Newspaper publisher McClatchy Co. gave Chief Executive Gary Pruitt a $950,000 bonus for the 2006 fiscal year, maintaining the same bonus level as the previous year.
The company, which completed the $4.5 billion acquisition of Knight Ridder Inc. last summer and sold off 12 newspapers after that deal was announced, disclosed in a Securities and Exchange Commission filing Monday that the company’s compensation commitee on Jan. 23 awarded Pruitt the bonus. For this year, Pruitt’s bonus will be set based on the company’s cash flow and “achievement of non-financial goals,” the SEC filing said. This year, Pruitt is to earn base pay of $1.1 million, up from $1.05 million last year.
Last month, McClatchy said it would sell the Star Tribune newspaper in Minneapolis to the private equity firm Avista Capital Partners for $530 million. Pruitt said it was selling its largest newspaper because the newspaper’s growth had tapered off, and for tax reasons. McClatchy’s newspapers include the Sacramento Bee, Miami Herald and Kansas City Star.
McClatchy shares rose 10 cents to $39.08 in midday trading on the New York Stock Exchange. They have traded in a 52-week range of $38.77 to $56.93.