The 35 Most Highly Compensated Channel CEOs In 2015
How Much Does Your CEO Make?
The 35 highest-paid CEOs from publicly traded distributors and channel partners in the top 100 of CRN's 2016 Solution Provider 500 rankings raked in nearly $168 million of compensation last year, but only 16 percent -- or $27.5 million -- of that came in the form of salary.
More than 44 percent, or $74 million, of the CEOs' total compensation came from stock awards, while an additional 13 percent, or $21.9 million, came from option awards. Bonuses made up an additional 22 percent, or $36.1 million, of the compensation package.
Publicly traded companies based in the United States are required to disclosed the compensation of all named executive officers to the Securities and Exchange Commission before the annual shareholder meeting.
35. Upinder Zutshi, Infinite Computer Systems: $362,000
Salary: $244,000
Bonus: $113,000
Other Compensation: $5,000
The fiscal year for Infinite Computer Systems, No. 94 on the CRN 2016 SP 500, ended March 31, 2015. The company’s full-year revenue declined 0.9 percent, to $284 million, while profit after tax (PAT) climbed 23.9 percent, to $18.5 million.
Other compensation for Zutshi consists entirely of retirement benefits, excluding provisions for gratuity and premiums paid for group health insurance.
34. Chad Carlson, StarTek: $764,000
Salary: $488,000
Option Awards: $165,000
Bonus: $111,000
Other Compensation: $13,000
The fiscal year for StarTek, No. 89 on the CRN SP 500, ended Dec. 31. The company reported an 11 percent jump in revenue, to $282.1 million, and a near-tripling in net loss, from $5.4 million last year to $15.6 million this year.
StarTek is undergoing a reorganization of its sales pipeline and is implementing cost reductions to reach a goal of sustained, predictable and profitable growth, according to the company.
Other compensation for Carlson includes $9,000 of employer contributions to his 401(k), $3,000 of health insurance premiums and $1,000 of premiums for group term and disability insurance.
33. Nitin Rakesh, Syntel: $1.06M
Stock Award: $380,000
Bonus: $325,000
Salary: $311,000
Other Compensation: $35,000
Deferred Compensation: $8,000
The fiscal year for Syntel, No. 38 on the CRN SP 500, ended Dec. 31, with the company’s full-year revenue increasing 6 percent, to $968.6 million, and net income climbing 1.1 percent, to $252.5 million.
Other compensation for Rakesh includes $32,000 for the cost of providing a car and driver, $800 in premiums for medical, accidental death and life insurance coverage, $700 in telephone expense reimbursement, a $400 meal allowance and a $300 contribution to India's social security fund.
32. Paul Lidsky, Datalink: $1.31M
Stock Award: $774,000
Salary: $530,000
Other Compensation: $11,000
The fiscal year for Datalink, No. 45 on the CRN SP 500, ended Dec. 31. The company’s full-year revenue increased by 21 percent, to $764.8 million, while non-GAAP net earnings fell by 24.9 percent, to $12.4 million.
Other compensation includes a $1,000 car allowance and $10,000 for a company-sponsored awards trip for Lidsky and his spouse, as well as associated taxes for the travel expenses.
31. Richard Leeds, Systemax: $1.32M
Salary: $731,000
Bonus: $560,000
Other Compensation: $29,000
The fiscal year for Systemax ended Dec. 31, following the sale of its North American business-to-business group to PCM and the shuttering of its remaining North American retail business.
The company, No. 26 on the CRN SP 500, reported an 18 percent plunge in revenue, to $1.85 billion, and a 50.1 percent increase in net loss from continuing operations, from $32 million to $48.3 million.
Systemax announced in March 2016 that former CIO Larry Reinhold would be replacing Leeds as CEO. This effectively ended day-to-day control of the company by the Leeds family, who founded the firm in 1949 in the New York borough of Queens.
Other compensation for Leeds consists entirely of a $29,000 payment for auto-related expenses.
30. Kenneth Asbury, CACI: $1.33M
Salary: $835,000
Bonus: $418,000
Deferred Compensation: $52,000
Other Compensation: $24,000
The fiscal year for CACI, No. 17 on the CRN SP 500, ended June 30, with the company reporting a 7 percent drop in revenue, to $3.31 billion, and a 7 percent drop in net income, to $126.2 million.
