NEW YORK (AP) — The Kroger Co. gave CEO David Dillon a 66 percent pay bump last year as a reward for the company’s improved performance.
The nation’s largest traditional supermarket chain gave its top executive a pay package worth $8.9 million, up from $5.4 million in 2010, according to an Associated Press analysis of a regulatory filing made today.
The hike reflected a bigger cash performance bonus, which rose to $2.7 million, from $808,020.
The Cincinnati-based grocer, which operates Kroger, Ralphs, Food 4 Less and other chains, uses a formula based on the company’s financial results to determine incentive pay for its executives.
Dillon, who became CEO in 2003, also saw his stock and option awards rise to $5.2 million last year, from $2.9 million in 2010. His salary edged up 1 percent to $1.3 million. All other compensation of $115,600 primarily covered insurance premiums.
In its filing with the Securities and Exchange Commission, Kroger noted that revenue at supermarkets open at least a year rose 4.9 percent in 2011 compared with the year before; the company noted that was substantially better than most its competitors and above its own goals.