Martha Needs To Take a Pay Cut

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Bring back Martha Stewart Kids! Ok, now that I’ve gotten that out of my system. Moving on…

Things are not well at MSLO, last week the company reported a $50.7 million quarterly loss and yet the domestic diva continues to insist on compensation which is not inline with her company’s current performance. Her short sightedness has cost her, as well as the company she covets, as this paragraph from the NYT shows :

Her net worth is inextricably tied to the value of the shares. That would seem obvious to everyone except, perhaps, Ms. Stewart herself. She continues to collect lavish multimillion-dollar compensation and perks while her company teeters under the weight of huge losses, its shares trading for a fraction of their former value. The paradox is that if the stock had risen even $1 a share in recent years, Martha Stewart would be wealthier now than if she had taken only nominal compensation from the company.

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