July 7, 2010
Study Update: Long-Term Incentive Trends from ’08-’10
– Ed Hauder, Exequity
As an update to our initial study released in March that compared ’09 and ’10 data, Exequity has now released an updated study that includes CEO LTI awards from ’08 to identify trends in LTI opportunity over the last three years. Overall, we found that 2010 CEO LTI award levels have essentially returned to 2008 levels.
At the median, total LTI value decreased slightly (-2%) from 2008 to 2010 relative to an equal decrease (-2%) in grant price. This study presents additional key findings, including LTI opportunity percent change by industry from 2008 to 2010, an updated 2009 vs. 2010 CEO LTI analysis by stock price change which includes companies granting LTI awards in March and April, and an updated in-the-money option analysis for 2008 and 2009 stock option awards.