| 4Q | 4Q | % | Annual | Annual | % | ||
| 2012 | 2011 | Increase | 2012 | 2011 | Increase | ||
| mil $s | mil $s | (Decrease) | mil $s | mil $s | |||
| Pretax Operating Income (Loss), as Reported | (3,169) | (1,112) | -185% | 13,160 | 12,880 | 2% | |
| Pretax Adjustments: | |||||||
| Severance, Pension & Benefit Charges | 7,186 | 5,625 | 7,186 | 5,954 | |||
| Litigation Settlement Charges | 384 | ||||||
| Other Restructuring Charges | 276 | 276 | |||||
| Non-GAAP Adjusted Pretax Operating Income | 4,293 | 4,513 | -5% | 21,006 | 18,834 | 12% |
Lowell McAdam became Verizon's Chairman and CEO on August 1, 2011. Previously, Ivan Seidenberg was Chairman and CEO. From the most recent 2011 Proxy Statement filed with the SEC, below here is the executive compensation information for McAdam for the full year 2011 and for Seidenberg for each of the years 2009 through 2011:
| Non-equity | Increase | ||||||
| Incentive | In | All | |||||
| Stock | Plan | Pension | Other | Total | |||
| Year | Salary | Awards | Compensation | Value | Compensation | Compensation | |
| 000s | 000s | 000s | 000s | 000s | 000s | ||
| McAdam CEO | 2011 | 1,400 | 18,750 | 2,363 | 127 | 481 | 23,121 |
| Seidenberg CEO | 2011 | 2,100 | 19,549 | 3,544 | 342 | 921 | 26,456 |
| Seidenberg CEO | 2010 | 2,100 | 24,938 | 3,938 | 265 | 708 | 31,949 |
| Seidenberg CEO | 2009 | 2,100 | 17,963 | 2,953 | 522 | 880 | 24,418 |
| Total | 7,700 | 81,200 | 12,798 | 1,256 | 2,990 | 105,944 |
And here's both McAdam's and Seidenberg's Detailed All Other Compensation for 2011:
| McAdam | Seidenberg | |
| 000s | 000s | |
| 2011 All Other Compensation Details: | ||
| Company Contributions to Non-Qualified Deferral Plan | 216 | 449 |
| Company Contributions to the Life Insurance Benefit | 134 | 207 |
| Personal Use of Company Aircraft | 110 | 217 |
| Other Benefits | 21 | 48 |
| Total 2011 All Other Compensation | 481 | 921 |
When you review the above clearly extravagant compensation numbers for Verizon's CEOs, do you think that the US has a problem with economic fairness between the very wealthy and everyone else?
For the 4 years (2008 through 2011) combined of either 50% or 100% first-year bonus tax depreciation, Verizon generated a massive $49.3 bil of US Pretax Income, while at the same time, instead of paying a dime of US federal income tax, received $758 mil in US federal income tax refunds. And also in those 4 years, Verizon shed a total of 41,100 jobs.
Do you think Verizon's main emphasis is on the US Government raising Tax Revenues or on reducing US Government Spending?
Well, the Business Roundtable, which speaks for the largest US Corps, is now lobbying very heavily to delay first eligibility for both Social Security and Medicare Benefits to Age 70. That answers this question.