CACI announced the $550 million acquisition of L-3 Communications Holdings' National Security Solutions (NSS) subsidiary in the company’s 2015 fiscal year, with the deal closing Feb. 1, 2016.
Other compensation for Asbury includes $11,000 of tax and investment services, $8,000 from the company’s 401(k) match, $4,000 in long-term care premiums and $1,000 for automobile expenses.
29. Frank Khulusi, PCM: $1.35M
Stock Award: $687,000
Salary: $583,000
Bonus: $74,000
Other Compensation: $7,000
The fiscal year for PCM, No. 28 on the CRN SP 500, ended Dec. 31, with full-year revenue climbing 22.5 percent, to $1.66 billion, and non-GAAP consolidated income from continuing operations plummeted 68.3 percent, to $2.43 million.
Khulusi's base salary was increased earlier this month from $583,000 to $833,000 based on PCM’s larger scale, performance and resources. PCM made three major acquisitions in 2015: En Pointe, No. 42 on the 2014 SP 500; Acrodex, No. 92 on the 2015 SP 500; and the North American technology business of Systemax, No. 17 on the SP 500.
Other compensation for Khulusi includes a company-sponsored awards trip and matching 401(k) contributions from PCM.
28. Timothy McGrath, PC Connection: $1.86M
Bonus: $954,000
Salary: $900,000
Other Compensation: $4,000
The fiscal year for PC Connection, No. 21 on the CRN SP 500, ended Dec. 31. The company drove record performance in both net income and revenue, with earnings jumping 10 percent, to $46.8 million, and sales climbing 4.5 percent, to $3.5 billion.
McGrath’s annual salary was increased from $825,000 to $900,000 in November 2014.
Other compensation for McGrath consisted entirely of contributions to his 401(k) account.
27. Phillip Norton, ePlus: $1.92M
Stock Award: $887,000
Salary: $650,000
Bonus: $374,000
Other Compensation: $10,000
The fiscal year for ePlus, No. 34 on the CRN SP 500, ended March 31, 2015. The company reported an 8.1 percent jump in revenue, to $1.14 billion, and a 17.3 percent increase in non-GAAP net earnings, to $41.4 million.
Norton's other compensation included $7,000 to cover travel and entertainment costs for his family to attend a sales meeting for executives and high-performers. He also received a $3,000 401(k) match and $1,000 for an annual physical.
26. Michael McAndrew, Black Box Network Services: $2.31M
Stock Award: $1.1 million
Salary: $550,000
Option Award: $463,000
Bonus: $176,000
Other Compensation: $29,000
Deferred Compensation: $13,000
The fiscal year for Black Box Network Services, No. 37 on the CRN SP 500, ended March 31, 2015, with the company reporting a 2 percent bump in revenues, to $992.4 million, and a profit of $15.3 million, compared with a loss of $115.9 million in 2014.
The company began a bumpy restructuring in 2014 that resulted in the replacement of 30 percent of the sales staff. McAndrew announced in December 2015 that he would be stepping down as CEO, and was replaced in early 2016 by E.C. Sykes.
Other compensation for McAndrew includes $28,000 in contributions to the NTCA retirement plan and additional payments on life insurance premiums.
25. Brian Clark & Charles Narang, NCI: $2.7M
Total Compensation: Clark: $2.16M; Narang: $545,000
Stock Award: Clark: $1.1 million; Narang: None
Salary: Clark: $477,000; Narang: $442,000
Bonus: Clark: $587,000; Narang: $75,000
Other Compensation: Clark: $10,000; Narang: $29,000
The fiscal year for NCI, No. 72 on the CRN SP 500 list, ended Dec. 31. The company reported a 5.1 percent increase in sales, to $333.1 million, and a 43.5 percent jump in net income, to $12.2 million.
Clark took over as president and CEO on Oct. 1, replacing Narang. As a result of the promotion, Clark's salary increased from $473,000 to $500,000.
Other compensation for Narang included payments on an automobile lease, 401(k) matching and excess group life insurance payments.
Clark and Narang each received cash bonuses -- $100,000 and $75,000, respectively -- for their performance during the Computech acquisition in early 2015.
