Bell’s Pay Pact Tops Annual Salary Of IPG’s New CEO

Even as Interpublic Group’s David Bell hands over the CEO position to Michael Roth, he still stands to earn a bigger monthly paycheck.

The 61-year-old Bell, who signed a new one-year IPG contract last month to replace his multi-year pre-existing pact with True North, is earning a base salary of $1 million per year.

That compares with $950,000 a year, in base salary, for Roth, 59, who is still subject to the terms of the contract he signed in July when he became executive vice chairman at IPG.

In his new role as IPG co-chairman, Bell may also receive a bonus equal to 133 percent of his base salary, although the actual award may vary from 0 percent to 200 percent of the target award. If Bell should be fired from IPG, other than for cause, he’s entitled to receive his base salary and employment benefits for 12 months, as well as the full vesting of all shares and options owned at the end of the severance period. He will also be retained as a consultant for five years, at an annual fee of $750,000. —