Prepaid Card Holdings said today that CEO Bruce Berman will forego his salary for 2008 and instead keep that money in the company to increase expenditures on marketing and fullfillment.
Under terms of his pay package, Berman would have been eligible to receive a monthly salary of $24,791.
“We developed our prepaid card expansion plan in 2007. Now in 2008, the demand for the company’s prepaid product is much greater than we expected. Increased demand means increased marketing and fulfillment costs. So I decided I would rather see $25,000 a month stay in the company and go towards marketing and fulfillment efforts,” Berman said in a statement.
“Often today’s CEOs have to renegotiate contracts with others because situations evolve and change. I have repeatedly told my shareholders that I am focused on shareholder value. Now I am further demonstrating my practice of protecting shareholder value by renegotiating my own contract to the company’s benefit.”