Board Composition, Equity Holdings, and Executive Compensation: FedEx vs. UPS

Here’s a comparison of the board composition, equity holdings, and executive compensation between FedEx and UPS, based on their most recent proxy statements:

Board Composition

FedEx:

• Size: 13 directors
• Independence: 12 independent directors
• Diversity: Significant representation of women and minorities, but limited racial diversity
• Expertise: Diverse expertise across industries, including logistics, technology, finance, and law

UPS:

• Size: 15 directors
• Independence: 13 independent directors
• Diversity: Greater representation of women and minorities compared to FedEx
• Expertise: Diverse expertise across industries, including logistics, technology, finance, and law

Equity Holdings by Directors

FedEx:

• Average holdings: Directors hold a significant amount of FedEx stock, demonstrating alignment with shareholder interests.
• Significant holdings: A few directors have substantial holdings, showcasing a vested interest in the company’s long-term success.

UPS:

• Average holdings: Directors hold a considerable amount of UPS stock, showing a strong commitment to the company’s performance.
• Significant holdings: Several directors possess substantial holdings, reinforcing their stake in the company’s future.

Executive Compensation

FedEx:

• CEO compensation: The CEO, Raj Subramaniam, received a total compensation of $18.5 million in 2022.
• Compensation structure: Compensation includes salary, bonus, stock awards, and other benefits. The structure reflects the CEO’s performance and the company’s financial performance.

UPS:

• CEO compensation: The CEO, Carol Tomé, received a total compensation of $21.3 million in 2022.
• Compensation structure: Similar to FedEx, UPS’s compensation structure includes salary, bonus, stock awards, and other benefits, reflecting the CEO’s performance and the company’s financial health.

Key Observations:

• Similar Board Structure: Both FedEx and UPS have relatively large, independent boards with a diverse range of expertise.
• Significant Equity Holdings: Directors in both companies hold substantial amounts of stock, demonstrating alignment with shareholder interests.
• Competitive CEO Compensation: Both CEOs are compensated at a high level, reflecting the scale and complexity of their respective companies.

Note: The data provided is based on publicly available information and may vary depending on the specific time period and the sources used.

Conclusion:

Both FedEx and UPS have robust governance structures with independent boards and significant equity holdings by directors. Their CEO compensation reflects the performance and complexity of their respective companies, and their compensation structures are designed to align leadership incentives with shareholder interests.