24. Michael Boustridge, Ciber: $2.71M
Stock Award: $1.92M
Salary: $786,000
Other Compensation: $3,000
The fiscal year for Ciber, No. 43 on the CRN SP 500, ended Dec. 31, with full-revenue revenue declining 1 percent, to $787 million, after accounting for changes in foreign currency exchange rates. Adjusted non-GAAP net income fell 13.2 percent in 2015, to $7.9 million.
Other compensation for Boustridge included Ciber's 401(k) savings plan contributions, group term life and long-term disability benefits.
23. Arkady Dobkin, EPAM Systems: $2.72M
Option Award: $1.2 million
Stock Award: $614,000
Bonus: $500,000
Salary: $400,000
EPAM Systems, No. 40 on the CRN SP 500, ended its fiscal year Dec. 31, with the company reporting a 25 percent increase in revenue, to $914.1 million, as well as a 21 percent boost in net income, to $84.5 million.
EPAM has recorded 26 consecutive quarters of more than 20 percent organic year-over-year growth.
The company reported Dobkin was awarded a bonus in 2015 for his leadership, focus on disruptive technologies and "exceptional performance in creating stockholder value."
22. Jeff Davis, Perficient: $2.75M
Stock Award: $2.2M
Salary: $538,000
Other Compensation: $16,000
The fiscal year for Perficient, No. 61 on the CRN SP 500, ended Dec. 31. The company's full-year revenue increased 4 percent, to $473.6 million, while net income dipped 1 percent, to $23 million.
Davis' other compensation included a $7,000 matching contribution for his 401(k) plan, disability insurance premiums of $7,000, a cellphone allowance of $2,000 and a $1,000 standard life insurance premium.
21. Clifford Bleustein and Brendan Harrington, Computer Task Group: $2.77M
Total Compensation: Bleustein: $1.94M; Harrington: $830,000
Bonus: Bleustein: $599,000; Harrington: $273,000
Salary: Bleustein: $370,000; Harrington: $336,000
Stock Award: Bleustein: $504,000; Harrington: $133,000
Option Award: Bleustein: $434,000; Harrington: $43,000
Other Compensation: Bleustein: $33,000; Harrington: $45,000
The fiscal year for Computer Task Group, No. 65 on the CRN SP 500, ended Dec. 31, with the company’s full-year revenue declining 6 percent, to $369.5 million, and a 36 percent drop in income from $10.35 million, to $6.51 million.
CTG began a restructuring process in 2015 with the intent of repositioning its business units, restructuring its balance sheet and devising a strategy to drive growth.
After the October 2014 death of CEO James Boldt, Chief Financial Officer Brendan Harrington acted as interim CEO until April 2015, when Clifford Bleustein took the helm.
While serving as CEO, Harrington received $27,000 from executive benefits plans and for dues at a luncheon club in addition to life insurance premiums and 401(k) contributions. Bleustein received $15,483 from executive benefits plans in addition to life insurance premiums and 401(k) contributions.
20. Paul Hermelin, Capgemini: $2.9M
Salary: $1.64M
Bonus: $661,000
Other Compensation: $636,000
The fiscal year for Capgemini, No. 6 on the CRN SP 500, ended Dec. 31. The company’s full-year revenue increased 12.7 percent, to $13.44 billion, while net profit skyrocketed by 94 percent, to $1.27 billion.
Variable compensation for Hermelin included financial objectives around revenue, operating income, pre-tax net profits and free cash flow, as well as individual objectives around acquisitions, industrialization, account centricity and talent development.
19. George Pedersen, ManTech: $3.04M
Salary: $1.78M
Bonus: $1M
Other Compensation: $260,000
The fiscal year for ManTech, No. 29 on the CRN SP 500, ended Dec. 31, with revenue dipping almost 13 percent, to $1.55 billion. However, the company reported an 8 percent boost in its net income, to $51.1 million.
Mantech’s revenue has dropped nearly 50 percent over the past half-decade as the United States began to draw down its military presence in Afghanistan, lowering demand for ManTech's global logistics, cybersecurity and systems engineering services.
However, Pedersen said in October that ManTech was ready to take on a more stable market after a two-year budget resolution between Congress and the White House that raised federal spending $80 billion and lifted a ceiling on borrowing.
Other compensation for Pedersen included $127,000 for employees' time spent on non-corporate matters for Pedersen -- primarily as a driver -- $78,000 for tax preparation fees, legal fees, automobile expenses and a club membership, and a $1,000 life insurance premium.
