Car-Mart's Henderson Gets $1.1M Retirement Bonus

Car-Mart's Henderson Gets $1.1M Retirement Bonus
Hank Henderson (file)

America's Car-Mart Inc. of Bentonville paid longtime CEO Hank Henderson a $1.1 million bonus when he retired Dec. 31, 2017, according to a proxy statement filed Wednesday with the U.S. Securities & Exchange Commission.

The bonus, given after Henderson spent 30 years with the company, pushed Henderson's total compensation for fiscal 2018 to more than $1.4 million. Henderson's abbreviated salary for the fiscal year was slightly more than $328,000; the fiscal year ended April 30 —  three months after Henderson retired.

Henderson's salary for the two previous full years he served was $466,400. Henderson will be paid $2,000 a month for two years as a consultant and advisor.

Jeff Williams, named CEO and president after Henderson's retirement, earned total compensation of more than $438,000 in 2018. The company announced it had raised his salary to $430,000 effective Jan. 1, when he assumed his current positions.

Williams' 2018 salary was slightly more than $400,000 and he earned the rest in other compensation, including $22,240 for health insurance premiums.

The company said Williams was awarded $79,800 in a short-term incentive bonus, which it said was a "material portion" of his overall compensation. Williams' total compensation was slightly more than $400,000 in 2017, when his salary was $367,200.

The only other named executive, CFO Vickie Judy, earned total compensation of more than $682,000 in 2018. Judy's salary was $165,577 and she earned more than $500,000 in stock awards. 

Judy began as CFO on Jan. 1, 2018.

In May, Car-Mart reported annual revenue of $612.2 million for fiscal 2018, up from $587.8 million in 2017. Income for the year was $36.5 million, up from $20.2 million, and earnings per share was $4.90, up from $2.49.

Car-Mart announced its shareholders meeting would be held at 10 a.m. Aug. 29 at its headquarters in Bentonville. The agenda included the re-election of six of the company's seven board members, including Henderson and Williams.

Cameron Smith announced he would not seek re-election after serving on the board since 2009. Smith is the president of Cameron Smith & Associates, an executive recruiting firm in Bentonville.

Shareholders will also vote on:

  • An advisory resolution regarding compensation of named executive officers.
  • An amendment, approved by the board May 23, to add 100,000 shares to the company's stock incentive plan
  • An amendment, approved by the board May 23, to add 200,000 share to the company's stock option plan
  • To ratify Grant Thornton LLP as its independent registered public accounting firm.