ACS former CEO received $753,130 in 2006

ACS former CEO received $753,130 in 2006

	Published : Tue, 01 May 2007 00:41 By : Agencies Print this Story

NEW YORK (AP) - Affiliated Computer Services Inc.'s former president and chief executive, Mark A. King, who stepped down in November for ethics code violations, received compensation valued by the information technology services company at $757,160 in 2006.

King and ACS' former chief financial officer Warren D. Edwards resigned after an investigation found they had manipulated grant dates for stock options in violation of the company's ethics code. ACS said both will continue with the company as an 'employee providing transitional services' through June.

The Dallas-based company paid King $687,316 in salary and $65,814 in other compensation including personal use of corporate aircraft, medical costs and insurance premiums.

The company said King did not receive any performance-based incentive compensation for 2006 or severance payment.

The Associated Press calculations of total pay include executives' salary, bonus, incentives, perks, above-market returns on deferred compensation, and the estimated value of stock options and awards granted during the year. The calculations don't include changes in the present value of pension benefits and may differ from totals supplied by companies.

The company said all King's unvested stock options were terminated as of his retirement, except for those that would have vested before Aug. 31, 2007, which will vest as scheduled. The exercise price of King's vested stock options were increased to the fair market value of the stock on the correct accounting date.

Lynn Blodgett, who replaced King as president and CEO, received compensation valued at $556,207, which consisted of $554,998 in salary and $1,209 in life insurance premiums.

ACS founder and Chairman Darwin Deason received compensation valued at $1.1 million in 2006, which consisted of a $845,447 salary and $258,986 in other compensation, including personal use of company aircraft and security systems and personal protection.

On April 23, Affiliated Computer said it is evaluating a $62 per share buyout offer from Darwin Deason and private equity fund Cerberus Capital Management LP. The offer was raised from a previous offer of $59.25.

The company said a special committee is evaluating strategic alternatives, including the buyout.

Affiliated Computer shares fell 56 cents Monday to close at $59.91 on the New York Stock Exchange. The stock, which has traded between $46.50 and $61.67 during the past 52 weeks, jumped 17 percent on news of the potential buyout.