How Much North Texas CEOs Earn

With net income at DFW middle-market companies up an average of 31 percent, executives are being rewarded with serious pay hikes.

It’s always fascinating to analyze the compensation packages of C-level executives in North Texas. Leaders of global corporations that are based in Dallas-Fort Worth attract widespread attention; D CEO focuses its compensation reporting on middle market companies, a powerful local economic force. Here, for the seventh straight year, we examine executive pay at these firms—and how the nature of CEO pay for these companies continues to change. As always, research is performed by Paradox Compensation Advisors, a Dallas-based consulting firm. 

This year, Paradox analyzed data on total compensation (base salary, annual bonuses, and long-term incentives such as stock options and stock awards) for 52 companies with 2014 revenue of $50 million to $1 billion. To qualify, the company’s CEO had to be in place for the full year (or sufficient information provided to project full-year pay). Because compensation is expected to be correlated with performance, research included annual revenue and net income, too.

Last year, we reported that 2013 median net income among midsize companies rose 12 percent and revenue grew by 11 percent. At the same time, the median overall total compensation increase for CEOs was 9 percent, raising median total compensation to $1,809,225. In 2014, midsize companies increased CEO compensation another 15 percent to a median total of about $2.1 million. Marsha Cameron, a senior partner with Paradox, observes that this is not unexpected in a year when net income among midsize companies rose 31 percent and revenue grew by 7 percent.

These statistics reflect increases in how midsize companies pay their CEOs, regardless of whether incumbents stayed in place. Of the 39 CEOs who remained in the job through both 2013 and 2014, total compensation grew by 21 percent, indicating that companies increased pay more for a sitting CEO than one brought in from the outside or promoted from within. 

Changes in CEO base salary, at 3 percent, don’t vary from pay increases for the average employee. The bulk of the growth in total compensation comes from a continuing rise in the value of long-term incentives, where the value of equity awards and other long-term incentives rose by 20 percent. Annual bonus awards also grew by 12 percent. Increasingly, midsize companies use defined performance criteria to evaluate the CEO’s performance, determine his or her bonus, and, at least in part, determine whether equity awards will vest. “Although total compensation certainly saw a significant hike, it is typically more performance-based than five to 10 years ago,” Cameron says.

As the data on the following pages reveal, total 2014 compensation, top to bottom, ranges from $26.6 million for La Quinta Holding’s Wayne Goldberg to $96,000 for William McManemin at Dorchester Minerals.   

