Martha Stewart agreed to sell her media empire to Sequential Brands Monday in a deal that was worth $353 million, but there was very little announced about the fate of Stewart herself until today.
Under the terms of a newly released employment agreement, Stewart will claim the title of Founder and Chief Creative Officer and will be paid a base salary of $500,000 a year. But, don’t be fooled by that “base” sum.
Her yearly take home pay will be much higher once you add in an unspecified bonus, an annual “guaranteed payment” of $1.3 million (for what, the document doesn’t quite clarify), plus 10% of gross licensing revenues, which typically exceed $46 million per year.
And don’t forget the perks. Stewart will get six weeks of guaranteed vacation and up to $100,000 in annual expenses.
Martha Stewart Omnimedia also filed an 8-K report Wednesday that outlined the employment agreement and also indicated that Stewart could also collect another $1.7 million each year based on an “Intangible Licensing Agreement.”
All told, it looks like the Queen of Homemaking will make out with an annual payment of about $3.6 million, at bare minimum, according to calculations put together by the blog Footnoted.
Stewart, the biggest shareholder of her namesake Martha Stewart Omnimedia, also stands to net a lump sum of about $167 million from the deal with Sequential Brands based on her stock holdings.
