Del Rio denied payout

[Got2Cruise]

This article from Miami Herald was on my Apple Newsfeed. I took a screenshot, I couldn’t provide direct link. I’m sure someone knows how. 
 

Good for the NCL shareholders!!!!

 

[Pcardad]

It is a non-binding vote.

[Got2Cruise]

8 minutes ago, Pcardad said:

It is a non-binding vote.

So he’s still getting the money? 🙄 

[Pcardad]

9 minutes ago, Got2Cruise said:

So he’s still getting the money? 🙄 

He's got a contract.

 

I might be the only person who thinks he earned it - he is almost solely responsible for jump starting the cruise industry and forcing the CDC to back down.

[Wendy The Wanderer]

Earned a $36 million "bonus" during this crisis?  The optics of that are very, very bad.  He gets compensated quite fairly already, give me a break!

[ronrick1943]

2 hours ago, Pcardad said:

He's got a contract.

 

I might be the only person who thinks he earned it - he is almost solely responsible for jump starting the cruise industry and forcing the CDC to back down.

He had his press conference, but it wasn't just him that got the CDC to move.  You have a lot of other Cruise Companies also doing the work-not just him.

[Got2Cruise]

2 hours ago, Wendy The Wanderer said:

Earned a $36 million "bonus" during this crisis?  The optics of that are very, very bad.  He gets compensated quite fairly already, give me a break!

My thoughts exactly. Why should he get a penny before the consumers? 

[Pcardad]

This is helpful...

 

https://www.cruiseindustrynews.com/cruise-news/24636-36-4-million-for-norwegian-cruise-ceo-in-2020-plus-10-million-more.html#:~:text="During 2020%2C we paid in,through to December 31%2C 2021.

 

It describes total compensation and explains how it came about, what triggered it, etc. 

 

Bottom line is that he had a contract and previous year's goals triggered stock options in 2020.

 

He got paid because he fulfilled his portion of his contract. If you disagree with his compensation, you should be upset with the parties who offered it during contract negotiations.

 

Not sure what you mean about the consumers. I am not aware of any consumers who were stiffed by Regent.

[Got2Cruise]

1 hour ago, Pcardad said:

This is helpful...

 

https://www.cruiseindustrynews.com/cruise-news/24636-36-4-million-for-norwegian-cruise-ceo-in-2020-plus-10-million-more.html#:~:text="During 2020%2C we paid in,through to December 31%2C 2021.

 

It describes total compensation and explains how it came about, what triggered it, etc. 

 

Bottom line is that he had a contract and previous year's goals triggered stock options in 2020.

 

He got paid because he fulfilled his portion of his contract. If you disagree with his compensation, you should be upset with the parties who offered it during contract negotiations.

 

Not sure what you mean about the consumers. I am not aware of any consumers who were stiffed by Regent.

Regent has not fulfilled any cruises yet have they? Del Rio gets his cash whether Regent fulfills the cruises or not. How can Del Rio cry that the cruiselines will go bankrupt but then turn around and collect his bonus? Where is the money for his bonus coming from? 

[Pcardad]

30 minutes ago, Got2Cruise said:

Regent has not fulfilled any cruises yet have they? Del Rio gets his cash whether Regent fulfills the cruises or not. How can Del Rio cry that the cruiselines will go bankrupt but then turn around and collect his bonus? Where is the money for his bonus coming from? 

Read the article. Stock options because of PAST performance - not current performance.

[mikenbob]

Why are folks so fixated on how Frank Del Rio is paid anyway? He is the senior executive of a major cruise line and the Compensation Committee of the Board of Directors decides what they think his service is worth to the corporation. If you are a shareholder, vote accordingly. If you are a passenger, his compensation is somewhat irrelevant to your cruise experience.

[Dwtlion]

+1

 

[giustot]

Your company loses $4 billion and your pay is doubled to $36 million, and some people actually find ways to justify it. It's important to realize just how bad this looks.

 

How do you explain this to the NCL workers who were laid off or whose hours and pay were cut, not to mention the crew members who have had no pay for a year?

 

It may be legal, but NCLH is going to have to live with the consequences of this pay raise.

 

As soon as the pandemic started, the CEO of the company where I used to work, Disney, cut his own salary 50%.

 

Tom.

[Pcardad]

If you read the article, you will see all senior management took pay cuts.

 

Bonuses are paid for prior year's work or goals.

 

I have spoken to many, many employees - I do so daily - they love this guy!

 

There will be no negative consequences. A few people might choose to sail elsewhere, a few will complain on the forums, perhaps a director will lose a bid for re-election...but that's it. 

