Allied Waste Industries, Inc.’s EVP and CFO Thomas W. Ryan sure cleaned up last year, as he took home more than $3.1 million in compensation.
Not bad by most standards. However, he only joined the Scottsdale, Ariz.-based waste-services company in August 2000.
Ryan earned $220,000 in salary, $483,750 in bonus, and $48,925 toward relocation expenses. He was also awarded $2,406,250 in restricted stock, bringing his total compensation to $3,158,925.
Ryan was named EVP and CFO of Allied Waste in August 2000. Prior to joining the company, he was EVP and CFO of Federal-Mogul Corp., a manufacturer and distributor of auto and industrial components. Prior to Federal-Mogul, which he joined in 1997, he was VP and CFO of Tenneco Automotive.
From 1985 through 1995, Ryan was VP, treasurer, and controller of A.O. Smith Corp., and from 1973 through 1985, Ryan held various senior financial positions at the former American Motors (Jeep) Corp.
When Ryan first joined Allied Waste, the company was in the process of completing a $10 billion transaction, which created a significant increase in earnings.
In 2000, the company earned $124.4 million on $5.7 billion in revenue, compared to a loss of $288 million on revenue of $3.3 billion in 1999.
According to a company spokesperson, the increase in revenue was “due to the company’s acquisition of waste company, Browning-Ferris Industries, Inc., which began in July of 1999,” and took the “balance of 2000 to complete.”
The increase in income was a direct result of the acquisition, as well as a result from a reduction of “non-recurring type charges associated with the acquisition,” says the spokesperson. “For example, we had charges in 1999 of $589 million, compared to $127 million in 1999,” he says.
Going forward, the spokesperson says that the company is expecting another decrease in “similar charges of about $20 million.”
According to a recent press release, Credit Suisse First Boston analyst Alan Pavese hiked his recommendations for Allied Waste to “strong buy” from “buy.” He also lifted his price objective on the company to $23 from $19. It closed at $16.07 on Wednesday.