Comcast Drops Payout Plan For Founder Amid Criticism

February 14, 2008

Weeks after a major shareholder criticized Comcast Corp. for lavishing founder Ralph Roberts's estate with a multimillion-dollar benefit payable upon his death, the Philadelphia cable company is eliminating the benefit and setting his annual salary at $1 for the rest of his tenure at the company.

The 87-year-old Mr. Roberts, who was paid a salary of $1.85 million in 2007, will no longer be eligible for bonuses or stock options, the company said. It is unclear whether the changes affect other benefits Comcast pays Mr. Roberts. A clause in the company's proxy statement had allowed Mr. Roberts's wife or estate to receive his salary for five years after his death, a point that Chieftain Capital Management Inc. raised in calling for Chief Executive Officer Brian Roberts's ouster last month.

For the full Wall Street Journal article from February 14, 2008, click here.