 

I agree - perhaps he should donate $10,000,000 to a crew fund for better optics but if Wall Street does see an impact then there probably will be none at all.

Edited May 30, 2021 by Pcardad

[mj_holiday]

If I remember correctly, at the beginning of the pandemic FDR identified how much money the corporation would need to ride out the pandemic, and how many months it would be good for.  I saw that as doing what a CEO is suppose to do.  The part of his salary that were stock rewards won't be worth much if he didn't do his job in getting NCLC back sailing.

 

It was because he had a plan (we saw part of it in the raising of capital) that when our cruises were canceled we felt comfortable in moving the deposits to another RSSC cruise.

[ChucktownSteve]

Pcardad, you always have a good perspective on things.  I'm sure his bonus post covid will be reflective as well.  I have never concerned myself with how much someone is compensated unless it affects my personal bottom line.  All I know is I am not qualified nor would I want to do what he does if I were.  It takes special people to do what they do.

[rallydave]

On 5/29/2021 at 4:06 PM, Pcardad said:

This is helpful...

 

https://www.cruiseindustrynews.com/cruise-news/24636-36-4-million-for-norwegian-cruise-ceo-in-2020-plus-10-million-more.html#:~:text="During 2020%2C we paid in,through to December 31%2C 2021.

 

It describes total compensation and explains how it came about, what triggered it, etc. 

 

Bottom line is that he had a contract and previous year's goals triggered stock options in 2020.

 

He got paid because he fulfilled his portion of his contract. If you disagree with his compensation, you should be upset with the parties who offered it during contract negotiations.

 

Not sure what you mean about the consumers. I am not aware of any consumers who were stiffed by Regent.

While depending on the definition of being stiffed in actuality every consumer paying for a Regent cruise is partially paying a portion of the increased compensation of the executives. 
 

So perhapoed not stuffed but for sure paying more for their cruises to fund thes huge payouts. 

[WesW]

Contrary to what another poster in this thread said, Richard Fain of Royal Carribbean according to the owner of our Travel AGency (top seller of luxury brands, #1 seller of Tauck Worldwide since Tauck's inception, and #2 seller of Viking River/Ocean) Richard Fain was the key leader among cruise CEO's in Florida during Covid--not FDR.  

 

Concur strongly with giustot and what he posted:  It's important to realize just how bad this looks. (ie. FDR getting this bonus).

 

Am incredulous that FDR's Public Relations team let this happen.

Edited June 1, 2021 by WesW

[Got2Cruise]

On 5/29/2021 at 10:14 PM, mikenbob said:

Why are folks so fixated on how Frank Del Rio is paid anyway? He is the senior executive of a major cruise line and the Compensation Committee of the Board of Directors decides what they think his service is worth to the corporation. If you are a shareholder, vote accordingly. If you are a passenger, his compensation is somewhat irrelevant to your cruise experience.

The shareholders voted. He’s still getting paid. Also disagree that his compensation is irrelevant to the cruise experience. Corners are cut. The cash has to come from somewhere. Already there are posts about the quality and variety of the included excursions. 

[mrlevin]

I have been staying away from this topic as most on this site know my opinion of FdR; however, with Silversea's announcement that they are going to start Alaska cruises in July, the lack of any Regent cruises until September and then only (except the first) European open jaw trips is quite noticeable.  We know a couple dozen Regent cruisers that are taking Crystal cruises in July.  Seabourn is also starting from Barbados in July.  That means that Regent is the only luxury line catering to Americans that will not be sailing in North America this summer.  

 

So, where is FdR earning his money?  Oh, must be those cruises from Montego Bay that he sold; wait, then he cancelled them.  And what is happening with Regatta and Nautica?  All the other O ships have reopening schedules so they cancelled all the existing itineraries before the start up; however, with Regatta and Nautica they don't know when they will start so they haven't cancelled anything past September.  So, why does FdR continue to get the big bucks?

Edited June 1, 2021 by mrlevin
typo

[DeepFreeze63]

"So, why does FdR continue to get the big bucks?

Edited 1 hour ago by mrlevin?"

 

Amen, Amen
 

[fizzy]

What I see as historic is that interesting topics such as this are now able to be intelligently discussed despite differing opinions without the thread getting hacked up and closed.

[pingpong1]

25 minutes ago, fizzy said:

What I see as historic is that interesting topics such as this are now able to be intelligently discussed despite differing opinions without the thread getting hacked up and closed.

An Outstanding Observation!  😜

[Pcardad]

Who has the energy to argue on the internet...this isn't the Carnival forum. 😉

 

[rallydave]

And we all know the reason for the civility.