UPDATE 1-Pfizer ex-CEO Kindler gets $9.6 mln, stock grants

* Pay package pales compared with predecessor McKinnell

* Includes severance payment of $4.51 mln, $3.25 mln bonus
(Adds background on Pfizer hardships, Wyeth deal)

By Ransdell Pierson

NEW YORK, Dec 9 (BestGrowthStock) – Jeffrey Kindler, who on Sunday
unexpectedly quit as chief executive of Pfizer Inc (PFE.N: ),
will receive a compensation package of about $9.6 million and
rights to almost 378,000 shares of the drugmaker’s stock he was
previously granted, the company said in a regulatory filing.

The package pales in comparison to the approximately $200
million that Kindler’s predecessor Hank McKinnell received.
McKinnell was with the company for 35 years, compared with
eight for Kindler.

Kindler, 55, said he was relinquishing the post to recharge
his batteries after heavy demands of running the New York-based
drugmaker for 4-1/2 years. He joined Pfizer in 2002 and served
as its general counsel before being promoted to CEO.

The company late on Thursday said Kindler would receive a
lump severance payment of $4.51 million, a cash bonus for 2010
of $3.25 million and a $1.8 million short-term incentive award
for 2010.

In addition, Pfizer said he would keep 377,586 previously
granted restrictive stock units, a form of compensation
typically valued in terms of company stock but not issued at
the time of the grant.

At Thursday’s closing share price of $16.76, the stock
would be worth about $6.3 million.

Pfizer shares had fallen roughly 27 percent since Kindler
took the helm in July 2006. That compared with a 10 percent
decline for the NYSE Arca Pharmaceutical Index (.DRG: ) of large
U.S. and European drugmakers.

Kindler was immediately replaced by 32-year Pfizer veteran
Ian Read, who had been running Pfizer’s core biopharmaceuticals
operations since 2006.

Kindler’s job became vastly more difficult just months
after he became CEO, when the company’s experimental drug to
raise “good” cholesterol — called torcetrapib — failed in
clinical trials and was scrapped.

The company was counting on it to become a huge seller and
offset sales that will be lost when its $11-billion-a-year
cholesterol fighter Lipitor faces U.S. generic competition late
next year.

Kindler’s signature move as CEO was to spearhead the $67
billion acquisition of rival Wyeth. The move was meant to bring
it drugs and revenue to cushion the coming blow from Lipitor
generics, but Pfizer shares have fallen since the acquisition
closed on Oct. 15, 2009.
(Reporting by Ransdell Pierson, Bill Berkrot and Lewis
Krauskopf; Editing by Bernard Orr and Tim Dobbyn)

UPDATE 1-Pfizer ex-CEO Kindler gets $9.6 mln, stock grants