8-K Watch: Yahoo CEO Bartz Gets $1 Million Salary — But Stands To Earn Many Times That

Yahoo’s new CEO, Carol Bartz, will be paid an annual base salary of $1 million, according to an 8-K filing with the SEC. Bartz’s four-year contract, dated Jan. 13, also makes her eligible for an annual target bonus of 200 percent of base pay, or $2 million, which will be based on her performance and ultimately determined by the board. If her performance is deemed particularly strong, she stands to get a maximum of two times the target amount, meaning she could get $4 million in bonuses. Her predecessor, Jerry Yang, had been paid a base salary of $1 a year, while Sue Decker, Yahoo’s soon-to-be ex president, got bumped up to $850,000 from $500,000, as Tech Trader Daily: Eric Savitz took out his calculator and made a few rosy assumptions. In all, he suggests that Bartz stands to make a grand total of $40.75 million. How? Suppose the stock goes from $12 to $18. So assume she