We like to poke fun at the Times business section around here. Gret-gret and Stein don the clownsuits often enough that it sometimes feels too easy. So it was a nice relief to see Andrew Ross Sorkin and Eric Dash addressing the debate about executive pay without the hysterics of his colleagues. The Sorkin-Dash team point out that private equity is now luring some of the best and brightest corporate leaders away from public markets. And they get this especially blunt comment from Henry Silverman.
“There is no reason to be a public company anymore,” he said.
“You don’t need access to the public market,” because, he said, of the enormous amount of money sloshing around private equity and hedge funds.
Like Mr. Nardelli, Mr. Silverman of Cendant had been accused of being an imperial chief executive with an outsized pay package. He is estimated to have made $36.6 million in salary and bonus and reaped $223 million from exercising options between 1998 and 2002. And he will make $135 million more as a result of selling Realogy.
“Wherever I show up next, it will not be at a public company,” Mr. Silverman said.
Private Firms Lure Chief Executives With Top Pay [New York Times]