The 2007 proxy season ushered in a new generation of executive and director compensation disclosure. Among the many changes introduced for the first time, the Securities and Exchange Commission’s (SEC) new disclosure regulations significantly altered the manner in which executive benefits and perquisites are disclosed.
First, information on executive benefits and perquisites was consolidated into a single column of the Summary Compensation Table. Next, entirely new disclosure sections of the proxy give more visibility into accumulated pension benefits and deferred compensation plan balances. Last, the disclosure threshold for the aggregate value of executive perquisites was lowered.
The SEC’s new disclosure rules forced companies to provide an unprecedented amount of detail on the nature and value of executive benefits and perquisites in 2007, and,as a result, executive perquisites remain in the spotlight. It is against this backdrop of expanded disclosure that Equilar presents the 2007 CEO Benefits and Perquisites Report. This report offers an in-depth analysis of the following key benefits and perquisites offered at Fortune 100 companies:
- Financial Planning and Other Professional Services;
- Flexible Perquisite Accounts;
- Personal and Home Security;
- Personal Use of Corporate Aircraft; and
- Tax Reimbursements.
In addition, this year’s expanded report includes sections on retirement benefits and highlights trends among companies that have eliminated perquisites in the last year. As companies enter into a new era of disclosure, this comprehensive review of benefits and perquisites is an invaluable tool for compensation professionals developing compensation packages for their own executives.