Ford Motor Co. CEO Alan Mulally will receive a substantial amount of money when he retires, according to a letter the automaker filed Tuesday with the Securities and Exchange Commission.
DEARBORN- Ford Motor Co. CEO Alan Mulally is expected to receive a substantial amount of money when he retires, according to a letter the automaker filed Tuesday with the Securities and Exchange Commission.
The letter says Mulally will receive a pre-tax lump-sum after his retirement equal to five times the amount of Ford's contribution to his Ford Retirement Plan and Benefit Equalization Plan.
The letter, dated Feb. 13 on page 245 of the filing, declares that under the 67-year-old’s 2006 hiring agreement Mulally "will be credited four additional years of service for every year of actual service.”
The letter, from Ford group vice president for human resources Felicia Fields to Mulally, does not give an exact amount, but based on Mulally’s importance and salary, it should be quite a large amount.
In 2011, the Dearborn-based automaker paid Mulally $29.5 million in salary and other incentives, which was an 11 percent increase from 2010. Ford has not released Mulally’s 2012 salary.
Mulally has not announced an exact retirement date, but last year said he won't retire until at least 2015.
Mulally, who joined Ford from Boeing in 2006, is credited for steering Ford away from bankruptcy in the late-2000s.
An official successor for Mulally has not been announced, but many believe it will be Mark Fields, Ford’s new chief operating officer.
“All the indications show that they are probably grooming Fields to takeover for Mulally,” said Jesse Toprak, vice president of industry trends and insights for TrueCar.com, in November. “Based on the interactions, Fields’ experience – especially Fields’ international experience – he’s the likely candidate at this point.”
Fields, who started as COO Dec. 1, was formerly president of the Americas for Ford.
Check back to MLive.com/auto for more on Ford's SEC filing.
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