As the biotech industry has hit profitability in recent years, with record market values and a steady drumbeat of regulatory approvals for its products, compensation for its executives has in turn climbed steadily. We see that in addition to salary and bonus, long-term incentives such as stock, stock options and long-term cash awards can double total compensation for R&D officers.

BioWorld Executive Compensation Report 2013: Trends in C-Level Salaries and Benefits in the BioPharmaceuticals Market (AHC Media, Atlanta, GA, 2012).
Figure 2 shows the total compensation for R&D officers at all companies, broken down into total cash compensation (base salary, bonuses, commissions, cash profit-sharing and other forms of variable cash payments), total direct compensation (total cash compensation and total fair value of all long-term incentives) and total realized direct compensation (total direct compensation and total long-term incentive value realized).

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