United Continental Holding, parent of United and Continental airlines, in its SEC filing has disclosed that its CEO Jeffery Smisek will get an annual salary of $975,000 and could be paid a bonus of up to 150% of base pay. He also has a long-term incentive grant in 2011 targeted at $8.4 million, and a one-time bonus targeted at $4 million if the new company achieves goals for integrating United and Continental.
Smisek, who had been chairman and CEO of Continental since January, previously said he would give up his salary and bonuses until Continental earned a full-year profit. The airline is on target to make a profit this year, with analysts expecting United Continental to earn more than $700 million in 2010.
Glenn Tilton, old head of UAL, announced his retirement last week but he was announced as a non-executive chairman of the board. He will be paid $600,000 a year in a cash retainer and get an annual equity grant of $150,000 in restricted stock.
Shares of United Continental rose 2.3% to $24.66 in midday trading on Tuesday (October 5).