CEO is second-highest paid at Armstrong
BY TIM MEKEEL, Business Editor
The top executive at Armstrong World Industries in 2012 was not its top-paid executive.
President and Chief Executive Officer Matthew J. Espe was paid $4.7 million last year.
However, Frank J. Ready, executive vice president and floor products division CEO, was paid $4.8 million.
Armstrong disclosed the compensation figures in its annual proxy statement, released Wednesday.
Ready's pay surpassed Espe's because of a $1 million retention bonus and a $1 million rise in his pension value and deferred compensation earnings.
Those items fueled an 80.0 percent leap in pay for Ready, compared to his 2011 pay of $2.6 million.
Espe's pay actually dipped slightly -- 7.0 percent -- from $5.0 million in 2011.
That stemmed from a decrease in his "Management Achievement Plan" incentive to $627,000 from $990,000.
The rest of Espe's pay -- a $980,000 salary, $1.2 million in stock, $1.8 million in options -- was unchanged from 2011.
The proxy materials were released for the floors and ceilings manufacturer's annual meeting at 8 a.m. Friday, June 21.
The meeting will be held at the company's Columbia Avenue headquarters.
Shareholders will be asked to re-elect the 12-member board of directors and ratify KPMG as Armstrong's accounting firm.
The proxy details the pay of three other executives.
Thomas B. Mangas, senior vice president and chief financial officer, earned $3.0 million last year.
That was an increase of 50.6 percent from $2.0 million in 2011 because of $1 million more in stock options.
Victor D. Grizzle, executive vice president and building products division CEO, earned $1.7 million, down 17. 9 percent from 2011's $2.0 million.
Donald R. Maier, senior vice president for global operations excellence, earned $1.2 million in 2012, down 29.3 percent from $1.6 million the prior year.