Goodyear CEO Gets $11.7 Million in 2006

Due mostly to the United Steelworkers' strike, Goodyear lost $330 million last year.

Keegan received a base salary of $1.13 million, a bonus of $2.24 million, equity awards valued at $220,800, and $8 million through Goodyear's executive performance plan for the period Jan. 1, 2004, through Dec. 31, 2006, according to the company's annual proxy filing with the Securities and Exchange Commission.

He also received other compensation worth $93,377. That includes $32,760 for a home security system installation and monitoring expenses, as well as the cost of an annual physical exam, personal use of company aircraft and annual dues for club memberships. Goodyear also gives Keegan up to two sets of tires per year.

The additional compensation also included $38,162 for premiums on life insurance policies that will be used to cover Goodyear's obligation to make a charitable donation Keegan has recommended be made following his death.

In 2006, the overall increase in base salaries for all Goodyear executives, excluding the CEO, was 3.1 percent. Keegan's was 4.5 percent.

Goodyear's stock fell 35 cents on Friday to close at $28.51, down from a 52-week high of $29.61, but well above the low of $9.75.

Keegan, 59, joined Goodyear on Oct. 1, 2000, from Eastman Kodak and became chairman July 1, 2003.

The Associated Press calculations of total pay include executives' salary, bonus, incentives, perks, above-market returns on deferred compensation and the estimated value of stock options and awards granted during the year. It may vary with totals the company reports.

Goodyear said its compensation committee compares total compensation levels for its five most highly compensated officers and 17 additional executives with survey data provided by Towers Perrin covering about 155 U.S. industrial companies with annual revenues of $10 billion or more.

The strike against the world's third biggest tire maker began Oct. 5 with more than 14,000 workers walked off the job. They returned to work Jan. 2.