J.C. Penney CEO 2012 pay package drops 96%

Gary Strauss, USA TODAY | USA TODAY

What a difference a year makes.

Ron Johnson, who received a 2011 stock grant worth $52.7 million when he was hired to reinvigorate J.C. Penney, received just $1.9 million in his first full year at the now-struggling retailer.

In a Tuesday proxy filing, J.C. Penney said Johnson's 2012 compensation included a $1.5 million salary and nearly $350,000 worth of personal travel on corporate aircraft. Johnson commutes from his California home to the retailer's Plano, Texas, headquarters. Penney also paid almost $30,000 for security at Johnson's home.

Neither Johnson nor other execs received performance-based bonuses, although Johnson could have earned an incentive award of up to $3.75 million.

The company posted a $1 billion operating loss last year and continues to struggle after abandoning coupons and sales discounts for boutique lines such as Joe Fresh.

J.C. Penney shares sank 44% last year and, at Tuesday's $14.55 close, are off 26% in 2013.

The company has been in a protracted legal fight with rival Macy's and its CEO Terry Lundgren over selling goods under fashion maven Martha Stewart's brand. A judge has given the chains until April 8 to settle the dispute, now in mediation.

Penney says its turnaround strategy is a multiyear process.

"The company underwent tremendous change as we began shifting our business model from a promotional department store to a specialty department store," Penney says in its proxy. "Fiscal 2012 was tougher than expected."