Kenneth Frazier, Merck & Co.

Chairman and CEO, Merck & Co.
Total 2014 Compensation:
$25.03 million

Merck & Co. ($MRK) had a good year in 2014, and that means Ken Frazier had a good year, too.

On the M&A side, he successfully sold off Merck's consumer health business for $14 billion to Bayer, part of a plan to focus the company on its strengths. He pushed through a $9.5 billion buyout of Cubist, the antibiotic specialist, in a move to build up Merck's hospital business. And he wrapped up a hepatitis C-focused deal for Idenix Pharmaceuticals, a $3.8 billion buy.

Plus, Frazier and his R&D team celebrated the approval of Keytruda, their cancer immunotherapy. It's widely expected to be a major blockbuster, not just in melanoma--where it was first approved--but in lung cancer and beyond. A hepatitis C cocktail is expected to follow it to market later this year.

Put those things together with a $2.5 billion cost-cutting plan and some stock gains, and you have a goal-beating year for Merck, which landed Frazier a $13 million-plus share grant. Frazier tacked on another $3.3 million in options, plus $3.34 million in cash incentive pay, thanks to goal-beating sales, earnings and pipeline milestones.

Frazier's base pay remained at $1.5 million. That figure, plus a $3.6 million increase in pension and deferred compensation, made up the rest of his 2014 total.

For more:
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Kenneth Frazier, Merck & Co.