Total Compensation: $12.917 million
Professional Profile: David Pyott has been running Allergan ($AGN) for about 15 years, since leaving the top spot in the nutrition business at Novartis ($NVS) to take over the Irvine, CA, company. It was an eye-care company when he started in 1998, but he has piloted it through a number of acquisitions and drug approvals, like various uses of its Botox treatment, to broaden its portfolio and deepen its revenues. This year, his haul was about $8.2 million less than the $21.164 million he earned last year when he received a $9.390 million stock award.
Company Profile: Pyott came into the year saying Allergan had $10 billion in cash to spend on acquisitions and he was prepared to leverage its reserves to make deals. Soon after, the company plunked down nearly $1 billion to buy MAP Pharmaceuticals ($MAPP) to get control of its inhalable migraine therapy Levadex. That didn't turn out quite like Pyott had hoped, with the FDA putting off approval of the drug because of concerns over manufacturing of the canisters used to deliver it. A couple of months later the drugmaker was taken by surprise when the FDA issued guidance that would allow generics of its best-selling product, eye drug Restasis, onto the market without clinical testing. But concerns were beaten back when the company secured some more patent protection that should last for years to come.
The drugmaker also won approval of a couple of new uses for Botox, another key drug. It can now be used as a treatment for adults with leaky bladders who don't respond to other drugs and for the lateral canthal lines around the eyes often referred to as "crows' feet." The company also sold off its struggling obesity intervention business for $110 million.
Where did all of this leave Allergan? As an appealing target for Valeant Pharmaceuticals ($VRX), which has launched a $46 billion hostile takeover. Valeant CEO J. Michael Pearson says he sees where he can cut $2.7 billion in costs from their combined operations. While he has not been specific, no doubt he would start by eliminating Pyott and his big salary. -- Eric Palmer (email | Twitter)
Special Report: 20 Highest-Paid Biopharma CEOs of 2012 - David Pyott - Allergan
Valeant touts quick cost cuts in $45B hostile bid for Allergan
Allergan CEO preps multibillion-dollar deal spree to swell pipeline
Apollo Endosurgery grabs Allergan's obesity intervention business for up to $110M
Allergan bags neurotoxin products in $362M licensing deal with Medytox
Botox approval for crow's feet provides bit of upbeat news for beleaguered Allergan
Manufacturing problems keep Allergan from drug approval
Allergan bags migraine drug in $1B MAP Pharma buyout