Modest exit package for Sybase's Kertzman
When Mitchell Kertzman resigned from his co-chief executive post at database maker Sybase, he left with a modest severance package.
Kertzman, who left in November to join Network Computer as chief executive, received a severance package of $139,761, according to Sybase's filing with the Securities and Exchange Commission today.
But during 1998, Kertzman earned a base salary of $468,750 and received 1.15 million options--of which the majority were repriced options.
Kertzman, who received 250,000 new options, had 905,000 options repriced to 6.8750 to 19.25 a share from a range of 8.6250 to 29.3750. The options have a value of $3.76 million, based on a 5 percent appreciation.
Both Kertzman and co-CEO John Chen did not receive a bonus last year, because such targets as minimum operating profit margins were not reached, according to the filing.
Chen received a base salary and other compensation of $583,389. And he was granted 250,000 new options and 750,000 repriced options.
The options were repriced at 6.8750 from a range of 9.4060 to 14.6880. The company estimated the value of the options is $4.4 million, based on a 5 percent appreciation.
The company's stock has slid from around 10 a share last summer to as low as 5 last fall. It has regained some ground, however, and has reached as high as 8 in midday trading.
Last December, the company restructured its operations to form four divisions--mobile computing, Internet applications, enterprise computing, and business intelligence tools.
The changes were based on a new market focus that Sybase had started last year to revive the company.
Meanwhile, Sybase posted better than expected fourth-quarter results in January, due to lower expenses and slightly higher revenues.
Revenues climbed 4.2 percent to $232.5 million for the year, up from the previous year's figures. And profits, excluding one-time charges, reached $7.9 million, compared with a loss of $25.5 million a year ago.
(Kertzman is a director of CNET: The Computer Network.)