摘要：This study examines the relationship between CEO pay and company performance in the media industry. The financial pressures facing media companies have been mounting in recent years as more people get their news for free on the internet and advertisers are moving more of their spending to less expensive online outlets. The emergence of the internet as a marketing medium and its effect on media companies shows up in the performance measures of the media company sample. The average return on assets over the five year sample period is 0.3 percent and the total annual return to stockholders is an average of -8.7 percent for the sample of media companies over a five year test period from 2004-2008. The results of the analysis indicate that the total compensation for the CEOs of media companies is not correlated to the downward pressure on company performance. The study finds that the performance variables of return on assets and annual stock returns are insignificant in explaining CEO pay.
