Cost-cutting Mosaic CEO collects $5.5 mln pay raise
By Rod Nickel
April 6 (Reuters) - U.S. fertilizer producer Mosaic Co boosted its chief executive officer's pay last year by more than $5 million as a reward for slashing costs and jobs, a regulatory filing shows.
Construction of excess potash capacity and fiercer competition have pressured the sector, and leading North American producers Mosaic, Potash Corp of Saskatchewan and Agrium Inc have chopped expenses.
Mosaic CEO Jim Prokopanko collected $5.3 million more in stock awards last year, taking the value of his pay package to $14.8 million, up $5.5 million, according to a filing last week.
Mosaic executives got shares as an incentive to save costs, spokesman Ben Pratt said.
Minnesota-based Mosaic, which has a $16.4 billion market cap, said in 2013 it would cut $500 million in operating costs over five years, including about 550 jobs. Prokopanko said on March 31 that the company was ahead of schedule in finding savings.
The recent filing said cost-cutting incentives "enhance our alignment of executive compensation with stockholder interests and will significantly benefit us and our stockholders by helping ensure that Mosaic remains a low-cost producer."
Mosaic's stock price and net earnings both slipped about 3 percent in 2014.
Shareholders will vote on Mosaic executive pay and the incentives at its May 14 annual meeting. Continued...