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Million-dollar hospital executives in North Carolina

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  • An Observer special report
  • Series home page
  • Prognosis: Profits

    A five-part series examining how N.C. hospitals profit at the expense of patients.

    Sunday: Nonprofits very profitable

    Monday: Charity care lacking

    Tuesday: Suing the needy

    Wednesday: Staying strong in Raleigh

    Thursday: Policies that could help



Twenty-five N.C. nonprofit hospital executives made total compensation exceeding $1 million in 2010 or 2011. Most worked for Novant Health or Carolinas HealthCare System.

Executive raises have been generous. So have retirement packages. In 2009, Pitt County Memorial Hospital, in Greenville, N.C., reported total compensation of $8.7 million to former CEO David McRae, including a $7.7 million payout to a retirement trust.

When former Gaston Memorial CEO Wayne Shovelin retired in 2009, he received a retirement payment of $5.9 million - a combination of deferred compensation and contributions from the hospital's parent company.

Carolinas HealthCare System

Source: Carolinas HealthCare System. Compensation figures are for calendar year 2011.

Michael Tarwater
CEO, Carolinas HealthCare System

Total 2011 compensation:
$4,236,305

Percentage increase over prior year:
14.10%


Joseph Piemont
President/Chief Operating Officer,
Carolinas HealthCare System

Total 2011 compensation:
$2,536,792

Percentage increase over prior year:
19.70%


Greg Gombar
CFO, Carolinas HealthCare System

Total 2011 compensation:
$1,751,798

Percentage increase over prior year:
8.90%


Laurence Hinsdale
Executive Vice President, Carolinas HealthCare System

Total 2011 compensation:
$1,693,314

Percentage increase over prior year:
44.10%


Paul Franz
Executive Vice President, Carolinas HealthCare System

Total 2011 compensation:
$1,575,927

Percentage increase over prior year:
-1.30%


Dennis Phillips
Executive Vice President, Carolinas HealthCare System

Total 2011 compensation:
$1,351,138

Percentage increase over prior year:
12.20%


John Knox
Chief Administrative Officer, Carolinas HealthCare System

Total 2011 compensation:
$1,197,528

Percentage increase over prior year:
11.80%


Roger Ray
Chief Medical Officer, Carolinas HealthCare System

Total 2011 compensation:
$1,080,159

Percentage increase over prior year:
No data for prior year


Russ Guerin
Executive Vice President, Carolinas HealthCare System

Total 2011 compensation:
$1,060,931

Percentage increase over prior year:
3.00%


Other hospitals and systems

Source: IRS returns filed by the hospitals. The returns are for calendar and fiscal year 2010, the latest available.

Victor Dzau
CEO/President, Duke University Health System, Durham

Total 2010 compensation:
$2,229,145

Percentage increase over prior year:
1.3%


Paul Wiles
President/CEO, Novant Health, Winston-Salem
(Now retired)

Total 2010 compensation:
$2,215,773

Percentage increase over prior year:
18.2%


Carl Armato
Senior executive vice president (now CEO), Novant Health, Winston-Salem

Total 2010 compensation:
$2,133,626

Percentage increase over prior year:
10.3%


Greg Beier
President of Operations, Novant Health, Winston-Salem

Total 2010 compensation:
$2,108,839

Percentage increase over prior year:
11.4%


Wayne Shovelin
CEO, Gaston Memorial Hospital, Gastonia
(Now retired)

Total 2010 compensation:
$1,762,418

Percentage increase over prior year:
41.7%


Charles Frock
President/CEO, First Health of the Carolinas, Pinehurst

Total 2010 compensation:
$1,731,327

Percentage increase over prior year:
-0.4%


John McConnell
CEO, Wake Forest Baptist Medical Center, Winston-Salem

Total 2010 compensation:
$1,681,680

Percentage increase over prior year:
No data available


Sallye Ann Liner
Chief Clinical Officer, Novant Health, Winston-Salem

Total 2010 compensation:
$1,641,893

Percentage increase over prior year:
33.7%


Jacqueline Daniels
Chief Administrative Officer, Novant Health, Winston-Salem

Total 2010 compensation:
$1,580,012

Percentage increase over prior year:
11.7%


Stephen Wallenhaupt
Chief Medical Officer, Novant Health, Charlotte

Total 2010 compensation:
$1,577,360

Percentage increase over prior year:
20.9%


David McRae
CEO, Pitt County Memorial Hospital, Greenville
Now retired

Total 2010 compensation:
$1,534,183

Percentage increase over prior year:
NA


Fred Hargett
CEO, Novant Health, Winston-Salem

Total 2010 compensation:
$1,405,451

Percentage increase over prior year:
54.8%


Arthur Patefield
Senior VP, Novant Health, Winston-Salem

Total 2010 compensation:
$1,225,106

Percentage increase over prior year:
0.7%


Lawrence McGee
General Counsel / SEC, Novant Health, Winston-Salem

Total 2010 compensation:
$1,189,576

Percentage increase over prior year:
0.1%


Tony Johnson
Senior Vice President, Novant Health, Winston-Salem

Total 2010 compensation:
$1,105,271

Percentage increase over prior year:
69.6%


William Fulkerson
Executive vice president, Duke University Health System, Durham

Total 2010 compensation:
$1,020,658

Percentage increase over prior year:
10.1%

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