| 4Q | 4Q | % | Annual | Annual | % | ||
| 2012 | 2011 | Decrease | 2012 | 2011 | Increase | ||
| mil $s | mil $s | mil $s | mil $s | ||||
| Net Income, as Reported | 569 | 698 | -18% | 2,745 | 2,667 | 3% | |
| Adjustments: | |||||||
| FAS/CAS Pension Charge | 128 | 142 | 513 | 569 | |||
| Higher Income Tax Expense from Reduced Manufacturing Deduction | 16 | 31 | |||||
| Loss on Early Debt Retirement | 28 | 30 | |||||
| Favorable IRS Audit Settlement | (89) | ||||||
| Non-GAAP Adjusted Net Income | 713 | 868 | -18% | 3,289 | 3,177 | 4% |
And from the most recent 2011 Proxy Statement filed with the SEC, below here is the executive compensation information for Robert Stevens, the Chairman and CEO of Lockheed Martin Corporation:
| Non-equity | Increase | |||||||
| Incentive | In | All | ||||||
| Stock | Option | Plan | Pension | Other | Total | |||
| Year | Salary | Bonus | Awards | Awards | Compensation | Value | Compensation | Compensation |
| 000s | 000s | 000s | 000s | 000s | 000s | 000s | 000s | |
| 2011 | 1,800 | 4,725 | 3,750 | 3,750 | 4,400 | 4,831 | 2,114 | 25,370 |
| 2010 | 1,800 | 4,050 | 2,996 | 4,072 | 4,600 | 2,779 | 1,601 | 21,898 |
| 2009 | 1,835 | 3,900 | 2,558 | 6,565 | 5,246 | 2,523 | 370 | 22,997 |
| 3 Yr Total | 5,435 | 12,675 | 9,304 | 14,387 | 14,246 | 10,133 | 4,085 | 70,265 |
Included in Stevens' All Other Compensation above were Security Provided to Stevens of $1,664,000 in 2011 and of another $1,295,000 in 2010, and Tax Gross Ups for Many Different Business-Related Items totaling $355,000 in 2011 and $206,000 in 2010.
Lockheed Martin gets a substantial part of its Revenues and Earnings from the US Government, and thus also from US taxpayers.
When you review the above extravagant compensation numbers, do you think that the US has a problem with economic fairness between the very wealthy and everyone else? After all, Lockheed Martin's CEO received an Increase in the Value of his Pension of $10.1 mil, Total Stock Awards of $9.3 mil, Total Option Awards of $14.4 mil and Total Compensation of $70.3 mil in the three years from 2009 to 2011 combined. Whew!
And when you review many of the above extravagant compensation elements of Lockheed Martin's Chairman and CEO, it's very difficult for me to understand why the very self-centered, excessively greedy, and apparently also even mean-spirited Business Roundtable is now strongly lobbying for both Social Security and Medicare Benefits for retirees to be delayed until Age 70, especially when US Government spending to US Defense Contractors like Lockheed Martin has been so excessive.
