Leidos Holdings’ Most Highly Compensated Executives In 2022

Leidos, which has 45,000 full and part-time employees, recorded revenue of $14.4 billion in its last fiscal year, a 5 percent increase from the prior year.

Solution provider giant Leidos generated revenue of $14.4 billion in its last fiscal year and rewarded its top five executives more than $24 million in combined total compensation.

The most highly compensated executive, Chairman and CEO Roger Krone, reported more than $13 million in total compensation, mostly in the form of stock awards, according to a proxy filing from March.

Krone retired in May and the company named Tom Bell, a veteran executive at both Rolls Royce and Boeing, as its new CEO.

Bell assumed the role on May 3 but was selected by the company’s board of directors in February to succeed Krone. Krone has been CEO since 2014 and will stay on through July in an advisory role.

According to a regulatory filing, Bell will be paid $1.25 million every year plus equity awards with an initial value of $4.5 million, consisting of 50 percent performance share awards, 30 percent performance restricted stock units, and 20 percent nonqualified stock options.

Leidos declined to comment when reached by CRN.

Prior to joining Reston, Va.-based solutions provider Leidos, Bell held roles at both Rolls Royce and Boeing, most recently as the president of defense and chairman and CEO at Rolls-Royce North America since 2018. Prior to that he held multiple leadership roles at Boeing for 24 years such as senior vice president of global sales and marketing, lead for strategy, defense and spacelead and vice president of business development for Boeing’s logistic support systems, according to his LinkedIn.

Leidos, which has 45,000 full and part-time employees, saw a 5 percent revenue increase from the prior year. The company’s stock is down 23 percent over the past 12 months to $79.96 as of Friday.

Here are the five most highly compensated executives at Leidos.

5. Gerard A. Fasano

Group President, Defense

Total Fiscal Year 2022 Compensation: $2,453,718

Totally Fiscal Year 2021 Compensation: $2,407,289

Fasano is president of the defense group at Leidos and is responsible for leading the delivery of advanced systems, solutions and services to defense customers worldwide. He oversees more than 10,000 employees who solve a variety of challenges including autonomy, advanced analytics, digital modernization, enterprise logistics and secure agile software development.

For fiscal year 2022, Fasano’s salary was $606,154 with an option award of $244,002. His non-equity incentive plan compensation was $540,765. Other compensation of $15,800 and stock awards totaling $1,046,997 brought Fasano’s total compensation to $2,453,718.

4. Jerald S. Howe, Jr.

Executive Vice President, General Counsel

Total Fiscal Year 2022 Compensation: $2,518,702

Totally Fiscal Year 2021 Compensation: $2,360,651

Howe is Leidos’ executive vice president and general counsel for the company where he is responsibility for legal, contracts, corporate governance and administrative oversight of the ethics, compliance and internal audit functions. Howe joined Leidos in July 2017 after serving as partner at Fried, Frank, Harris, Shriver & Jacobson LLP where he served on the firm’s litigation, government contracts, mergers and acquisitions and aerospace and defense practices.

For fiscal year 2022, Howe’s salary was $634,400 with an option award of $253,766. His non-equity incentive plan compensation was $511,175. Other compensation of $30,550 and stock awards totaling $1,088,811 brought Howe’s total compensation to $2,518,702.

3. Maureen Waterston

Executive Vice President, Chief Human Resources Officer

Total Fiscal Year 2022 Compensation: $3,261,32
Waterston joined Leidos in March 2022 and is responsible for implementing and enhancing the human capital strategy for the company’s 45,000 global employees.

Before joining Leidos, Waterston was vice president and chief human resources officer at Pratt & Whitney and held several positions prior to that including vice president of human resources at Otis and a role of the same position at UTC Building & Industrial System.

For fiscal year 2022, Waterston’s salary was $454,279, with a bonus of $200,000. Her non-equity incentive plan compensation was $443,168. Other compensation of $145,431, an option award of $192,522 and stock awards totaling $1,825,926 brought Waterston’s total compensation to $3,261,326.

2. Christopher R. Cage

Executive Vice President, Chief Financial Officer

Total Fiscal Year 2022 Compensation: $2,659,436

Totally Fiscal Year 2021 Compensation: $2,041,212

Cage is the executive vice president and chief financial officer at Leidos where he oversees all financial activities of Leidos including accounting and financial reporting, tax, treasury, planning and analysis and investor relations.

For fiscal year 2022, Cage’s salary was $590,385 with an option award of $270,023. His non-equity incentive plan compensation was $610,320. Other compensation of $30,250 and stock awards totaling $1,158,458 brought Cage’s total compensation to $2,659,436.

1. Roger A. Krone

Chairman and Chief Executive Officer

Total Fiscal Year 2022 Compensation: $13,548,892

Totally Fiscal Year 2021 Compensation: $12,876,007

Krone joined Leidos as CEO in 2014 and spearheaded the merging of Leidos and Lockheed Martin’s Information Systems & Global Solutions business in 2016. Krone retired and is succeeded by Tom Bell, a veteran executive at both Rolls Royce and Boeing, who was appointed CEO on May 3. Krone will stay on through July in an advisory role.

For fiscal year 2022, Krone’s salary was $1,266,308 with an option award of $1,950,017. His non-equity incentive plan compensation was $1,932,404. Other compensation of $34,300 and stock awards totaling $8,365,863 brought Krone’s total compensation to $13,548,892.