TV success sees Murdoch's News Corp pay soar to $17m

by Jules Grant,, Brand Republic 16-Sep-04, 12:30

LONDON - Media baron Rupert Murdoch's pay rose 42% to $17m (£9.5m) at News Corporation, boosted by the success of television shows such as 'American Idol' and larger audiences for the FX cable network.

Murdoch, the chairman and chief executive of News Corp, received a bonus of $12.5m, up from $7.5 m in the previous year. His salary was little changed at $4.5m for the year ended June 30, News Corp said in its annual report.

The rise brings Murdoch in line with his second in command, Peter Chernin, who in July signed a new five-year deal with the company, ending months of speculation about his future role at the media giant.

Chief operating officer Chernin, however, still remains the highest paid executive. His pay packet rose 7% to $17.6m from $16.4m, including a bonus of $8.9m.

Lachlan Murdoch, Rupert Murdoch's oldest son and News Corp's deputy chief operating officer, also received a raise. He was paid $1.8m in salary and a bonus of $2.34m. That compares with a 2003 salary of $1.4m and a bonus of $1.2m.

Ad sales increases at the company's cable and Fox broadcast TV networks boosted profit at News Corp by 57% to £900m last year. This is believed to have been helped by the acquisition of satellite company DirecTV from General Motors, which News Corp paid $6.6bn for after a long-running acquisition saga.

Murdoch said that shareholders are likely to benefit further when the company moves its headquarters and primary listing to the US from Sydney, making it eligible for inclusion in the Standard & Poor's 500 index.

News Corp owns the Fox TV network, 20th Century Fox and publishing house Harper Collins in the US. In the UK, it owns BSkyB and newspapers including The Times and The Sun.

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