Activision Blizzard CEO Bobby Kotick will remain in the role until March 31, 2023, while also agreeing to cut his salary and bonus in half, according to an extension agreement filed with the Securities and Exchange Commission.
As a result, Kotick’s annual salary is set to be $875,000 per year, alongside a potential bonus of up to 200 percent of his base salary in the amount of $1.75 million per year. The performance bonus will be awarded depending on whether the company attained its financial metrics and objectives of environmental, social, and governance initiatives for the fiscal year.
Last month, around 200 workers were laid off from the company while Kotick was set to receive a bonus of around $200 million. This Shareholder Value Creation Incentive has now been eliminated, though, leaving the CEO with just an annual salary and a bonus of up to 200 percent of his base salary.
Activision Blizzard saw massive success throughout 2020 despite struggling early on in the esports side of things during the COVID-19 pandemic. The company’s stock hit a peak of over $102 per share at one point. It’s dropped a bit but is still trading close to its all-time high. At time of writing, a share in Activision Blizzard is being traded for $91.77.
While Blizzard has not yet issued any statements regarding this cut, the company will most likely discuss it during the upcoming 2021 first quarter results conference call, which is scheduled to take place on May 4.