Barnes & Noble Goofs, Retracts CEO Bonus

by InvestorPlace Staff | July 24, 2012 11:02 am

Barnes & Noble Goofs, Retracts CEO Bonus

Lots of CEOs get big pay packages[1], but few get their compensation yanked away after its dangled in from of them. That’s exactly what happened to the CEO William Lynch of bookseller chain Barnes & Noble (NYSE:BKS[2]), though. The company granted him 1 million stock options, then retracted half of them[3].

Why the tease? Apparently, by issuing the options, Barnes & Noble had broken its own rules on how many options it can grant an employee in a three-year period.

Shareholders could vote to allow Lynch to keep the retracted options, Reuters reports, but a verdict won’t be in until September.

With the original options amount, Lynch would have been bringing home over $15 million in 2012 — nearly 10 times the amount he made the year before. With the new number, though, that figure drops to $10 million.

-Alyssa Oursler, InvestorPlace Editorial Assistant

Endnotes:
  1. get big pay packages: http://investorplace.com/2012/07/10-huge-paydays-for-the-hired-and-fired/
  2. BKS: http://studio-5.financialcontent.com/investplace/quote?Symbol=BKS
  3. then retracted half of them: http://www.reuters.com/article/2012/07/24/us-barnesnoble-lynch-idUSBRE86N00R20120724

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