Thanks to a busy week of mergers and acquisitions, a nice raise is in store for some local executives.
The top dogs at Media General entered into new employment agreements June 5 that lay out new salaries and bonuses once the company’s proposed combination with Tennessee-based New Young Broadcasting is sealed.
The two firms announced an all-stock deal June 6 to bring the private Nashville company’s 12 TV stations – including Richmond’s WRIC Channel 8 – into the Media General fold.
Media General disclosed the compensation deals for chief executive George Mahoney, CFO James Woodward, and vice presidents James Conschafter and John Cottingham in a Securities and Exchange Commission filing this week. The four men will continue in their roles after the merger is completed.
The terms hinge upon the closing of the deal, which must be approved by shareholders of Media General and the FCC.
Mahoney will see his base salary set at $625,000. That’s compared with $565,000 he received in 2012, according to the company’s proxy. Mahoney took over Jan. 1 as CEO. Woodward’s base will jump to $500,000 from $345,000. Mahoney and Woodward will each have three-year employment agreements.
Conschafter’s annual salary will be set at $450,000, up from $381,000 last year. Cottingham’s will jump to $430,000, up from $345,000. Conschafter and Cottingham will have two-year agreements and each will get a transaction bonus of $75,000, payable within 30 days of the New Young deal closing.
All four will be eligible for bonuses based on a percentage of their salaries: 75 percent for Mahoney, 45 percent for Woodward, and 36 percent each for Conschafter and Cottingham.
New Young shareholders would eventually own a majority stake of Media General following the deal. Should the deal close, the combined company would continue under the Media General name and keep its headquarters in Richmond at Media General’s home base on East Franklin Street.
Read more: A report from the Poynter Institute explains how much Warren Buffett’s Berkshire Hathaway stands to make off the deal.