Struggling exercise bike maker Peloton convinced Barry McCarthy, former CFO of Netflix and Spotify, to come on board in February as chief executive officer with a $168 million benefits package, according to a proxy filing.
Peloton increased McCarthy’s initial annual salary of $357,692 when he came out of retirement to join the company, to $1 million in June, the filing shows. The remainder of his compensation is tied up in 8 million Peloton shares (PTON), which were trading at $7.78 Thursday.
The stock would need to rise to $38.77 before McCarthy can exercise those shares, the New York Post reports.
McCarthy earns 2,299 times more than Peloton’s median salary of $73,117, the Post calculates, and makes him one of the highest-paid CEOs in the U.S.
McCarthy is working to steer the company to break-even cash flow by the end of fiscal 2023, and maintains the bulk of the company’s restructuring is complete.
Peloton’s market valuation is currently $2.5 billion, down from its peak of $50 billion.
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