- 103 -
Meyer’s computations of a comparable executive’s compensation in
instances where the experts differ.
e. Range of Reasonable Compensation
Using their selection of comparable executives, each expert
developed a range of compensation he or she considered
reasonable. For each Retained Executive, Mr. Rosenbloom computed
a median of the compensation paid to the executives he deemed
comparable. He then chose a range of compensation he considered
reasonable, based on his assessment of the duties and
responsibilities of the Retained Executive compared with those of
the comparable executives. He considered reasonable compensation
to fall within a narrow range of compensation; in several cases
that narrow range contained the median figure, and in several
cases the range was less than the median. Thus, in several cases
Mr. Rosenbloom found that the maximum reasonable compensation for
a given Retained Executive was less than the median compensation
of the executives he had selected as comparable. Mr.
Rosenbloom’s limited view of what constitutes reasonable
compensation makes it appear that a substantial number of the
executives he deemed comparable executives were paid compensation
in excess of a reasonable amount, calling into question the
validity of the assumptions underlying his analysis. At the very
least Mr. Rosenbloom does not sufficiently explain his conclusion
that reasonable compensation for the Retained Executives was an
Page: Previous 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 NextLast modified: May 25, 2011