Retail in Asia

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Walmart’s CEO paid USD18.1m in 2011

Mike Duke, the CEO of Wal-Mart Stores Inc., received a pay package in 2011 worth USD18.1 million, a 3 percent dip from the year before, according to an Associated Press calculation, mainly because his performance-based cash bonus shrank.

The dip in compensation came even as Walmart reversed a more than two-year sales slump in its namesake business as it emphasised low prices across the store and restored thousands of items that it had culled during its campaign three years ago to declutter its stores.

Duke, 62, who has been Walmart’s CEO since February 2009, received a base salary of USD1.3 million, up almost 3 percent, and stock awards worth USD13.1m, up 3 percent from fiscal 2010. But Duke’s cash-based performance bonus fell 25 percent to USD2.88m in the fiscal year ended on 31 Jan. because the company’s operating income fell short of goals established in the compensation plan, according to documents filed on Monday with the Securities and Exchange Commission. Walmart’s operating income growth has been hurt because the company’s aggressive moves to cut prices to better compete with rivals have hurt gross profit margins.

(Source: CNBC)