Chevron's (NYSE: CVX ) board of directors has approved a multimillion-dollar bonus for CEO J.S. Watson. Under the oil major's incentive plan, he will receive $3.48 million in cash for his labors.
In an SEC filing detailing its executive compensation, the company said it determined this bonus -- and others awarded Watson's fellow top managers -- by taking into account "Chevron's strong 2012 financial and operating performance, including the second highest earnings in Chevron's history, strong total shareholder return, [and] safety performance," among other factors.
The executives awarded cash bonuses include CFO P.E. Yarrington, who received just under $1.34 million.
In addition to the bonuses, Chevron also raised the salaries of several of those top managers. Leading this group was Watson, whose annual pay was increased by $100,000 to reach $1.8 million. The raises took effect April 1.