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Fri, May 01, 2015

United CEO Gets Hefty Pay Raise

Salary, Incentives And Stock Options Climb To $11.3 Million

United Airlines CEO Jeffery Smisek received salary and stock options amounting to $11.3 million in 2014, a 39 percent raise over the previous year.

Fortune magazine reports that the numbers were published by The Associated Press. The report shows United's net income doubled to $1.13 billion in 2014, which is about the same as Delta Airlines but less than American and Southwest.

Smisek's compensation package included $975,000 in salary, $7.7 million in stock options, $2.3 in "incentives," and about $300,000 in "other compensation."

The AP reported that U.S. airlines in general have seen record profits attributed to mergers which reduce competition and allow higher fares. That, coupled with lower fuel costs, have driven the bottom line up for the industry.

FMI: www.unitedcontinental.com

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