Ynon Kreiz, who was named co-CEO of Paramount and Warner Bros. on Wednesday. The soon-to-merge Discovery will receive a $31.5 million signing bonus and at least $35.1 million per year in total compensation through 2027.
In an SEC filing Thursday, Paramount outlined the terms of the former Mattel CEO’s 5-year contract and said its board of directors approved Kreiz’s appointment on Sunday. His departure from Mattel was announced Wednesday morning, with Paramount revealing his new position later that day.
After a lengthy legal challenge brought by 12 state attorneys general and the Writers Guild of America left it on hold for two months, the $110 billion merger is expected to be finalized Tuesday.
Kreiz will receive a signing bonus in the form of restricted stock units (RSUs) worth $31.5 million.
Beyond the signing bonus, the filing presents two sets of numbers – one covering the brief period before the merger, then the other reflecting the period after the deal closed. The first official day of Kreiz’s employment contract is Monday, October 5, which means he will have had time to put some office supplies in the desk drawers and head to the precinct before the high numbers take effect.
Kreiz, 61, will receive an annual base salary of $3.5 million, which will increase to $5 million the day after the merger is finalized. His targeted annual bonus of $1.5 million will increase to $4.9 million.
He will be eligible for 2.6 million Class B shares as well as another stock grant of 1.25 million shares. Within 15 days following the closing of the merger, he will receive RSUs worth up to $5.1 million, prorated for the portion of the first year of employment following the closing of the merger. Beginning October 5, 2027, the first anniversary of the start of the contract, Kreiz will receive annual stock bonuses worth $20.1 million.
While there are a number of variables, as is always the case with executive compensation, the bottom line of the new numbers is that Kreiz will be at or above the high end of the range of his recent salary at Mattel. In 2023, he earned $18.9 million to run the toy maker, with that amount increasing to $37.8 million in 2024 and then decreasing to $15.1 million last year.
The filing says Kreiz, who led Endemol Group, Maker Studios and Fox Kids Europe before joining David Ellison as co-CEO, has “extensive leadership experience in the media and entertainment industry.” This background merited his appointment to the company’s board of directors as well as to the executive position, the board said.
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