18. Natarajan Chandrasekeran, Tata Consultancy Services: $3.21M
Bonus: $2.41M
Other Compensation: $526,000
Salary: $271,000
The fiscal year for Tata Consultancy Services, No. 4 on the CRN SP 500, ended March 31, 2015. The company’s full-year revenue increased 15 percent to $15.45 billion, while net income ticked up 2.3 percent to $3.21 billion.
Other compensation for Chandrasekeran includes: rent-free residential accommodation with the company bearing the cost of repairs, maintenance and utilities; hospitalization and major medical expenses; car, telecommunication and housing loan facilities; medical allowances, personal accident insurance and club membership fees; and ability to cash out unused leave time.
17. Ken Lamneck, Insight: $3.3M
Stock Award: $1.9M
Salary: $727,000
Bonus: $655,000
Other Compensation: $15,000
The fiscal year for Insight Enterprises, No. 15 on the CRN SP 500, ended Dec. 31. The company’s full-year sales increased 6 percent, to $5.4 billion, after accounting for changes in foreign currency exchange rates. Non-GAAP net earnings fell 2.3 percent, to $80.7 million.
Other compensation for Lamneck included a paid executive physical, long-term disability insurance premium payments, matching contributions to his 401(k), an annual sales incentive trip, cellphone expenses and a contribution to his health savings account.
16. John Marr, Tyler Technologies: $3.45M
Option Award: $2.3 million
Bonus: $614,000
Salary: $512,000
Other Compensation: $11,000
The fiscal year for Tyler Technologies, No. 50 on the CRN SP 500, ended Dec. 31. The company's revenue increased 19 percent, to $591.02 million, while net income jumped 9 percent, to $64.87 million.
Tyler Technologies announced in October plans to acquire local government solution provider New World Systems Corp. for $360 million in cash, strengthening the company's local government practice and boosting 2015 revenue by an estimated $124 million.
Other compensation for Marr includes amounts contributed or accrued by Tyler under its 401(k) savings plan, tickets to sporting events and personal use of a company automobile.
15. Kris Canekeratne, Virtusa: $3.59M
Stock Award: $2.99M
Salary: $444,000
Bonus: $155,000
The fiscal year for Virtusa, No. 59 on the CRN SP 500, ended March 31, 2015. The company increased its revenue by 21 percent, to $479 million, and reported a 24 percent jump in net income, to $42.4 million.
Canekeratne's compensation partially reflects the equity he has invested into Virtusa as one of its co-founders, the company said.
14. Kevin Murai, Synnex: $3.93M
Bonus: $1.22M
Stock Award: $1.07M
Option Award: $1M
Salary: $625,000
Other Compensation: $15,000
The fiscal year for Synnex ended Nov. 30, with the distributor's sales falling 3.6 percent, to $13.34 billion, and non-GAAP net income increasing 3.1 percent, to $249.9 million.
Other compensation for Murai consists entirely of dividends paid during the 2015 fiscal year on unvested restricted stock awards.
13. Mike Baur, ScanSource: $5.08M
Option Awards: $1.72M
Bonus: $1.63M
Other Compensation: $883,000
Salary: $850,000
The fiscal year for ScanSource ended June 30, with the distributor's sales climbing 10 percent, to $3.22 billion, and non-GAAP net income dipping 1 percent, to $75.1 million.
Baur's other compensation consisted primarily of a $800,000 deferred compensation benefit to recognize his contributions to ScanSource over the past 22 years, during which time the company has never had a pension plan.
Baur also received $51,000 in company-paid disability benefits, $14,000 in contributions to deferred contribution plans, $8,000 in profit sharing, $5,000 in company-paid travel for spouses and $5,000 in life insurance benefits.
12. Bob Dutkowsky, Tech Data: $5.92M
Stock Award: $2.5M
Bonus: $2.29M
Salary: $1.09M
Other Compensation: $35,000
Deferred Compensation: $8,000
The fiscal year for Tech Data ended Jan. 31, with the distributor’s sales falling 4.7 percent, to $26.38 billion, and non-GAAP net income climbing 9.1 percent, to $208.2 million.
