Keep Working While Collecting Double Payments

Enticing Baby Boomer executives to delay retirement can result in a large incentive bonus.

A deal by Countrywide Financial Corp., based in Calabasas, CA, gives up to $10 million paid over the next three years calculated from the pension income chairman and CEO Angelo R. Mozilo would have received had he retired.  The agreement will keep him in his working role through December 31, 2009.

"This is the ultimate in CEO moxie--a CEO demanding that in addition to being paid for his service, he gets reimbursed for the retirement income that he would have received if he were retired," Patrick McGurn, executive vice president of Institutional Shareholder Services, told the Los Angeles Times.

In a statement issued by the organization, Michael Dougherty, lead director, said Mozilo "has been the driving force behind Countrywide's extraordinary growth and success, and we are delighted that he will be continuing in that role."

Source: Human Resource Executive, January 2007