Don't weep for Steve Ballmer
Steve Ballmer's final year at Microsoft is one that's been wrought with challenges and a few missteps, such as the $900 million charge the Redmond outfit took on unsold Surface inventory. In addition, Windows 8 sales haven't been as high as Microsoft hoped, which is largely the result of a slumping PC market in the wake of consumers turning their attention to mobile devices like smartphones and tablets.
Due to all this, Ballmer's pay was again cut this year, according to Microsoft's 2013 proxy statement . Don't go shedding too many tears on his behalf, however, he still raked in a healthy $1.26 million for his efforts, including $697.500 in base salary and a $500,000 bonus.
In 2012, Ballmer made $1.38 million by way of a $685,500 salary and $682,500 bonus. This year, his bonus was 79 percent of the total he was eligible for.
"The company faced challenges due to weakness in the consumer PC market. While the launch of Windows 8 in October 2012 resulted in over 100 million licenses sold, the challenging PC market coupled with the significant product launch costs for Windows 8 and Surface resulted in an 18 percent decline in Windows Division operating income," Microsoft wrote in its proxy statement. "Slower than anticipated sales of Surface RT devices and the decision to reduce prices to accelerate sales resulted in a $900 million inventory charge."
Microsoft gave credit to Ballmer for leading the company in its transformation to a devices and service firm in 2013, and for continuing to make progress in its devices and services strategy.