New CEO Marissa Mayer cashing in over at Yahoo

It’s official. New Yahoo CEO Marissa Mayer is making serious bank at the struggling tech giant.

All Things D wrote this afternoon that Mayer’s take could reach at least $60 million. The LA Times Business section took a look at the same numbers and came up with a much larger valuation of $129 million if she stays at the company for at least five years.

Our read of the offer letter comes up with the same number as All Things D, although the number would be higher if future annual bonuses are on a similar scale as the 2012 bonus. (Dear LA Times: I have some “beach-adjacent” property in Mexico I would like to sell you…)

“The pay package was hotly debated by the board as to whether the high-profile exec was worth the huge amount,” reported All Things D. “While Mayer is considered a talented tech exec, a very strong decision-maker, adept at product innovation, some of the board raised concerns about her, too.”

The biggest kicker in her package, which both news sources pointed out, is the one-time retention bonus of $30 million.

We already wrote about what Mayer could mean to Yahoo, but what about this payout? Is she worth it?

Here’s the text of Yahoo’s offer letter to Mayer.

  • Knut

    Wow! This is truly an inspiration to pregnant women everywhere. We are incredibly pleased that Yahoo! has rewarded a pregnant female executive so generously and we will continue to use and recommend Yahoo!’s services.

  • guest

    Okay, when I wrote before that they’d likely taken good care of her financially, I wasn’t thinking quite that good. But I guess the retention bonus might not be far off the Google options she’s walking away from. Still, if she succeeds nobody is going to care how much she got paid.

  • Eelco

    Good for her, but I think something is wrong with the system that people who are the end of the day just managing stuff (she didn’t found, invent, take substantial risk) are making that kind of money. It’s just so out of proportion.