The company’s record revenue results in 2017 were the result of having newly acquired stations in the lineup, which didn’t activate bonuses. But that didn’t mean Hilton Howell Jr., James Ryan and Kevin Latek were hurting — they all got stock rewards.
Gray Television reported record revenues for 2017, but it did not translate to record compensation for its three named executives, all of whom took a hit in the wallet compared to 2016.
The company’s record revenue results were the result of having newly acquired stations in the lineup. As such, the revenue increase was in the as-reported chart, but was not duplicated on a pro forma basis. When calculated the latter way, the odd-year’s lack of political and Olympics cash put a significant dent in the group’s station-by-station income.
Nevertheless, Gray’s board was happy with the results achieved by President-CEO Hilton H. Howell Jr., EVP-CFO James C. Ryan and EVP-Chief Legal and Development Officer Kevin P. Latek.
The general approval of the trio’s performance was reflected in increased 2017 stock awards and the grant on non-equity compensation which during 2016 was $0 in all three cases. They credited the execs with satisfying 13 of 13 qualitative metrics and four out of four “absolute measures” in making the grant.
For those of you keeping score at home, the four absolute measures are:
- “Growth in total revenues (net of agency commissions) of 3% or more.
- “Growth in enterprise value (i.e., the sum of the company’s outstanding debt plus equity value) of 5% or more.
- “Reduction in the net leverage ratio by more than 10 basis points.
- “Improvement by more than 10 basis points in effective net interest rate measured at the beginning and the end of the calendar year.”
However, the board declined to pay out bonuses for 2017, and the result was lower overall compensation for all three execs. Of the three, Howell had the most to lose, and he did, falling more than $930,000, a drop of almost 17%.
2017 Revenue: $882.7M
|Title||2016 Comp.||2017 Comp.||% Rev.||% Ch. YOY|
|Hilton H. Howell Jr.||Pres.-CEO||$5,498,853||$4,566,919||0.52%||-16.9%|
|James C. Ryan||EVP-CFO||$2,050,987||$1,950,492||0.22%||-4.9%|
|Kevin P. Latek||EVP-Legal||$2,348,911||$2,185,175||0.24%||-7.0%|