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PolarityTE: $13.7 million in CEO compensation
PolarityTE is “a biotechnology company developing and commercializing regenerative tissue products and biomaterials.” As of March 31, the company had $39.5 million in cash on hand. In 2018, former CEO Denver Lough was paid $13,714,337 in total compensation, including a bonus of $1,010,000. Former CFO Paul Mann’s total compensation was even bigger, $13,862,967. The company also paid former COO Eric Swanson $4,525,587.
On April 12, the company received a $3.6 million forgivable loan from the Paycheck Protection Program.
The company announced that it would cut salaries for its current executives (and all at-will employees) by 10%. But this will have little impact on their total compensation, which is mostly conveyed through stock grants and options.
But on April 16, four days after the loan, the company awarded its current COO, Richard Hague, a $165,000 cash bonus and 115,000 stock units. The value of the cash bonus, not to mention the stock grant, was many times larger than Hague’s salary reduction. On the same day, Chief Counsel Cameron Hoyler received a $125,000 bonus and 100,000 stock units. The current CEO, David Seaburg, received 315,000 stock units.