Last week, Best Buy Co. nabbed a CEO from the hospitality and restaurant giant Carlson to lead the company as it struggles with falling sales. Prior to the change, Best Buy founder Richard Schulze proposed to buy the company outright after Brian Dunn unexpectedly resigned.
The new CEO, Hubert Joly, previously lead Carlson—which includes businesses such as Radisson and T.G.I. Friday’s—before he stepped down Sunday for the Best Buy job. Carlson announced that the board had selected its chief financial officer, Trudy Rautio to take his place.
Best Buy said Mr. Joly has a successful track record of turning around companies.
Hubert Joly will take home more than $15 million next year and stands to earn another $16.5 million in stock grants over the next three years on top of salary and bonuses.
The nation’s largest consumer electronics chain lured the turnaround expert with $20 million in total “buyout awards” meant to compensate him for leaving benefits at his current job as CEO of Carlson, the global hospitality company which owns Radisson hotels and the T.G.I. Friday’s restaurant chain. Aside from $3.5 million in cash that he will receive upon joining the retailer, most of Joly’s buyout package is made up of stock grants, options and units that vest over three years, according to a securities filing made this week. Only $3.75 million of that total is linked to performance.