Influential Advisory Firm Advises Shareholders to Vote Against Zimmer CEO’s Pay

Institutional Shareholder Services reported a “pay-for-performance disconnect” regarding compensation paid to the Zimmer Holdings CEO David Dvorak and is recommending shareholders to vote against approving his executive compensation, according to a Wall Street Journal news report.

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The influential advisory firm reported Mr. Dvorak’s total compensation climbed more than 50 percent to $12 million last year, despite a 9.2 percent decline in Zimmer shares. Stock options awards and increases in the value of restricted stock were cited as the biggest factors behind his increased total compensation, according to the news report.

Zimmer fired back saying ISS “significantly overstates” Mr. Dvorak’s executive compensation. According to the medical device company, the CEO’s total compensation in 2010 clocked in at $9.6 million, and two other advisory firms have already supported a shareholder vote for the non-binding executive pay proposal, according to the news report.

Read the news report about Zimmer Holdings CEO David Dvorak’s compensation.

Read other coverage about Zimmer Holdings:

Zimmer Holdings Reports 3Q Net Sales at $965M, a 1.1% Decrease

Zimmer Holdings Acquires SoPlus Orthopaedic Surgical Power Tools

Zimmer Holdings Attracts Investor Attention

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