Fashiontribes Daily

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Lesley Scott

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The latest trends & topics - and everything else new & noteworthy - in the world of fashion & lifestyle.

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Fashion CEOs Rake in the Ca$h Big Time

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Instead of long term incentives, the must-have financial accessory of the well paid fashion exec is a decidedly non-svelte bonus. The winner? Ralph Lauren, who raked in a cool $15 million on top of his $1 million salary for his executive prowess. THE TOP 10 BONUS BONANZAS: 1. RALPH LAUREN, Chairman and CEO, Polo Ralph Lauren Corp. 2005 salary: $1 million Bonus: $15 million WHY: Profits at Polo Ralph Lauren rose a heady 62% last year, due mostly to licensing sales in shoes & bags. "Demand for our luxury products around the world is accelerating," Lauren told WWD earlier in the year. With more fragrances having been added to their portfolio this year, their financial future is rosy…or should we say green-green-green. 2. ROBERT MARGOLIS, Chairman and CEO, Cherokee Inc. 2005 salary: $760,000 Bonus: $3.68 million WHY: Strong license sales and distribution ties (Target alone is responsible for 50% of Cherokee sales). 3. PETER BONEPARTH, President and CEO, Jones Apparel Group 2005 salary: $2.5 million; Bonus: $1.2 million WHY: Believe it or not, this year is down from last year because of declining corporate profits. 4. REED KRAKOFF, President and Executive Creative Director, Coach Inc. 2005 salary: $1.21 million Bonus: $2.26 million WHY: His savvy rebranding of Coach as a viable fashion accessories house increased Coach profits by almost 50%. 5. ROGER FARAH, President and COO, Polo Ralph Lauren Corp. 2005 salary: $900,000 Bonus: $2.83 million WHY: See #1. 6. BRUCE J. KLATSKY, Chairman, Phillips-Van Heusen Corp. 2005 salary: $1.2 million Bonus: $2.5 million WHY: Strong sales, and the acquisition of Calvin Klein Inc., which could potentially be responsible for $5 - $6 billion in revenues globally. 7. MARK WEBER, Former ceo, Phillips-Van Heusen Corp. 2005 salary: $1.06 million Bonus: $1.92 million WHY: This despite being ousted after less than a year for – rumor has it – a boss-from-hell managerial style. Apparently nasty guys finish first, especially when his golden parachute of $8 million kicks in. 8. PAUL CHARRON, Chairman of the Board and CEO, Liz Claiborne 2005 salary: $1.5 million Bonus: $1.12 million WHY: While retailers like his focus on merchandising and marketing, sales were down along with the size of his pay packet. Look for better results next year when the results are felt of his trimming of $60 million in costs and laying off of 500 employees. 9. JACKWYN NEMEROV, Executive VP, Ralph Lauren Corp. 2005 salary: $900,000 Bonus: $1.89 million WHY: See #1 & #5. 10. ROBERT B. McKNIGHT, Jr., Chairman and CEO (and founder), Quiksilver Inc. 2005 salary: $880,000 Bonus: $1.66 million WHY: Profits were up 30%.

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