Autos? Some Execs Drive a Good Deal

Car allowances are a fairly standard part of an executive benefits package, and from all those Mercedes-Benzes, Lexuses (or is it Lexi?), Infinitis and beemers that clog the freeways at rush hour, most of them are pretty decent.

But some are more decent than others.

Two of the most expensive auto deals disclosed in 1991 proxy reports of Orange County companies belonged to W. Clay Matthews, senior vice president of operations for Wahlco Environmental Systems Inc., and to August DeAngelo, retired co-founder of the Clothestime retail chain.

Matthews’ contract calls for him to receive $1,500 a month for an auto allowance. That’s $18,000 a year, enough to lease five Acura Integras or two Mercedes 500 SELs.

Of course, car allowances are supposed to cover maintenance, insurance and gas and oil, too, so Matthews probably isn’t driving around in a Rolls.

But DeAngelo might have been. His long-term consulting contract expired last year, but while it was in effect, Clothestime paid its 70-year-old co-founder a $30,000-a-year car allowance.