Management Toolkit

Incoming Dell chief reaps £20m of options

Ed Frauenheim CNET News

Published: 28 May 2004 15:00 BST

Kevin Rollins, Dell's soon-to-be chief executive officer, exercised stock options worth $35.9m (£19.5m) during the company's last fiscal year.

That amount far exceeded Rollins' salary and bonus for the year, according to figures in a Thursday filing with the Securities and Exchange Commission. Rollins, who serves as the computer-maker's president and chief operating officer, received a salary of $797,115 and a bonus of $1.7m for the year ended 30 January.

Chief executive Michael Dell did not exercise any stock options during the year. He received a salary of $950,000 and a bonus of $2.1m.

James Schneider, the company's CFO, exercised options worth $30.1m. Schneider received a salary of $500,000 and a bonus of $720,000.

Rollins is scheduled to become president and chief executive on 16 July at the company's annual meeting of shareholders. Dell will remain as chairman, continuing the company's "two-in-a-box" chief executive office.

Rollins has been handling the day-to-day work of the company for some time, while Michael Dell has spent more time focusing on his company's strategic initiatives.

Rollins still had exercisable options worth $137.9m at the end of the company's fiscal year. During the fiscal year, he received 800,000 stock options valued at $8.3m.