Norwegian Cruise Line Holdings Ltd. (NCLH) stock fell 1.56% during trading on Monday, but this did not stop the Company from signing a New Employment Agreement with new/old CEO Frank J. Del Rio.
He happens to be the highest paid cruise executive, according to Cruise Law News. In a latest SEC filing reviewed by Idaho Reporter, it is said that Mr. Del Rio will receive an annual base salary of $1,800,000.
Furthermore, since $1.8 million is not enough he will receive other benefits:
Annual Bonus. Beginning with the 2021 fiscal year, Mr. Del Rio will be eligible for an annual bonus subject to the achievement of performance objectives established by the Compensation Committee of the Company in good faith consultation with Mr. Del Rio. Mr. Del Rio’s annual target bonus for each fiscal year during his term of employment will equal 200% of his base salary, and for fiscal years 2022 and 2023, the maximum annual bonus payable for outperformance will be 400% of his base salary. Sweet Lord!
Automobile and Personal Benefits. The New Employment Agreement entitles Mr. Del Rio to receive the same automobile and other personal benefits as under the Prior Employment Agreement.
Inducement Awards. In order to induce Mr. Del Rio to enter into the New Employment Agreement and continue as thrit President and CEO for an additional three years, Mr. Del Rio was granted a RSU award with a grant date fair value of $6,000,000 . This means , in order to keep that man at the same job they offered him $6M in stocks.
Mr. Del Rio is also entitled to an inducement cash award equal to $2,824,495 payable no later than December 31, 2020. So, in 3 months from now Mr. Del Rio is getting himself a $2.82 million cash stack.
Performance and Time-Based RSU Awards. The New Employment Agreement entitles Mr. Del Rio to annual RSU awards in each of 2021, 2022 and 2023 that have a grant date value of not less than $10,000,000. At least 60% of each such grant will be required to be subject to performance-based vesting requirements that will be determined by the Company’s Compensation Committee and the balance will be subject to time-based vesting requirements