Thain, currently the CEO of NYSE Euronext Inc., willreceive the bonus when he joins the company on December 1 on top of anannual salary of about $750,000, a sign-on equity award of 1.8 million Merrillstock options, and 500,000 restricted stock units, according to Business Week.
Under the agreement, Thain, whom Merrill chose last week tosucceed former Chairman and CEO Stanley O’Neal, will receive the stock optionsand restricted stock units with value and terms identical to the NYSE optionsand units he is forfeiting.
While Merrill’s board will determine Thain’s future bonuscompensation annually, he will not be entitled to any severance or pensionbenefits, nor to a change-in-control severance agreement or perks, other than acar and driver. He will be granted useof the company’s aircraft for business purposes, according to Business Week.