Ford Motor Co Chief Executive Alan Mulally's total compensation rose almost 6 percent to $17.9 million in 2009 from the previous year, the automaker said on Monday.
Mulally, who is credited with spearheading a turnaround of Ford without seeking a U.S. government bailout, received most of his compensation in the form of company stock.
He received no cash bonus for the second consecutive year. Mulally's salary for 2009 and 2010 was cut from $2 million to $1.4 million, Ford said.
The only major U.S. automaker not to file for bankruptcy last year, Ford stock massively outperformed the auto sector and the U.S. equity market in 2009, rising more than four-fold. By contrast, the S&P 500 was up about 23 percent.
Mulally's total compensation compares to $17 million he earned in 2008, according to a preliminary proxy filed with the U.S. Securities and Exchange Commission.
Ford plans to compensate Executive Chairman Bill Ford $16.8 million for 2009 but that payment won't be made until the board determines that the company's global auto operations have achieved full-year profitability, the company said.
Ford, who relinquished the CEO role when he hired Mulally away from Boeing Co (BA.N) in 2006, has not taken any compensation from the automaker founded by his grandfather since 2005.
Ford posted a $2.7 billion profit in 2009, snapping a three-year streak of losses that totaled $30 billion from 2006 through 2008. The automaker has forecast that it will be profitable in 2010.
By going it alone, Ford has set itself apart from U.S. rivals General Motors Co GM.UL and Chrysler, which restructured in U.S. government-financed bankruptcies last year and remain subject to caps on executive compensation enforced by the U.S. Treasury pay czar Kenneth Feinberg.
Given the challenging economic environment, we believe this performance to be outstanding, the company said in a statement. We are gratified that stakeholders have shown renewed confidence in our future.
Ford's annual meeting is scheduled for May 13 in Delaware.
Chief Financial Officer Lewis Booth's total compensation fell 29 percent in 2009 to $3.8 million, while Mark Fields, president of the Americas, received compensation valued at $4.0 million compared with $4.6 million in 2008.
The top executives had taken sharper pay cuts in 2008 when the U.S. automaker reported a record $14.6 billion loss amid a severe recession.
Meanwhile, GM said last month that Chief Executive Ed Whitacre, who took the helm in December, would receive a $1.7 million annual salary and $7.3 million in the form of company stock under a compensation package approved by Feinberg. GM shares are not yet publicly traded.
Feinberg has been removing large cash payouts and encouraging long-term restricted stock, as he tries to strike the balance between reforming pay practices and keeping key talent at bailed-out firms.
(Reporting by Soyoung Kim, editing by Dave Zimmerman)