Executive Compensation at the Consumer Technology Association (2020)
The Consumer Technology Association (CTA) is a tax-exempt, non-profit trade association (a 501 (c) 6, representing more than 2,200 consumer technology companies in the US consumer technology industry. Based in Arlington, VA, CTA promotes the common business interests of members engaged with the manufacture, sale, and distribution of consumer technology products.
The governing board of CTA has 13 voting members, all of whom are independent. 14 directors are listed on the Form 990 (2018) of which 10 (71%) are male while 4 (29%) are female.
In 2019, CTA reported total revenue of $139 million (compared to $126 million in 2018 and $120 million in 2017), most of which ($118 million) came from CES, the annual trade show showcasing new products and technologies in the consumer electronics industry, organized by CTA. Only $5 million came from membership dues.
Expenses totaled $117 million in 2019 with the three largest expenses being conferences and travel ($39 million), compensation ($33 million), and fees for services ($24 million).
At year-end 2019, CTA had $234 million in net assets (up from $196 million at the beginning of the year). Historically, CTA’s expenses have been significantly lower than revenue resulting in the organization having nearly $250 million in net assets. It is important to note CES had their 2020 convention in January, 2020 (prior to the pandemic) but did not have an in-person convention in Las Vegas in 2021 due to the Covid pandemic so it is unclear what the effect on CTA will be since their main source of revenue is the CES annual trade show.
CTA reported having 241 employees in 2019 who received $33 million in compensation, which equates to an average compensation of $137,000. 93 employees received more than $100,000 in compensation with the 9 most highly compensated employees reported to be:
- $2,844,702: Gary Shapiro, President and CEO
- $ 852,705: Glenda MacMullin, Treasurer
- $ 707,500: Michael Perticone, SVP, Gov’t Affairs
- $ 664,163: Karen Chupka, Secretary
- $ 545,217: Brian Markwalter, SVP, Research and Standards
- $ 447,299: Tiffany Moore, SVP, Political and Industry
- $ 439,385: Jean Foster, SVP, Marketing and Communications
- $ 393,258: Rene Quashie, Staff VP, Policy and Regulatory Affairs
- $ 346,289: John Kelley, Sr Director, International Program and Show Director
The nine most highly compensated employees received more than $7 million in compensation. 5 of the 9 (56%) most highly compensated employees are female while 4 of the 9 (44%) are male. It is important to point out that at the end of the day, the primary source of revenue is the annual trade show (for which this organization does not pay taxes on). So, this non-profit’s executives are paid millions of dollars for putting on a trade show.
Karen Chupka was provided a $25,000 mortgage assistance loan. The outstanding balance due is $8,383.
The most highly compensated employee, Gary Shapiro received more than $15 million in compensation over the past 5 years:
- 2019: $2,844,702
- 2018: $3,380.500
- 2017: $3,263,303
- 2016: $3,188,847
- 2015: $2,745,019
CTA paid for companion travel for the CEO and other executives. No other detail is provided.
For information on the deferred compensation plan, see the Form 990, Schedule J, Part III, Supplemental Information.
128 independent contractors received more than $100,000 in compensation with the five most highly compensated reported to be:
- $8.8 million: Venetian Las Vegas, of Las Vegas, NV for CES exhibit space
- $5.2 million: Freeman Decorating, of Dallas, TX for contracting for CES
- $5.2 million: Living in Digital Times, of Coster, NJ for contracting for CES
- $3.1 million: RPMS Inc, of North Kingstown, RI for transportation services
- $2.6 million: Wynn Las Vegas, of Las Vegas, NV for CES venue
To read the IRS Form 990 (2019), click here.