Chairman and CEO, AbbVie
Total 2014 Compensation: $22.01 million
For the first couple of years after AbbVie's ($ABBV) debut as an independent pharma company, CEO Richard Gonzalez didn't collect the chart-topping pay enjoyed by Abbott Laboratories ($ABT) chief Miles White. Far from it, in fact: Gonzalez collected a mere $8 million in 2012 pay.
Not so much anymore. For 2014, Gonzalez's total compensation amounted to $22 million, according to AbbVie's proxy statement. The value of his pension accounts for $5 million of that, and with 34 years at the company, Gonzalez has had a long time to accumulate pension value. But his 2014 pay package also included more immediate payoffs, such as $1.6 million in base salary and $3.5 million in incentive pay. Plus, Gonzalez enjoyed more than $500,000 worth of personal travel on the corporate aircraft.
On the longer-term payoff side, AbbVie gave Gonzalez $8.38 million in stock awards and $2.76 million in options. The company cited AbbVie's $3.05 in earnings per share and $19 billion in net sales--both of which beat its targets--in explaining Gonzalez's compensation.
For 2015, AbbVie has a new challenge: the hepatitis C cocktail Viekira Pak, which won approval in December and immediately sparked a pricing war with Gilead Sciences ($GILD). That drug is one of the products AbbVie hopes can pick up the slack when its powerhouse product, Humira, faces biosimilar competition in the coming years. Then there's Imbruvica, the blood cancer drug at the center of AbbVie's $21 billion Pharmacyclics buyout. Gonzalez says AbbVie's share of that drug--sold with Johnson & Johnson ($JNJ)--can peak at $7 billion.
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