It was announced today in the UAL proxy statement that former CEO Jim Goodwin's stock options will continue to vest under normal vesting schedules in the option agreements.
In English, this means that Jim Goodwin will receive a severance package equal to three times his bonus and salary (about $5.4 million) in addition to office space and secretarial support for five years.
The proxy, filed with the U.S. Securities and Exchange Commission on Wednesday, lists his 2001 stock option grant at 309,600 shares exercisable at $37.47 and expiring in 2011. Goodwin's salary in 2001 was $739,615 and his bonus was $742,192, according to the proxy.
So, add up the numbers in the paragraph above. Whatever figure you arrive at is too high. It's too much compensation for a person than pissed off the unions, helped push forward that US Airways merger catastrophe, leaked a (whoops, sorrrrrweee!) financial ruin letter to the press, and proudly lead the Dutta and Co. through Camp O'Hare during the Summer of 2000.
Three times his bonus and salary. Three times...