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Liggins Scores $1.5 Million Bonus
3-11-13
On the heels of CFO Peter Thompson and Chief Administrative Officer Linda Vilardo receiving bonuses of $250K, last night Radio One announced CEO Alfred Liggins will receive a 2012 bonus of $1.5 million dollars and founder Catherine Hughes will receive a bonus of $500K. Back in June of 2012, in a memo to Radio One employees, Liggins postponed merit raises stating "I need to ensure that our success is sustained and that we are properly positioned financially before increasing our fixed costs."
The Radio One compensation committee decided to award Hughes $500K because of her "strategic leadership, guidance, and promotion of the company." And she has been actively involved in the sales activities of One Solution, the Company’s national sales platform. "The Compensation Committee determined that the Founder has been an integral part of the One Solution sales team and her efforts have resulted in significant advertising commitments and revenue generation."
For Liggins to achieve his $1.5 million bonus, the committee considered the radio division’s 2012 operating performance versus its 2012 business plan. "In this regard, the compensation committee noted that the radio division had met its EBITDA plan for the calendar year-ended December 31, 2012." The committee also noted that for Q4 2012, core radio revenues were up by 11.0% and the company outperformed the markets in which it operates by 820 basis points leading to revenues being up 7.0% for calendar year 2012 versus a 0.9% increase in revenues in the markets in which the Company operates. At TV One, the committee noted that TV One’s revenues were up 8% and the division’s EBITDA increased to approximately $40 million. And at Interactive One, the committee noted that the business generated approximately $19.9 million in net revenue for the year ended December 31, 2012, compared to approximately $17.5 million during the same period in 2011, an increase of 13.7%. However, the Compensation Committee also noted that the internet business underperformed with respect to budgeted revenue and EBITDA goals.
You can read the full SEC Radio One filing HERE
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