CBOE Holdings Inc. Chief Executive Officer William Brodsky, who steered the operator of the biggest U.S. options market through an initial public offering last June, received a giant pay boost for his efforts.
Brodsky’s $9.58 million pay package last year vaults him ahead of his peers at other U.S. financial exchanges, Securities and Exchange Commission filings show. The total was nearly triple the value of his package the year before, buoyed by a grant of $6.76 million in stock on June 15, when the company floated its shares publicly.
Brodsky has headed the CBOE since 1997, but his pay in recent years has lagged that of his rivals because the member-owned company did not have stock with which to pay its executives.
Brodsky’s 2010 package, his first to include a stock award, was more than double the CEO pay packages of much larger rivals.
CME Group Inc (CME.O), whose $20.5 billion market value dwarfs CBOE’s $2.5 billion market cap, paid its chief executive, Craig Donohue, $4.7 million in 2009. The figure includes stock, cash and other compensation.
Duncan Niederauer, who heads NYSE Euronext (NYX.N), received $4.25 million in 2009. Neither CME nor NYSE has yet released 2010 compensation data.
IntercontinentalExchange Inc (ICE.N) CEO Jeffrey Sprecher got $3.18 million in 2010, a filing on Friday showed.
Brodsky’s stock grant last year was intended as a one-time reward for work on the IPO, and any grants given this year will be smaller, the company said in the filing.
CBOE Chief Operating Officer Edward Joyce, Executive Vice Chairman Edward Tilly, Executive Vice President Richard DuFour, and Chief Financial Officer Alan Dean also received multimillion-dollar stock awards, which vest over a four-year period.
At the IPO, CBOE shares fetched $29 each, but have since sunk. Brodsky’s stock award was valued at $5.33 million as of Dec. 31, 2010, the filing showed.
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CBOE Holdings
CBOE Holdings Inc. claims it is the largest option exchange in the United States. The company, in addition to its core options trading business, provides marketplaces for trading futures contracts...
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