Job Hunting

2000 CFO Pay: Northwest’s Foret Hauled Home More Than $2 Million

Cost Plus CFO earned nearly $1 million, more.
Michelle GabrielleMay 31, 2001

Mickey P. Foret, EVP and CFO of Northwest Airlines Corp., took home over $2 million in total compensation in 2000, according to the company’s recently released proxy.

More than half of his package–$1,234,375— came from a restricted stock award. He also received $431,638 in salary, $479,250 in bonus, $45,567 toward a tax reimbursement, and $62,469 in other compensation from the Eagan, Minn.-based airline. Total Compensation: $2,253,299.

“Other compensation” includes premiums paid for split-dollar life insurance policies, medical expense reimbursement payments, travel benefits, and contributions to the company’s 401(k) retirement plan.

In 1999, Foret received $400,000 in salary, $253,680 in bonus, $72,322 toward a tax reimbursement, and $108,411 in other compensation. Total Compensation: $834,413.

Foret was appointed EVP and CFO of Northwest Airlines in September 1998. He was named President of Northwest Cargo in July 1999 and Chairman and CEO of NWA Cargo in January 2001.

He is responsible for all corporate finance, financial planning, accounting, taxes, insurance, risk management, fleet planning, aircraft acquisition and disposition and NWA Cargo.

Foret was CFO at Northwest Airlines when he left in mid-1996 to serve as president and COO of Atlas Air, a cargo hauler based in Colorado. He returned to Northwest Airlines in mid-1998 to help the company prepare for a possible pilots’ strike.

In the past, Foret has served as CEO of KLH Computers, Inc., President, COO and EVP of finance and planning at Continental Airlines, Inc., and Chairman and CEO of Chelsea Catering, Inc.

He also served in numerous executive positions with Texas International Airlines.

In 2000, Northwest Airlines earned $256 million on $11.4 billion in revenues compared to $300 million on $10.3 billion in revenue in 1999.

In 2000, Northwest Cargo achieved a record-setting performance in revenue, tonnage, yield, number of flights and average load per flight. Cargo revenue for the full year increased 17.1 percent to $857 million.

Elsewhere among recently released proxies:

  • C&D Technologies, Inc.’s CFO and VP of finance, Stephen E. Markert, Jr., took home $286,844 in total compensation in fiscal 2001.

Markert received $185,542 in salary, $96,010 in bonus, and $5,292 in other compensation from the Blue Bell, Pa.-based provider of power supplies.

In fiscal 2000, Markert received $173,353 in salary, $67,645 in bonus, and $5,033 in other compensation. Total Compensation: $246,031.

In both years, “other compensation” refers to matching contributions made by the company toward its savings plan.

Markert has been with C&D Technologies since May 1989 when he was first hired as corporate controller. In February 1995, he was appointed VP of finance and CFO.

In fiscal (January) 2001, C&D’s net income increased 87 percent to $55.9 million from $29.8 million in fiscal 2000. Sales for fiscal 2001 rose 28 percent to $615.7 million from $482.2 million in fiscal 2000.

  • Cost Plus, Inc. paid its EVP of administration, CFO, and secretary, John F. Hoffner$885,463 in compensation in the fiscal year that ended February 3, 2001, according to the company’s recently released proxy.

Hoffner received $252,409 in salary and $87,990 in bonus from the Oakland, Calif.-based retailer of home furnishings and gourmet food and beverages. He also realized gains of $545,064 from exercised options. Total Compensation: $934,561.

In 1999 (which ended January 2000), Hoffner received $238,269 in salary, $60,461 in bonus, and $48,098 in other compensation. Total Compensation: $346,828.

In both years, “other compensation” included a company reimbursement towards relocation expenses.

Hoffner joined Cost Plus in June 1998 as EVP of administration, CFO, and secretary. He served as EVP and CFO of Sweet Factory, Inc. from April 1993 to June 1998 and from January 1991 to April 1993 Hoffner was SVP of finance and administration at Wherehouse Entertainment, Inc. Prior to that, he held executive positions in finance and administration with retailers such as Dayton Hudson and Federated Department Stores.

In fiscal 2001, Cost Plus’s net income was $21.7 million compared with $19.7 million in the prior fiscal year. Net sales for the 53-week fiscal 2001 year were $493.7 million, a 22.7 percent increase over the 52-week prior fiscal year, with same-store sales increasing 4.6 percent.