Departing Motorola CEO Galvin to consult

Christopher Galvin will stay on at Motorola Inc. as a consultant for two years after he leaves as chairman and chief executive of the telecommunications giant, according to a company filing Thursday with the Securities and Exchange Commission.For his new role, Galvin will be paid a $1.4 million salary, plus the average of his annual bonuses for the years 2001-2003, the filing said.Galvin received a $1.5 million bonus in 2001, but no bonus the following year. His 2003 bonus has not been determined.The Schaumburg, Ill.-based company announced Sept. 19 that Galvin, 53, had decided to leave. Galvin cited differences with the board over the progress of the stalled turnaround at the world's No. 2 cell-phone manufacturer, which also is a top semiconductor maker. Galvin has agreed to stay until a successor is named.Upon retirement, all unvested stock options or restricted stock owned by Galvin will vest, according to the filing. That includes 800,000 shares of restricted stock granted since January 2000.The company has also agreed make a $13.8 million contribution to a trust for Galvin's supplementary retirement plan.Galvin is the grandson of Motorola founder Paul V. Galvin.Motorola, which sold more than half the world's cell phones in the early '90s, has fallen far behind Finland's Nokia and has been struggling to regain its past dominance. A huge restructuring and cost-slashing effort returned it to profitability in 2002 after two years of losses. But a slowed economy and sluggish demand have stymied its recovery.The company has eliminated nearly 60,000 jobs since August 2000 and is seeking to shrink costs further by year's end.Source: Associated Press