Cinemark CEO Mark Zoradi, who exhibition chain like the rest of the industry is shut down due to the ongoing coronavirus pandemic, earned $6.3 million in total compensation for 2019, up from $5.2 million the year before, the company said Friday in its annual proxy statement filed with the SEC.
The year-over-year gain stemmed from a $100,000 boost in base salary to $1.1 million and a cash bonus of $1.9 million – up by almost a $1 million from 2018. Cinemark’s proxy noted that last year the exhibitor had its fifth consecutive year of record worldwide revenue, with its domestic box office outperforming the North American industry box office for the same stretch. Global revenue rose 2% in 2019 to $3.3 billion.
Chairman Lee Roy Mitchell earned $2.4 million last year, up from $2 million in 2018.
Cinemark – the nation’s third largest chain – on March 18 joined the other major U.S. exhibition circuits in shutting its doors in the face of the pandemic. The chain has 345 theaters nationwide and operates 554 theaters with 6,132 screens in 42 states domestically and 15 countries throughout South and Central America.
On March 30, Zoradi announced that he and the chain’s board of directors will not draw a salary for the foreseeable future, while other U.S. corporate employees will see deep cuts in compensation of at least 50%. Some have voluntarily agreed to take even steeper cuts than were mandated and some have volunteered to continue with a full workload. Employees will maintain full benefits.
In a letter to shareholders in the proxy, Zoradi acknowledged “the social and economic effects of COVID-19, which are widespread and hard-hitting. Everyone continues to battle through this uncertainty, including Cinemark.” With theater shuttered, he said, “We are taking prudent steps to withstand the economic impact of our temporary closures during this pandemic. Our priority as we navigate this uncharted territory is to ensure that Cinemark will be able to open its theatres and employ our global team members when this pandemic subsides.”
Separately Friday, Marcus Corp., which owns Marcus Theatres, the nation’s fourth largest chain, said CEO Gregory Marcus earned $5.3 million in total compensation last year, up from $2.9 million in 2018. In its proxy filing, it said chairman Stephen Marcus saw his compensation rise to $1.16 million from $1.01 milion.
Marcus Corp. has two divisions, Marcus Theatres and Marcus Hotels and Resorts. Marcus The theater circuit owns or operates 1,106 screens at 91 locations in 17 states.