How Much Does The CEO Of Kellogg's Make? - Salary Revealed

How much does the CEO of Kellogg's make?

The CEO of Kellogg's, Steven Cahillane, made a total compensation of $11.6 million in 2021. This includes a base salary of $1.1 million, a bonus of $2.5 million, stock awards of $6.6 million, and other compensation of $1.4 million.

Cahillane's compensation is in line with other CEOs of large food companies. For example, the CEO of PepsiCo, Ramon Laguarta, made a total compensation of $17.9 million in 2021, and the CEO of Mondelez International, Dirk Van de Put, made a total compensation of $16.7 million.

The CEO of Kellogg's is responsible for leading the company's global operations, which include the production and sale of cereal, snacks, and other food products. Kellogg's is one of the world's largest food companies, with annual sales of over $13 billion.

Cahillane has been the CEO of Kellogg's since 2017. Prior to that, he was the CEO of Nature's Path Foods, a leading organic food company.

Cahillane is a graduate of Harvard Business School and the University of Notre Dame. He is married and has three children.

How much does the CEO of Kellogg's make?

The CEO of Kellogg's is responsible for leading the company's global operations, which include the production and sale of cereal, snacks, and other food products. Kellogg's is one of the world's largest food companies, with annual sales of over $13 billion.

• Salary: $1.1 million
• Bonus: $2.5 million
• Stock awards: $6.6 million
• Other compensation: $1.4 million
• Total compensation: $11.6 million

The CEO of Kellogg's is compensated in line with other CEOs of large food companies. For example, the CEO of PepsiCo made a total compensation of $17.9 million in 2021, and the CEO of Mondelez International made a total compensation of $16.7 million.

1. Salary

The salary of $1.1 million is a significant component of the total compensation of $11.6 million that the CEO of Kellogg's makes. This salary is in line with the salaries of other CEOs of large food companies, such as PepsiCo and Mondelez International.

The salary of the CEO of Kellogg's is important because it reflects the value that the company places on its leader. The CEO is responsible for leading the company's global operations and making decisions that affect the company's profitability and growth. The salary is also a reflection of the CEO's experience and expertise.

Understanding the connection between the salary of $1.1 million and the total compensation of $11.6 million that the CEO of Kellogg's makes is important for several reasons. First, it provides insights into the compensation practices of large food companies. Second, it highlights the importance of the CEO's role within the company. Third, it can help investors make informed decisions about investing in Kellogg's.

2. Bonus

The bonus of $2.5 million is a significant component of the total compensation of $11.6 million that the CEO of Kellogg's makes. This bonus is typically awarded based on the company's performance over the past year, as well as the CEO's individual performance.

The bonus is important for several reasons. First, it provides an incentive for the CEO to perform well. Second, it rewards the CEO for their contributions to the company's success. Third, it helps to retain the CEO and other top executives.

Understanding the connection between the bonus of $2.5 million and the total compensation of $11.6 million that the CEO of Kellogg's makes is important for several reasons. First, it provides insights into the compensation practices of large food companies. Second, it highlights the importance of the CEO's role within the company. Third, it can help investors make informed decisions about investing in Kellogg's.

3. Stock awards

Stock awards are a significant component of the total compensation of $11.6 million that the CEO of Kellogg's makes. These awards are typically granted in the form of restricted stock units (RSUs), which vest over a period of time. RSUs are essentially a promise from the company to give the CEO a certain number of shares of stock at a future date, regardless of the stock's price at that time.

• Incentive: Stock awards provide an incentive for the CEO to perform well, as the value of the awards is tied to the company's stock price. If the CEO helps to increase the company's stock price, they will also see the value of their stock awards increase.
• Retention: Stock awards can also help to retain the CEO and other top executives, as they provide a financial incentive to stay with the company. If the CEO leaves the company, they will forfeit their unvested stock awards.
• Ownership: Stock awards give the CEO a sense of ownership in the company, as they are now a shareholder. This can help to align the CEO's interests with the interests of the company's shareholders.
• Risk: Stock awards also come with some risk, as the value of the awards is tied to the company's stock price. If the company's stock price declines, the value of the awards will also decline.

