Arbitron Sets Senior Deals as Merger Looms

With the planned acquisition by Nielsen approaching, Arbitron has set out details of remuneration packages for its senior execs including recently appointed President and CEO Sean Creamer.

A form 8-K filed with the SEC said Arbitron's Compensation and Human Resources Committee had approved its 2013 non-equity incentive plan for executive officers, payable in early 2014. Creamer, the radio ratings giant's former EVP COO who replaced Bill Kerr as President and CEO from January 1st, gets stock worth around 250% of his annual salary - set at $580,000 for 2013 - if he stays for three years.

Creamer also stands to earn a cash award of up to twice salary if the company reaches certain targets including a return on invested capital above 12% for the calendar year. The above assumes of course that he stays in position on completion of the merger - a severance deal or new contract would mean a renegotiation.

Target-based cash awards for other senior execs are between 50 and 60% of their 2013 base salary, and stock-based LTI (long-term incentive) plans between 50 and 150%.

It's just over a month since Nielsen and Arbitron announced they had voluntarily agreed to provide the FTC with more time to review the proposed takeover. Announcing a new mobile brand resonance tool within the company's Brand Effect product suite last week, Nielsen's President, Global Product Leadership Steve Hasker took the opportunity to talk up the merger, telling investors Arbitron's radio data would help it cover another two hours of consumers' time each day - emphasizing the company's determination to cover all media consumption except print.

Web sites: www.nielsen.com and www.arbitron.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.

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