JPMorgan Chase CEO Jamie Dimon got pay package valued by AP at $1.3 million in 2008

JPMorgan Chase & Co. Chairman and Chief Executive Jamie Dimon's pay package dropped sharply to $1.3 million in 2008 — even though the bank was able to maintain profitability as its peers reported staggering losses.

But like executives at most major U.S. banks, Dimon did not receive a bonus, restricted stock awards or stock appreciation awards in 2008, since the financial performance of the bank fell short of its targets.

Dimon received the same base salary — $1 million — as he did the year before, and perks valued at $348,101, which included personal use of company aircraft and cars, moving expenses, life insurance premiums and home security services.

In 2007, Dimon had received a pay package worth nearly $29 million, according to Associated Press calculations, which included a $14.5 million bonus. In early 2008, he also received stock appreciation rights or SARs valued at $19.8 million for his performance in 2007. The SARS will be exercisable no earlier than 2013 at a price of $39.83 each.

Separately, Dimon realized about $7.1 million on the vesting of stock awards in 2008.

Chief Financial Officer Michael Cavanagh received a base salary of $500,000, unchanged from the previous year, and a bonus of $2 million in 2008.

The Associated Press formula is designed to isolate the value the company's board placed on the executive's total compensation package during the last fiscal year. It includes salary, bonus, performance-related bonuses, 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 SEC, which reflect the size of the accounting charge taken for the executive's compensation in the previous fiscal year.

Compensation of financial executives has been under close scrutiny since the bailout of U.S. financial institutions began last fall. But JPMorgan has been performing relatively better than many of its peers. The New York-based bank has yet to post a quarterly loss since the financial meltdown began in 2007, when mortgage defaults began to rise. The bank reported a modest fourth-quarter profit of $702 million — thanks mostly to its purchase of Washington Mutual Inc., which boosted its consumer banking business. Also during 2008, JPMorgan acquired failed investment bank Bear Stearns Cos.

Shares of JPMorgan fell 28 percent last year, and have fallen another 14 percent so far in 2009.