Mayer's 73 million reasons to shout 'Yahoo'

Marissa Mayer Yahoo chief executive Marissa Mayer stands to receive as much as US$59 million ($73.58 million) in compensation in coming years after agreeing to leave Google to run the troubled web portal.

The total includes US$3 million in salary and potential bonus and US$12 million in restricted stock units and stock options, according to a filing yesterday with the US Securities and Exchange Commission.

She is also set to receive US$30 million in one-time retention awards and US$14 million to make up for stock-based compensation she would have received at Google.

Mayer, 37, took the helm on July 17, the day Yahoo reported second-quarter sales that were little changed from a year earlier.

The results underscored the challenge she faces as the fifth chief executive in three years attempting to revive growth at Yahoo.

The company lags behind Facebook and Google luring the online advertising that makes up most sales.

"You have to build in sort of a risk premium," said David Larcker, a professor at Stanford University's Graduate School of Business. "She has to change the strategy and redeploy assets, make it work.

"And she's a very well-known person, aggressive, successful. You're going to have to pay a sizeable wage."

Mayer will juggle her role as chief executive with being a new mother.

She said on Twitter that she and husband Zachary Bogue were expecting a baby boy.

Yahoo set Scott Thompson's pot-ential compensation as high as US$27 million before he stepped down in May over inaccuracies in his resume.

Carol Bartz, his predecessor at the California-based company, stood to earn about US$10 million during her last year in the job.

She was fired in September amid frustration among investors such as hedge fund manager Daniel Loeb over her handling of strategy.

Mayer followed Ross Levinsohn, who ran Yahoo on an interim basis after Thompson resigned.

Yahoo has edited the language in its offer letter since the one it gave Thompson in January.

Mayer's letter requires her to affirm "all information provided to Yahoo or its agents with regard to your background is true and correct", while Thompson's stated only that the offer was contingent on a background check.

- Bloomberg

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