DreamWorks Animation SKG ceo Jeffrey Katzenberg was paid $1 in total compensation in 2006 upon waiving a stock grant that was to have been valued at $5 million, reports the ASSOCIATED PRESS.
Katzenberg, along with David Geffen and Microsoft co-founder Paul Allen, controls a majority stake in the company. Geffen and Katzenberg together control 79% of the voting power.
Katzenberg made the move this year and will do the same for the next two years to make room for the salary and equity compensation of Lew Coleman, DreamWorks' president/cfo, who joined the company in 2005. Coleman received $7.08 million in compensation in 2006. His salary was $1.25 million while his shares and options amounted to an estimated value of $5.58 million. In addition, he received $251,640 for relocation expenses and reimbursement of taxes he would have to pay in connection with that benefit.
As for bonuses in 2006, Coleman along with other execs were eligible for them, however management requested that the board not to pay the bonuses. In 2006, revenue fell to $394.8 million, compared to $462.3 million in 2005. Part of the down turn was due to the poor box office performance of FLUSHED AWAY.