In 2013, Anthony Petrello was the best-paid chief executive officer in the United States.
According to Equilar’s list of best-paid CEOs in 2013, the executive leader had over $68.2 million. This was an increase of more than 246% from what he made in 2012. However, in 2015, he is expected to lose the best-paid CEO’s position due to various remuneration changes at Nabors Industries where he serves as the CEO and Chairman.
The rise of Petrello to the top of the list is the fact that he holds three different positions at the company. He is the company’s chairman, president, and chief executive officer. This means that he receives three separate salaries, each of every position. Secondly, the good business environment has seen Nabors create high revenues, which have resulted in increased profitability. Although the company is not an oil producer, it is heavily involved in the industry as a contract driller and oil-field service company. As the world’s appetite for oil increases, the company’s services have been gaining demand. This information was originally mentioned on Market watch as highlighted in this link http://blogs.marketwatch.com/thetell/2014/05/27/why-nabors-ceo-wont-top-best-paid-bosses-list-again-in-2014/
Nabors is one of the largest companies in the provision of oil-related services. The company has over 5,000 active rigs in over 25 countries. According to some sources, the company’s fleet of drilling rigs is the largest worldwide. Most of these drilling rigs serve the shale-fracking sector. The industry has been growing rapidly owing to the decrease of oil supply from traditional.
Petrello joined Nabors in 1991 as a member of the board of directors. He managed to rise through the ladder to become the company’s president and CEO in 2011. He was appointed the company’s board chair in 2011. Nabors has been on a growth trajectory as indicated by the increase in the company’s share price by over 180 percent. Before joining Nabors, Anthony Petrello worked for Baker & McKenzie. At this law firm, he specialized in taxes. His broad expertise has been essential to Nabors, especially when the company was re-incorporated in Hamilton, Bermuda.
Despite enhancing the company’s growth, the CEO has received numerous criticisms from shareholders on his remuneration. Shareholders have introduced measures to limit how much the CEO will be able to receive in 2014. The severance payments of the executives have been limited to three times his salary and bonus. The shareholders have the power to elect new board members. These members must have at least 5 percent stake in the company.
Read more: Bloomberg