Under Armour CEO Voluntarily Cuts His Salary

[ALien]

Under Armour Chief Executive Officer Kevin Plank took home a base salary of just $26,000 last year after the Baltimore-based sports apparel company he founded did not meet revenue goals.

Plank voluntarily cut his salary from $500,000 to $26,000 last year, saying he thought he should be paid based on the performance of the company, according to documents filed with the Securities and Exchange Commission last week.

Plank was still eligible for a bonus of as much as $1.47 million, but the company had to meet revenues of at least $775 million for the year. Like most companies, Under Armour was hurt by the recession and a slowdown in consumer spending. While the company's revenues rose 19.7 percent last year to $725.2 million, the figures didn't reach the company's goals.

No Under Armour executive received performance bonuses last year, although Suzanne J. Karkus, senior vice president of apparel, and David McCreight, the company's president, received signing bonuses and other guaranteed bonuses promised when they were hired by the company.

The $26,000 was the same salary Plank made when he started Under Armour in 1996.

In 2007, Plank earned more than $1.5 million including his $500,000 salary and a $1 million bonus.

Plank has also proposed no salary increases for certain executive officers this year as "an effort to control expenses and manage our business more conservatively in the current economic environment," according to SEC documents.

READ MORE

[Tecnos]

My heart bleeds for the poor man!

How will he manage to put bread into his children's mouth?

Does his martyrdom guarantee his tenure at the company for another 12 months at least?

I hope so! I'd hate to see the man unemployed and skint.

[Truthed]

Its nice to see he obviously SAVED some of the money he made when the company was meeting their goals and he EARNED the bonuses. He obviously did not go out and spend way beyond he means or else there is no way me could take that kind of salary cut. He took a company from nothing to a 725 mil a year company and he didnt think he deserved a big bonus this year... AIG execs ruined their company and the entire financial system and they thought that they should prolly get some big fat ones...

[kidflash2008]

There are many families out there that manage to survive for under $26,000 a year. At least he is putting his money where his mouth is. I wonder if the salary decrease means no bonuses too?

[Truthed]

Originally Posted by kidflash2008

There are many families out there that manage to survive for under $26,000 a year. At least he is putting his money where his mouth is. I wonder if the salary decrease means no bonuses too?

Ya he turned down the bonus too

"Plank was still eligible for a bonus of as much as $1.47 million, but the company had to meet revenues of at least $775 million for the year. Like most companies, Under Armour was hurt by the recession and a slowdown in consumer spending. While the company's revenues rose 19.7 percent last year to $725.2 million, the figures didn't reach the company's goals."