Richard Dickson, Gap Inc.’s Million-dollar Man

Richard Dickson, Gap Inc.‘s president and chief executive officer, is receiving a base annual salary of $1.4 million, as part of his compensation package.

Dickson’s package also included an initial sign-on bonus in fiscal 2023 of $350,000 to compensate him for near-term forfeitures from his prior employer.

In addition, Dickson was granted restricted stock units (RSUs) and performance restricted stock units (PRSUs) with a target grant value of $4.25 million, compensating him for equity awards forfeited from his prior employer, as well as RSUs with a target grant value of $4 million to induce him to become CEO. Before joining Gap Inc. in August 2023, Dickson was president and chief operating officer of Mattel.

Dickson’s compensation is detailed in Gap Inc.’s proxy statement revealing that the annual shareholder meeting will be held May 7.

At Gap Inc., Dickson succeeded Bob L. Martin, who served as interim president and CEO from July 2022 to August 2023 while the board conducted a search for his successor.

“Dickson’s compensation package is structurally consistent with the compensation packages for our other executives and is intended to reward him for sustained improvement of the company’s financial performance and returns to shareholders while aligning interests across the company’s senior leadership team,” the proxy statement indicates.

Dickson gets the same benefits and perquisites as all other executives. He is also entitled to the following:

  • Limited personal use of a company airplane.
  • Reimbursement for membership dues and initiation fees for two business-focused social clubs.
  • Reimbursement for legal fees in connection with negotiating his offer letter.
  • Reimbursement for relocation, including temporary housing, and commuting costs related to his relocation to San Francisco, and tax reimbursement payments on taxable expenses associated therewith. Dickson’s commuting benefit may be used for travel to either of the company’s hub offices in San Francisco or New York City.

“We believe these benefits are commensurate with those provided to chief executive officers at similar companies and benefit the company by allowing Mr. Dickson to manage his travel and time commitments safely and efficiently, including during his relocation, and to leverage his business and personal connections for business-related purposes,” the proxy statement indicates.

Source link

About The Author

Scroll to Top