Rank Company Name Executive Name Reported Salary Total Cash Incentives (Base+Bonus) Total Long term Incentives Total Reported Compensation
1 LA QUINTA HOLDINGS INC. Wayne B. Goldberg $675,890 $2,227,890 $24,360,884 $26,588,774
2 ASHFORD HOSPITALITY TRUST INC. Montgomery J. Bennett IV $800,000 $2,400,000 $3,981,934 $6,381,934
3 HOWARD HUGHES CORP. David R. Weinreb $1,000,000 $6,000,000 $0 $6,000,000
4 TUESDAY MORNING CORP. R. Michael Rouleau $535,986 $1,327,636 $3,874,350 $5,201,986
5 FELCOR LODGING TRUST INC. Richard A. Smith $764,909 $2,089,285 $2,906,247 $4,995,532
6 EAGLE MATERIALS INC. Steven R. Rowley $885,000 $1,965,460 $3,000,000 $4,965,460
7 DIODES INC. Keh-Shew Lu $548,000 $1,468,000 $3,488,000 $4,956,000
8 WESTWOOD HOLDINGS GROUP INC. Brian O. Casey $600,000 $2,594,401 $2,057,650 $4,652,051
9 FIRST CASH FINANCIAL SERVICES INC. Rick L. Wessel $992,000 $2,763,917 $1,497,000 $4,260,917
10 CAPITAL SENIOR LIVING CORP. Lawrence A. Cohen $725,232 $1,446,453 $2,630,000 $4,076,453
11 RSP PERMIAN INC. Steven Gray $458,750 $1,330,750 $2,528,669 $3,859,419
12 COMSTOCK RESOURCES INC. M. Jay Allison $802,000 $1,307,260 $2,444,401 $3,751,661
13 GREATBATCH INC. Thomas J. Hook $700,000 $1,214,080 $2,365,414 $3,579,494
14 REALPAGE INC. Stephen T. Winn $500,000 $500,000 $2,986,000 $3,486,000
15 DAVE & BUSTER’S ENTERTAINMENT INC. Stephen M. King $676,250 $1,784,058 $1,560,000 $3,344,058
16 HMS HOLDINGS CORP. William C. Lucia $650,000 $1,118,000 $2,149,987 $3,267,987
17 CYRUSONE INC. Gary J. Wojtaszek $615,577 $1,632,125 $1,500,000 $3,132,125
18 EXCO RESOURCES INC. Harold L. Hickey $750,000 $1,737,225 $1,365,629 $3,102,854
19 NEXSTAR BROADCASTING GROUP INC. Perry A. Sook $1,295,385 $2,995,385 $0 $2,995,385
20 TYLER TECHNOLOGIES INC. John S. Marr Jr. $488,000 $1,195,600 $1,639,414 $2,835,014
21 MATADOR RESOURCES CO. Joseph WM. Foran $750,000 $1,425,000 $1,222,159 $2,647,159
22 US CONCRETE INC. William J. Sandbrook $786,384 $1,691,418 $664,388 $2,355,806
23 CAPSTEAD MORTGAGE CORP Andrew F. Jacobs $750,000 $1,500,807 $821,702 $2,322,509
24 AZZ INC Thomas E. Ferguson $650,000 $1,318,720 $900,009 $2,218,729
25 GLOBAL POWER EQUIPMENT GROUP INC. Luis M. Ramírez $577,500 $1,060,793 $1,134,516 $2,195,309
26 CLUBCORP HOLDINGS INC. Eric L. Affeldt $650,000 $1,208,500 $942,214 $2,150,714
27 TEXAS CAPITAL BANCSHARES C. Keith Cargill $625,000 $2,004,291 $0 $2,004,291
28 U S LIME & MINERALS INC. Timothy W. Byrne $400,000 $1,070,000 $845,450 $1,915,450
29 GREEN BRICK PARTNERS INC. James R. Brickman $233,333 $466,666 $1,441,000 $1,907,666
30 A. H. BELO CORP. James M. Moroney III $600,000 $1,373,465 $487,495 $1,860,960
31 FIESTA RESTAURANT GROUP INC. Timothy P. Taft $525,000 $1,024,800 $750,006 $1,774,806
32 ATRION CORP. David A. Battat $600,000 $1,500,000 $220,668 $1,720,668
33 ADEPTUS HEALTH INC. Thomas S. Hall $587,884 $1,637,884 $0 $1,637,884
34 NL INDUSTRIES INC. Robert D. Graham $1,461,450 $1,461,450 $12,810 $1,474,260
35 INDEPENDENT BANK GROUP INC. David R. Brooks $650,000 $985,000 $300,025 $1,285,025
36 ZOE’S KITCHEN Kevin Miles $362,099 $589,061 $644,800 $1,233,861
37 SPEED COMMERCE Richard S Willis $450,000 $450,000 $610,620 $1,060,620
38 TRIUMPH BANCORP INC. Aaron P. Graft $385,000 $546,700 $485,407 $1,032,107
39 HALLMARK FINANCIAL SERVICES INC. Naveen Anand $494,385 $597,385 $415,001 $1,012,386
40 COMPX INTERNATIONAL INC. David A. Bowers $473,866 $973,866 $0 $973,866
41 LEGACYTEXAS FINANCIAL GROUP INC. Kevin J. Hanigan $549,450 $931,867 $0 $931,867
42 AFFIRMATIVE INSURANCE HOLDINGS INC. Michael J. McClure $650,000 $650,000 $224,737 $874,737
43 PMFG INC. Peter J. Burlage $425,000 $425,000 $425,002 $850,002
44 WILHELMINA INTERNATIONAL INC. Alex Vaickus $500,000 $500,000 $257,917 $757,917
45 MANNATECH INC. Robert A. Sinnott Ph.D $383,077 $690,577 $61,037 $751,614
46 CAMBIUM LEARNING GROUP John Campbell $368,173 $502,048 $128,541 $630,589
47 TANDY LEATHER FACTORY INC. Jon W. Thompson $225,000 $420,000 $84,000 $504,000
48 USMD HOLDINGS INC. John M. House M.D. $465,223 $465,223 $7,077 $472,300
49 DGSE COMPANIES INC. James D. Clem $325,000 $325,000 $99,688 $424,688
50 PFSWEB INC. Michael C. Willoughby $401,607 $401,607 $0 $401,607
51 DEL FRISCOS RESTAURANT GROUP INC. Mark S. Mednansky $400,000 $400,000 $0 $400,000
52 DORCHESTER MINERALS LP William Casey McManemin $96,000 $96,000 $0 $96,000

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