Sprint Nextel has changed its bonus targets for its executives, tying them for the first time to attracting subscribers to WiMAX services.
In a filing with the Securities and Exchange Commission, Sprint revealed that the company's board set new guidelines for short-term bonuses. The top executives will see their bonuses tied to net service revenue (45 percent), adjusted operating profits (25 percent), retention of postpaid customers (20 percent) and the number of subscribers signing up for Clearwire's WiMAX service (10 percent), which Sprint resells. It also is the majority owner of Clearwire.
A year ago, half of Sprint executives' bonus scores came from adjusted operating earnings. The number of new postpaid customers and the number of calls made to customer care made up the other half of the score.
For more:
- see this Kansas City Business Journal article
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