Is This CEO Worth $25 Million?

In the video below, Motley Fool financial analyst David Hanson tells investors about a busy week for financial statements this week and, in particular, takes a look at Annaly Capital's (NYSE: NLY  ) proxy statement, in which the company disclosed that the total payment for Annaly's CEO Wellington Denahan for 2012 would be over $25 million. Is she really worth all that money to the company and its shareholders? David gives investors his take.

There’s no question that Annaly Capital’s double-digit dividend is eye-catching. But can investors count on that payout sticking around? With the Federal Reserve keeping interest rates at historically low levels, Annaly has had to scramble to defend its bottom line. In The Motley Fool’s premium research report on Annaly, senior analysts Ilan Moscovitz and Matt Koppenheffer uncover the key challenges the company faces, and divulge three reasons investors may consider buying it. Simply click here now to claim your copy today!


Read/Post Comments (7) | Recommend This Article (1)

Comments from our Foolish Readers

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  • Report this Comment On March 22, 2013, at 6:30 PM, notnow1937 wrote:

    Isn't amazing how many senior management in the corporate world think that the business they are in is their private piggy bank? Our neighbor's son, once he married to the founders daughter of COPART became president of the company. The last time I saw them the boy was being paid eleven million dollars. It's hard to imagine how a high school diploma and a couple of years at a local state college could be so valuable.

  • Report this Comment On March 22, 2013, at 6:51 PM, dbtheonly wrote:

    Not...

    The Son made his money the old-fashioned way- he married it.

  • Report this Comment On March 22, 2013, at 10:48 PM, lindalou14 wrote:

    AFTER REDUCING THE LAST QUARTERLY DIVIDEND, & LOSING $ HOW CAN SHE HONESTLY SAY THAT SHE DESERVED HER PAYCHECK ? I AM A SHAREHOLDER OF ANNALY SHOCK & WILL VOTE AGAINST HER SALARY & ANY PROPOSED BONUS.

  • Report this Comment On March 23, 2013, at 10:45 AM, techy46 wrote:

    I've owned Annaly off and on for the last 4 years usually buying it between $15-16 PS and selling over $17 plus collecting over 10% dividends. It you want to blame someone for Annaly's dividend drop and subsequent PS decline then you can write the FED about QE 3-4. Annaly's done a good job playing the FED's game and the CEO's pay is not an issue with me.

  • Report this Comment On March 23, 2013, at 10:46 AM, techy46 wrote:

    PS Let's discuss Jamie Dimon's pay sometime?

  • Report this Comment On March 23, 2013, at 10:13 PM, MiserblOF wrote:

    No CEO on the face of the planet is worth $25 Million. It's not like they require any rare skills like hitting a curveball or doing brain surgery. This is a symptom of a society gone mad, and it starts with the tax code.

  • Report this Comment On March 24, 2013, at 12:05 AM, marc5477 wrote:

    I think if you create a company from the ground up then you should be able to dictate your own pay. Certainly, you earned it. However a hired executive should never make more than a mil or two. None of them did anything worthy of more. They just happened to be in the right place at the right time to make an impact. That doesnt mean that their past is noteworthy nor worth the price. This is what happens when funds own our companies. They will put their buddies into office so that they can do the same later somewhere else.

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