Other compensation for Dutkowsky includes a $20,000 Executive Choice Plan benefit, which can be used for tax and estate counseling, individual insurance premiums, personal and professional development expenses, and club memberships.
Dutkowsky also received $7,000 in contributions from Tech Data to his 401(k) savings plan, and $8,000 for guest travel, food, lodging, participant activities and gifts in connection with business-related events.
11. Peter Altabef, Unisys: $6.11M
Stock Award : $2.42M
Option Award : $1.37M
Bonus : $1.31M
Salary : $972,000
Other Compensation : $33,000
The fiscal year for Unisys, No. 19 on the CRN SP 500, ended Dec. 31. The company reported a revenue dip of 10 percent, to $3.02 billion, and a net loss of $109 million, which comes just a year after Unisys posted a net profit of $44 million.
CEO Peter Altabef blamed a bloated cost structure and lack of vertical integration for the struggles, saying a "good amount" of the company's challenges have been "to some extent self-inflicted, or at least inward-focused."
Other compensation for Altabef included $15,000 in perquisite payments for financial planning and benefits, an $11,000 gross-up for state and local taxes and $8,000 in matching contributions to his 401(k).
10. Rick Hamada, Avnet: $6.74M
Stock Award: $3.3M
Bonus: $1.35M
Salary: $950,000
Option Award: $924,000
Deferred Compensation: $161,000
Other Compensation: $48,000
The fiscal year for Avnet ended June 27, with the distributor’s sales increasing 1.5 percent, to $27.92 billion, and non-GAAP net income climbing 4.9 percent, to $623.1 million.
Other compensation for Hamada included $36,000 for his automobile lease and insurance cost, as well as an annual physical exam.
9. Thomas Richards, CDW: $6.97M
Stock Award: $1.75M
Option Award: $1.55M
Bonus: $1.52M
Other Compensation: $1.3M
Salary: $852,000
The fiscal year for CDW, No. 5 on the CRN SP 500, ended Dec. 31, with sales increasing 7.6 percent, to $12.99 billion, and non-GAAP net income jumping 22.8 percent, to $503.5 million.
Other compensation for Richards included $1.29 million in cash retention payments intended to focus CDW's key leaders on driving the long-term success of the company, as well as company-paid supplemental disability premiums and profit-sharing contributions to his 401(k) account.
8. Michael Ruffolo & J. Eric Cooney, Internap: $7.04M
Total Compensation : Ruffolo: $5.27M; Cooney: $1.77M
Stock Awards: Ruffolo: $2.83M; Cooney: $429,000
Option Awards : Ruffolo: $995,000; Cooney: $493,000
Bonus: Ruffolo: $963,000; Cooney: None
Other Compensation: Ruffolo: $87,000; Cooney: $620,000
Salary : Ruffolo: $428,000; Cooney: $227,000
The fiscal year for Internap, No. 77 on the CRN SP 500, ended Dec. 31, with full-year revenue declining 5 percent, to $318.3 million, and net loss increasing 23 percent, to $48.44 million.
Internap initiated a $2.5 million management and cost restructuring program in September that the company expects will result in annualized savings of between $4 million and $5 million.
Ruffolo took over for Cooney as CEO in May 2015, coming over from video delivery network provider Edgeware. Internap paid Cooney a severance of $620,000 and covered $395 of life insurance premiums for the former CEO.
The company also reimbursed Ruffolo $36,000 for travel and related expenses from his home state to the Internap corporate office in Atlanta, $26,000 of tax reimbursement for those costs, and $24,000 for his service as a director before the commencement of his employment.
7. Michael Roach, CGI: $7.17M
Stock Award: $5.97M
Salary: $1.06M
Other Compensation: $143,000
The fiscal year for CGI, No. 18 on the CRN SP 500, ended Sept. 30, with sales falling 2 percent, to $10.29 billion, and net earnings climbing 13.8 percent, to $977.6 million.
Other compensation for Roach included $56,000 in housing costs, CGI's contribution under its share purchase plan and the company's contribution toward health insurance benefits and related insurance coverage.
6. Alain Monie, Ingram Micro: $9.03M
Stock Award: $3.85M
Bonus: $2.5M
Option Award: $1.65M
Salary: $1M
Other Compensation: $30,000
The fiscal year for Ingram Micro ended Dec. 31, with the distributor's sales falling 7.4 percent, to $43.03 billion, and non-GAAP net income climbing 0.7 percent, to $411.5 million.
