Culture

Inouye got bonus on Wed., severance on Thurs.

Tom Krazit Former Staff writer, CNET News

Tom Krazit writes about the ever-expanding world of Google, as the most prominent company on the Internet defends its search juggernaut while expanding into nearly anything it thinks possible. He has previously written about Apple, the traditional PC industry, and chip companies. E-mail Tom.

See full bio

Tom Krazit

Feb. 13, 2006 4:22 p.m. PT

One day before he left the company, Gateway paid Wayne Inouye his 2005 bonus, the company revealed Monday in a filing with the Securities and Exchange Commission.

The former chief executive received a bonus of $225,000 for the year, in which Gateway posted its first profitable quarter in years followed closely by its second and third. But that most recent period led to his resignation last Thursday as head of Gateway, after the company posted disappointing results from its professional and direct businesses during the fourth quarter.

As outlined in the terms of his severance package, Inouye will also receive his salary for 2006 as well as a prorated share of his first-quarter bonus for the current operating period. In 2004, he was actually eligible for a bonus of up to four times his base salary of $720,000, according to his employment agreement, but his bonus target for 2005 won't be released until Gateway's next proxy statement filing.