Pay rose for chief of Rouse Deering received $1.32 million in 1995

April 10, 1996|By Kevin L. McQuaid | Kevin L. McQuaid,SUN STAFF

Rouse Co. paid its new president and chief executive officer $1.32 million last year, compensation linked to the Columbia real estate concern's best financial performance in its 57-year history.

Anthony W. Deering's seven-figure 1995 financial package -- including forgiveness of $175,625 of a $2.3 million loan -- represented a 21 percent increase from 1994, according to a company proxy statement filed with the Securities and Exchange Commission.

Included in Mr. Deering's total compensation was a bonus of $520,313, equal to 83.25 percent of his base salary of $625,000, the proxy stated. His base salary, which had been $500,000 the year before, rose when he was elected chief executive in February 1995.

Mr. Deering, 51, was given the bonus based in part on Rouse's record earnings before taxes, interest and noncash charges of $108.4 million last year, a 14 percent increase from its 1994 performance.

"His performance is viewed against the performance of the company," said David L. Tripp, a Rouse vice president and its director of investor relations. "If the company hits or exceeds the financial targets set by the board of directors, then the bonus pool is reflective of that."

The maximum allowed under the company's 1995 bonus program was 90 percent of base salary. Other top executives' bonuses were capped at 69.4 percent of their base salaries.

Mr. Deering also controls restricted Rouse stock and stock options valued at year-end at $5.8 million.

Although 1995 proved to be the most lucrative in Mr. Deering's 23 years with the $4.7 billion developer, his total compensation isn't out of line with past Rouse pay for its top executives or the pay of leaders of similar companies.

In 1994, for instance, Rouse Chairman and then-Chief Executive Mathias J. DeVito received $1.3 million in total compensation, according to the SEC documents.

"Compared to the Taubman Cos. and the limited number of proxy statements I've seen this year, Tony's salary is very much in line with the industry," said Robert A. Frank, an Alex. Brown Inc. managing director who follows Rouse and a host of real estate investment trusts. "And Tony is taking the company in the direction that best maximizes its skill set."

Pub Date: 4/10/96

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