Monie stands to receive a $52.08 million payout for his options, restricted stock units and shares of Ingram Micro stock should the proposed $6 billion acquisition by Chinese logistics firm Tianjin Tianhai go through.
Other compensation for Monie includes $28,000 in company contributions to retirement savings plans and $2,000 in health and welfare benefits.
5. William Stone, SS&C Technologies: $9.38M
Bonus : $5.5M
Option Awards : $3M
Salary : $875,000
Other Compensation : $5,000
The fiscal year for SS&C, No. 36 on the CRN SP 500, ended Dec. 31. The company grew its revenue by more than 30 percent, to just over $1 billion, though net income plunged 67 percent, from $131 million last year to $43 million this year.
SS&C acquired five companies in the past 18 months, most recently scooping up McLean, Va.-based Citi Alternative Investor Services and boosting itself to becoming the second-largest fund administrator worldwide.
Other compensation for Stone includes a $4,000 contribution of by SS&C to his 401(k) savings plan and payment of life insurance premiums.
4. Michael Long, Arrow Electronics: $10.46M
Stock Award: $3.94M
Deferred Compensation: $2.43M
Bonus: $1.6M
Option Award: $1.31M
Base Salary: $1.15M
Other Compensation: $28,000
The fiscal year for Arrow Electronics ended Dec. 31, with the distributor's sales inching up by 2 percent, to $23.28 billion, and adjusted net income dipping by 0.1 percent, to $592.3 million.
Other compensation for Long includes $15,000 for personal use of the corporate jet, a $12,000 corporate contribution toward his 401(k) plan, a $1,000 taxable portion of a company vacation and $1,000 for spousal participation in board meeting events.
3. Francisco D'Souza, Cognizant: $11.95M
Stock Award : $10.48M
Bonus : $778,000
Salary : $645,000
Other Compensation : $45,000
The fiscal year for Cognizant, No. 7 on the CRN SP 500, ended Dec. 31. The company reported that it had increased its revenue by 21 percent, to $12.42 billion, with new income climbing 12.8 percent, to $1.62 billion.
Cognizant said it expects projects to ramp up in 2016 as the outlook for its health care and financial sectors are improving.
D'Souza's other compensation in 2015 included the use of an administrative assistant of the company for personal matters -- valued at $22,759 -- $21,000 of associated taxes related to those services and a $1,000 matching contribution to his 401(k) savings plan.
2. Mike Lawrie, CSC: $15.45M
Stock Award: $8.61M
Option Award: $3.26M
Bonus: $1.88M
Salary: $1.25M
Other Compensation: $451,000
The fiscal year for CSC, No. 8 on the CRN SP 500, ended April 3, 2015. The company’s full-year revenue declined by 6.3 percent, to $12.17 billion, while net income dropped 11.7 percent, to $664 million.
CSC spun off its North American public sector business in November 2015, which merged with U.S. government solution provider SRA to become CSRA. Lawrie remained in charge of CSC's global and commercial business, which retained the CSC moniker.
Other compensation for Lawrie included $362,000 for fuel, onboard catering and landing fees associated with his use of company aircraft; $54,000 for commuting expenses; $8,000 in matching 401(k) contributions; $2,000 in life insurance premiums; housing expenses; and an annual medical screening.
1. Pierre Nanterme, Accenture: $15.78M
Stock Award : $11.70M
Bonus : $2.99M
Salary : $1.01M
Other Compensation : $79,000
The fiscal year for Accenture, No. 2 on the CRN SP 500, ended Aug. 31. The company reported a 3 percent increase in revenue to $31 billion, thanks to digital services investments, as well as a 3 percent jump in net income, from $3.18 billion last year to $3.27 billion this year.
The company set its sights on boosting its already strong acquisition game in 2016, pledging to spend up to $1 billion extending its already lively M&A activities.
Nanterme was awarded a $3 million bonus for the Dublin-based company's success, which, according to Accenture's SEC filings, was above expectations.
Other compensation for Nanterme includes $43,000 for a car and driver, $20,000 for tax preparation and audit-related fees, life insurance premium payments of $11,000 and $7,000 for profit sharing mandated under French law.