CVS CEO received compensation worth $17.4M in ‘08

Woonsocket, R.I. The president and CEO of CVS Caremark Corp. received a compensation package valued at $11.9 million in 2008, which represented a decrease of 2% from the previous year, according to an Associated Press calculation of figures disclosed in a regulatory filing.

The company paid Tom Ryan a salary of $1.4 million, an increase of 4% from 2007. However, Ryan's performance-based cash bonus fell 41%, compared with the prior year, to $4.6 million from $7.8 million. The value of his stock and options on the dates they were granted was $11 million in 2008, compared with $8 million in 2007, but the value of CVS shares is below the exercise price.

Ryan became president and CEO of the company in May 1998, prior to CVS’ purchase of Caremark, a pharmacy-benefits manager. Ryan was made chairman in November 2007.

For the year, the company's profit rose 22% to $3.2 billion, from $2.62 billion. Revenue grew 15%, to $87.47 billion.

The value of Ryan's all-other compensation fell 16% to $466,000, from $557,000, as the CEO cut back on his use of the corporate jet and a company car.