Nothing like a big management fight to make a CEO feel guilty about taking a bonus. Elan chief Kelly Martin turned down his 2008 incentive cash, which cut his earnings for the year to $830,000. Last year, Martin also waived his cash bonus, but he took options instead. In total, his 2007 compensation came in at $1.9 million. So his 2008 pay was less than half of 2007's.
In Elan's annual report, Martin said 2008 had been a year of "rigorous self-evaluation." No kidding. Management has been under fire for everything from their frequent use of the corporate jet to their alleged mismanagement of the company's lead drug, the MS treatment Tysabri.
Currently, Elan is in the midst of a Citigroup-advised look at its strategic options, which could end in the sale of a minority stake in the firm. As you know, folks have even speculated that the entire company could be up for grabs, and Denmark's Lundbeck was said to be in the hunt. In the meantime, Elan has been cutting jobs; 115 got the axe in Ireland and another 115 were slashed in the U.S.
- see Elan's press release
- read the story at RTÉ Business
- get the news from the Irish Independent