Truck manufacturer Paccar Inc.'s chief executive, Marc C. Pigott, received compensation valued at $10.5 million in 2008, according to an analysis by The Associated Press, up 27 percent from the prior year, even as the executive declined a performance-based bonus amid the current economic recession.

Bellevue, Wash.-based Paccar, which manufactures Peterbilt and Kenworth trucks, paid Pigott a $1.3 million salary and $11,500 in matching contributions to the company's 401(k) plan, it said in a proxy statement filed Friday.

However, the bulk of his compensation was $9.1 million in what Paccar estimated to be the fair value of restricted stock and stock option grants at the time they were awarded last year.

When the stock awards were granted, the company's shares were trading at about $44. Shares closed Monday at $23.79, cutting their value almost in half.

The Associated Press calculations of total pay include executives' salary, bonus, incentives, perks, above-market returns on deferred compensation and the estimated value of stock options and awards granted during the year. The calculations don't include changes in the present value of pension benefits, and they sometimes differ from the totals companies list in the summary compensation table of proxy statements filed with the Securities and Exchange Commission.

Pigott, who has been chairman and CEO since 1997, received a 3.8 percent salary increase over the prior year. The company cited his scope of responsibility, tenure and performance, as well as competitive pay practices.

The CEO declined an annual incentive payment of $1.1 million that he earned, the company said, citing "the challenging economic recession and the negative effect upon the company's employees and stockholders."

Paccar said it had targeted net profit of $1.1 billion for last year, and profit came in at $1.02 billion, "an excellent result considering the difficult recession." Sales fell 2 percent to $13.71 billion for 2008.

The company said it did not reduce or modify payments approved on the basis of achieving the calculated goal.

A service of YellowBrix, Inc.