009, as compared to fiscal 2008. Last year Chambers qualified for a $3 million cash incentive, but he didn’t qualify for one this year.

Meanwhile the Wall Street Journal reports that Chambers says the economy has started a gradual recovery based on orders Cisco is receiving from customers, their comments and the performance of the stock market.

To help steer Cisco through the recession, Chambers approved layoffs of about 2,000 workers and was looking to cut up to $1.5 billion in expenses to improve the bottom line. Those efforts included a five-day shutdown at the end of last year.

In figuring out Chambers’ income package, the AP says: “The calculations don't include changes in the present value of pension benefits, and they sometimes differ from the totals companies list in the summary compensation table of proxy statements filed with the Securities and Exchange Commission.”

Over the past year, Cisco’s stock has fluctuated in price between $13.61 and $24, with the stock trading at $22.70 this afternoon.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags cisco

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Tim Greene

Tim Greene

Network World
Show Comments

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Tom Pope

Dynabook Portégé X30L-G

Ultimately this laptop has achieved everything I would hope for in a laptop for work, while fitting that into a form factor and weight that is remarkable.

Tom Sellers

MSI P65

This smart laptop was enjoyable to use and great to work on – creating content was super simple.

Lolita Wang

MSI GT76

It really doesn’t get more “gaming laptop” than this.

Jack Jeffries

MSI GS75

As the Maserati or BMW of laptops, it would fit perfectly in the hands of a professional needing firepower under the hood, sophistication and class on the surface, and gaming prowess (sports mode if you will) in between.

Taylor Carr

MSI PS63

The MSI PS63 is an amazing laptop and I would definitely consider buying one in the future.

Christopher Low

Brother RJ-4230B

This small mobile printer is exactly what I need for invoicing and other jobs such as sending fellow tradesman details or step-by-step instructions that I can easily print off from my phone or the Web.

Featured Content

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?