New Juniper CEO Can Be Thankful for $14.5M

Rami Rahim's compensation package is smaller than his predecessor could have gotten, including performance incentives.

Mitch Wagner, Executive Editor, Light Reading

November 25, 2014

2 Min Read
New Juniper CEO Can Be Thankful for $14.5M

Juniper's directors recently voted to pay new CEO Rami Rahim up to $14.5 million, including performance incentives, after naming him to the top job following the abrupt, under-a-cloud resignation of his predecessor.

Rahim, a 17-year Juniper vet, gets $1 million base salary subject to annual review. He'll be eligible to participate in Juniper Networks Inc. (NYSE: JNPR)'s Executive Annual Bonus Plan for executive officers, with an annualized bonus target of 175% of base salary, for an additional $1.75 million. However, in 2014, the incentive will be based on 10 months with an annualized bonus target of 150% of base salary and two months at 175%, according to a Juniper SEC filing Monday.

Rahim also gets $5 million in shares at their November 1 value, vesting through 2019, with an additional $6.75 million equity awards in 2015.

Find out more about telecom appointments on Light Reading's jobs channel

Finally, he can collect up to $10,000 of expenses, subject to approval. That'll buy a lot of little bags of M&Ms, even at the ridiculous prices they charge in the hotel room minibar.

Rahim's predecessor, Shaygan Kheradpir, who lasted about a year on the job, was eligible for up to $34.8 million, although he almost certainly didn't collect most of that, since quite a lot of it was performance incentives -- for example, $15 million was an incentive for stock price improvement, according to a Juniper SEC filing

Kheradpir resigned early this month following a "review by the board of directors of his leadership and his conduct in connection with a particular negotiation with a customer." Kheradpir kicked off his less than one year in the hot seat with a revolt by activist investors, strategy review, job cuts, executive defections and a service provider capex crunch.

— Mitch Wagner, Circle me on Google+ Follow me on TwitterVisit my LinkedIn profileFollow me on Facebook, West Coast Bureau Chief, Light Reading. Got a tip about SDN or NFV? Send it to [email protected].

About the Author(s)

Mitch Wagner

Executive Editor, Light Reading

San Diego-based Mitch Wagner is many things. As well as being "our guy" on the West Coast (of the US, not Scotland, or anywhere else with indifferent meteorological conditions), he's a husband (to his wife), dissatisfied Democrat, American (so he could be President some day), nonobservant Jew, and science fiction fan. Not necessarily in that order.

He's also one half of a special duo, along with Minnie, who is the co-habitor of the West Coast Bureau and Light Reading's primary chewer of sticks, though she is not the only one on the team who regularly munches on bark.

Wagner, whose previous positions include Editor-in-Chief at Internet Evolution and Executive Editor at InformationWeek, will be responsible for tracking and reporting on developments in Silicon Valley and other US West Coast hotspots of communications technology innovation.

Beats: Software-defined networking (SDN), network functions virtualization (NFV), IP networking, and colored foods (such as 'green rice').

Subscribe and receive the latest news from the industry.
Join 62,000+ members. Yes it's completely free.

You May Also Like