Understanding the connection between stock awards and the total compensation of the CEO of Kellogg's is important for several reasons. First, it provides insights into the compensation practices of large food companies. Second, it highlights the importance of the CEO's role within the company. Third, it can help investors make informed decisions about investing in Kellogg's.

4. Other compensation

Other compensation can include a variety of benefits and perks, such as health insurance, life insurance, disability insurance, retirement benefits, and paid time off. These benefits are important because they provide the CEO with financial security and peace of mind.

For example, health insurance can help the CEO pay for medical expenses, life insurance can provide financial support to the CEO's family in the event of their death, and disability insurance can provide income to the CEO if they are unable to work due to a disability.

Understanding the connection between other compensation and how much the CEO of Kellogg's makes is important for several reasons. First, it provides insights into the compensation practices of large food companies. Second, it highlights the importance of the CEO's role within the company. Third, it can help investors make informed decisions about investing in Kellogg's.

5. Total compensation

The total compensation of $11.6 million that the CEO of Kellogg's makes is a significant figure that reflects the value that the company places on its leader. This compensation is comprised of salary, bonus, stock awards, and other benefits, all of which are important components of the CEO's overall pay package.

The salary of $1.1 million is a fixed amount that the CEO receives each year, regardless of the company's performance. The bonus of $2.5 million is a variable amount that is based on the company's performance over the past year, as well as the CEO's individual performance. Stock awards are a long-term incentive that can provide the CEO with a significant financial windfall if the company's stock price increases. Other benefits, such as health insurance, life insurance, and retirement benefits, provide the CEO with financial security and peace of mind.

Understanding the connection between total compensation and how much the CEO of Kellogg's makes is important for several reasons. First, it provides insights into the compensation practices of large food companies. Second, it highlights the importance of the CEO's role within the company. Third, it can help investors make informed decisions about investing in Kellogg's.

FAQs

This section addresses frequently asked questions (FAQs) related to the compensation of the CEO of Kellogg's, providing concise and informative answers.

Question 1: What is the total compensation of the CEO of Kellogg's?

Answer: As of 2021, the CEO of Kellogg's, Steven Cahillane, received a total compensation of $11.6 million, comprising salary, bonus, stock awards, and other benefits.

Question 2: How does the CEO's compensation compare to other CEOs in the food industry?

Answer: The CEO of Kellogg's is compensated in line with other CEOs of large food companies, such as PepsiCo and Mondelez International.

Question 3: What is the purpose of stock awards in the CEO's compensation package?

Answer: Stock awards incentivize the CEO to perform well and align their interests with those of shareholders, as the value of the awards is tied to the company's stock price.

Question 4: What are some of the benefits included in the CEO's compensation package?

Answer: The CEO of Kellogg's receives various benefits, including health insurance, life insurance, disability insurance, retirement benefits, and paid time off, which provide financial security and peace of mind.

Question 5: How is the CEO's bonus determined?

Answer: The bonus is typically based on the company's performance over the past year, as well as the CEO's individual performance.

Summary: The CEO of Kellogg's receives a comprehensive compensation package that reflects their leadership role and the company's performance. The compensation is structured to incentivize strong performance, align interests with shareholders, and provide financial security.

Conclusion

The CEO of Kellogg's holds a position of significant responsibility and influence, leading a global food company with annual sales exceeding $13 billion. Their compensation, totaling $11.6 million in 2021, comprises salary, bonus, stock awards, and other benefits. This compensation structure aligns with industry norms and reflects the CEO's contributions to the company's success.

Understanding the CEO's compensation provides insights into executive remuneration practices, emphasizes the critical role of leadership in driving corporate performance, and assists investors in making informed decisions. As Kellogg's continues to navigate the evolving food industry landscape, the CEO's compensation will likely remain a topic of interest, reflecting the company's commitment to attracting and retaining top talent.