Without a word of explanation as to why, the compensation committee of the board of directors at Monolithic Power Systems decided last week to raise maximum payout of its “cash performance bonuses” for its top executives. The new top target for Chief Executive Michael Hsing grew 27 percent to $780,000, up from $612,000.
The company’s chief financial officer, president of Asian operations and senior vice president of marketing saw their top target payout grow from $238,000 to $437,000, an 84 percent increase. And Peter Ueunten, the head of design engineering who got a four-wheeled thank you gift from the company last year worth $59,085 saw his maximum bonus target more than double to $394,000 from $190,400. The biggest percentage increase was given to the company’s chief design engineer, James Moyer. The high end of his bonus target grew 148 percent from $85,000 to $211,000.
Monolithic is a fabless semiconductor that develops analog and mixed-signal devices used in notebook computers, digital cameras and other consumer electronic devices. After the company reported its results, December 31, 2007, its management determined that there was an error in recording the tax effect of stock-based compensation expense related to a foreign subsidiary that caused it to restate its results for 2007 and 2006.