What’s better than receiving a signing bonus? Maybe getting a bigger one just over a year later. Delta gave Mike Spanos a $250,000 signing bonus to join the airline as its chief operating officer last June, but he’ll now get double that just by signing the dotted line to become CEO of Bloomin’ Brands, the parent of Outback Steakhouse, in a move announced Monday.
All told, Spanos’s initial compensation package is valued at almost $12.3 million. That’s over 1 million orders of the Bloomin’ Onion, Outback’s signature fried appetizer currently priced at $10.99.
Meanwhile, Spanos will continue to receive perks from Delta, including free flights for himself and his family. In a filing with the SEC, Delta said Spanos would receive the benefits provided under the company’s officer and director severance plan. Under that plan, Spanos is entitled to up to $15,000 of complimentary travel and access to the airline’s members-only lounge for himself, his immediate family, and other designated guests, according to the company’s latest proxy statement, as long as his departure is considered termination without cause instead of resignation for good reason.
Under that same plan, Spanos is also eligible to receive almost $2 million in severance pay, including 18 months of his base salary, which was $650,000 per year, and 150% of his target incentive, an amount equal to just over $950,000.
In the SEC filing, Delta also said that Spanos would receive his existing award agreements under the company’s performance compensation plan. Spanos’s 2023 compensation package at Delta was valued at roughly $8.6 million, including over $6.8 million in stock awards.
According to the proxy statement, an executive who is terminated without cause or resigns for good reason will receive prorated performance stock awards that vest as if the executive’s employment had continued. When asked whether Spanos was entitled to all or part of his outstanding stock awards, Delta did not provide clarification or comment.
In any case, Spanos can look forward to a raise at his new gig. His $12.3 million pay package from Bloomin’ Brands includes a base salary of $1 million, plus an annual target bonus of $1.75 million. He’ll receive one-time stock awards worth $2.5 million, with an annual equity award valued at $6 million starting in 2025.
In addition to his signing bonus, Spanos will also receive half a million dollars in relocation expenses to help offset the costs incurred in the likely event he and his family move from Delta’s home in Atlanta to Tampa, where Bloomin’ Brands is based. The company did not respond to requests for comment regarding this story.
“We have found an ideal strategist, operations and cultural leader in Mike,” Bloomin’ Brands board chairman Michael Mohan said in a press release Monday. “Our board believes that his experience operating complex, multi-unit businesses will benefit our iconic, founder-inspired brands.”
Spanos, who is scheduled to assume the new role on Sept. 3, will succeed former Bloomin’ Brands chief executive David Deno, who is retiring after 12 years with the company, including the past five as CEO. His annual compensation last year was valued at about $6.8 million, accordingly to the company’s latest proxy statement.