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McKesson CEO has $159M Pension

June 26, 2013
by Gabriel Perna
| Reprints

John Hammergren, CEO of McKesson (San Francisco), the highest revenue-earning vendor in healthcare IT, would be owed the largest pension benefit ever recorded if he left office this year, according to a report in the Wall St. Journal. Hammergren’s pension of $159 million, revealed in an SEC filing, is the largest ever in corporate America, say consultants quoted in the WSJ piece.

According to information cited in an article written by The Associated Press, Hammergren’s pension is more than next largest deal in the country, which is $74 million for Rupert Murdoch, chairman and CEO of News Corp.

Hammergren’s pension is in addition to his total salary of approximately $51 million in 2013, up from approximately $39 million in 2012. He also earns extra for use of the company’s aircraft, a personal car and driver, and a home security system the SEC filing revealed.

As for why he earns so much, Hammergren had a deal in his contract that was put into place 14 years ago, a company spokesperson told the AP. The deal combines company performance, years of service, interest, and other factors into the amount.

McKesson was recently ranked by Healthcare Informatics as the highest revenue-earning vendor in Healthcare Informatics 100 list.

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