NEW YORK (Reuters) – Hewlett-Packard Co will pay its new chief executive Leo Apotheker an annual salary of $1.2 million, plus a signing bonus of $4 million to lead the technology powerhouse after a scandal toppled its last top executive.
Apotheker, the former chief executive of the German software company SAP, will also be granted 76,000 shares of restricted stock, according to an HP regulatory filing on Friday. Restrictions are due to be released on 50 percent of the shares on October 31, 2011.
Apotheker’s annual bonus will be at least 200 percent of his base salary, with a cap at 500 percent.
HP also said in the filing it would pay a $4.6 million relocation allowance to Apotheker. No exact figure was given for Apotheker’s severance package, but HP said it would not equal more than 2.99 times Apotheker’s base salary.
HP on Thursday named Apotheker to succeed Mark Hurd, who quit amid a scandal involving a female contractor.
(Reporting by Liana B. Baker; Editing by Derek Caney)