Facebook FB +2.72% Chief Executive Mark Zuckerberg has cut his annual pay to $1, according to a filing with the SEC late Friday.
The social networking giant made the move effective Jan. 1.
Zuckerberg’s compensation, excluding stock grants, was $2 million in 2012. His base pay was $503,000.
He retains a controlling stake in the company, with nearly 486 million shares worth more than $13 billion.
He exercised options on 60 million shares at the time of the IPO last year and sold about 30 million shares to cover taxes on the gains.
Chief Operating Officer Sheryl Sandberg’s total compensation leaned in to $26.2 million in 2012 from $31 million the previous year.
According to the filing, Facebook’s compensation committee compares the company’s pay policies with a peer group that includes:
Amazon.com
Netflix
Apple
Oracle
Cisco Systems
salesforce.com
eBay
VMware
Yahoo!
Zynga
Microsoft
“Base salary and target total cash compensation for our executive officers was below the 25th percentile of our peers,” according to the filing. “When equity compensation was factored in, without taking into account the effect of the service-based vesting conditions that begin several years in the future and that are applicable to the equity compensation of our executive officers, total compensation for our named executive officers, other than our CEO, fell between the 60 and 80 percentile relative to the companies in the Peer Group.”
Marketwatch
