In a proxy statement filed by Sears Holdings, the company said it will pay its former CEO his $1 million base salary annually through March 24, 2010.
Sears Holdings announced in January that president and CEO Aylwin B. Lewis would step down from his role. Lewis also stepped down from the Sears Holdings board of directors.
Lewis has been replaced in the interim by W. Bruce Johnson, who currently serves as executive vp – supply chain and operations. He will receive an increased salary of $900,000, up from $745,224 last year, according to the statement. Sears Holdings is searching for a new CEO, during a time the company is planning a restructuring of it corporate structure.
The Chicago-based parent of Kmart and Sears stores has been struggling of late, with fourth-quarter earnings down 47.5 percent year-over-year and sales down 6.8 percent.