Zynga CEO will draw $1 salary in 2013
Salary for top executive at social game studio reduced to $1, but rest of management team could earn millions thanks to new compensation program.
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Zynga founder and CEO Mark Pincus will draw a $1 salary in 2013 and won't be eligible for the company's cash bonus or equity program, according to a new Securities & Exchange Commission filing (via Inside Social Games).
No specific reason for Pincus' pay cut was provided, though it comes after a year when the social game studio saw numerous executive departures, studio closures and layoffs, as well as an overall $209 million loss. In addition, Bloomberg named Pincus one of the "worst CEOs of 2012."
Pincus won't be living on the curb anytime soon, as Forbes estimates his net worth at $1.8 billion.
Apple cofounder Steve Jobs was also paid a $1 annual salary.
Though Pincus will see his salary cut in 2013, other top brass at Zynga will have the opportunity to make more than ever before thanks to a new executive compensation program. Annual base salaries for six other executives are $425,000 and $500,000, with further performance-based bonuses totaling 100 percent of their salaries.
A chart detailing the new compensation program is available here.
As outlined in the SEC document, the purpose of the new executive compensation program is to retain and motivate executives and to align executive pay structure with that of the company's overall performance-based incentives.
"We believe that by focusing on both retention and performance, the compensation packages align with our strategy to build value for our stockholders," Zynga said in a statement.