Marissa Mayer is giving up a ton of money over Yahoo's data breach

She's still worth hundreds of millions.
 By 
Louise Matsakis
 on 
Marissa Mayer is giving up a ton of money over Yahoo's data breach
Melissa Mayer has been CEO of Yahoo since 2012. Credit: Getty Images

Yahoo CEO Marissa Mayer is giving up her valuable annual bonus and equity grant this year as a result of a major security breach at the company, she announced in a Tumblr post Wednesday.

Mayer's decision to forgo the extra compensation was also disclosed in a document Yahoo filed with the United States Security and Exchange Commission the same day.

While it's not exactly strange for a CEO to forgo a gigantic bonus after their company has a terrible year, what is weird is the way that Mayer described Yahoo's major security breach in her statement.

"As those who follow Yahoo know, in late 2014, we were the victim of a state-sponsored attack and reported it to law enforcement as well as to the 26 users that we understood were impacted," Mayer said, in possibly the biggest understatement of the year.

According to Yahoo itself, 500 million accounts had been potentially compromised by the 2014 security breach. Which is, you know, slightly more than 26.

Mayer's statement, which vastly understates the impact of the hack and her involvement in everything that followed, refers to "26 specifically targeted users" in the 2014 breach. Those compromised accounts may have helped the hackers access databases that ultimately affected hundreds of millions of people.

The document filed with the SEC Wednesday states "certain senior executives did not properly comprehend or investigate, and therefore failed to act sufficiently upon" the initial breach in 2014. No kidding.

Original image replaced with Mashable logo
Original image has been replaced. Credit: Mashable

Yahoo did not immediately respond to a request for comment about the post.

Of course, Mayer is still worth hundreds of millions of dollars, despite her gracious decision to sacrifice some more. The CEO's base pay is $1 million. As of August of 2016, she held Yahoo stock options and restricted stock units valued at over $85 million.

In 2015, she received a total compensation package of $36 million, $14.5 million in stock grants and $19.9 million in options.

In related news, the company reported Wednesday that they believe 32 million user accounts were victims of a previously reported cyberattack using "forged cookies," or small files that can be used to hack into an account without a password.

Yahoo's general counsel and secretary Ronald S. Bell resigned from the company Wednesday. Mayer is expected to step down from Yahoo's executive board after the Verizon deal is officially finalized, according to a regulatory filing with the Securities Exchange Commission.

Topics Yahoo

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Louise Matsakis

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