When Ford Executive Chairman Bill Ford Jr. said he would work for free until the company was profitable, he really meant it. In fact, since 2005 he has foregone his salary and bonus payments, which are estimated to be worth somewhere in excess of $25-$33 million.
However, following Ford’s announcement of a $2.6 billion second-quarter profit last month, its fifth-straight quarterly profit, the automaker has announced that Bill Ford Jr. will finally get paid. Ford Jr. is to receive $4 million in salary and in stock options with a current value of $11 million to $12 million. The total represents pay he has earned over the last two years.
Revealed in an email sent to Ford employees and obtained by The Associated Press, Ford Jr. said: "The ongoing success of Ford Motor Company is my life's work and I am fully confident we are on track for sustained profitable growth through our commitment to building great products, a strong business and a better world."
This latest news is just another sign of Ford’s strong progress, brought about under the guidance of CEO Alan Mulally. Interestingly, Bill Ford Jr. first stepped aside as CEO and hired Mulally to take over the reins just one year after he decided to stop accepting pay.
With his new pay, Ford Jr. plans to pay back some loans he took out to originally purchase shares in Ford, and he also plans to donate $1 million to a charity providing scholarship funds for the children of Blue Oval employees.