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In business finances Henderson cancer doctor atop list of earners for 2012 By Richard N. Velotta senior staff writer Dr. Rajesh C. Shrotriya earned millions more than Gary Loveman, Steve Wynn and Sheldon Adelson. Shrotriya was the highest paid executive in the Las Vegas Valley in 2012. He earned $25.2 million in compensation, including salary, bonus, stock awards, options and benefits, according to filings with the Securities and Exchange Commission. He made his money working at a company most locals have never heard of: Spectrum Pharmaceuticals, a Henderson drug company. But with competition from abroad and a bevy of lawsuits launched this month, Shrotriya stands to earn far less this year. The small biotechnology company acquires, develops and commercializes late-stage clinical and commercial drugs, mostly those that fight cancer. Shrotriya, 67, whom colleagues call "Dr. Raj," lives by the Microsoft mantra of not fearing failure, but failing quickly if you do. Shrotriya spent 18 years at BristolMyers Squibb. He became president of Spectrum in 2000 and CEO in 2002. He spearheaded major changes in the company's business strategy and coordinated a structural reorganization. A 2007 profile in the Orange County Register credited him with saving Spectrum because he worked without pay while the company struggled. A clinical trial had shown one of Spectrum's drugs to be ineffective, and stock plummeted from $3.64 a share to 10 cents a share. Shrotriya's ascension was announced around the same time. He was named CEO on a Friday. By Monday, he had laid off all but 10 of the company's 70 employees, according to the Register. Soon after, the company landed new financing and Shrotriya once again began receiving a paycheck. Since then, he developed partnerships with drug manufacturing companies and grew Spectrum into a company that was labeled one of the "Best Companies to Work For" in Southern California. Shrotriya is said to be quick to jettison drugs that don't show promise, as he is with employees who founder. On a wall in the Spectrum office hangs 52 framed photographs of employees who have signed pledges to pursue the company's mission. "Once a week, I look at those 52 faces," Shrotriya told the Register. "Maybe 43 are working on all eight cylinders. Nine aren't — three of them probably will be fired, three we can work on and three | 15 APRIL 2013 20130415_VI09_F.indd 9 | are getting there." Lately, Spectrum has been in the news for the wrong reasons. In March, the company projected a weak first quarter because sales of its best-selling product, the colon cancer drug Fusilev, are dropping. The Food and Drug Administration approved a ver- sion of the drug manufactured by a rival pharmaceuticals company, and a Hungarian version was approved for import. Total revenue for the company is expected to come in at between $160 million and $180 million for 2013, but analysts had expected profits of more than $290 million. Following the announcement, shares of Spectrum stock fell almost 40 percent, to their lowest price in more than a year. At least 10 law firms nationwide also announced plans for class-action lawsuits against the company. The cases will be heard in U.S. District Court in Nevada. "My City National team watches over my investments." My efforts need to stay focused on knee and shoulder surgery, and not on personal investments. With City National in charge, I know there will be money set aside for my children's education, for philanthropy and for other needs. They are my trusted financial experts. City National is The way up® for me and my business. Steven Thomas, M.D. Thomas & Bigler Knee & Shoulder Institute Hear Dr. Thomas' complete story at cnb.com/thewayup. Experience the City National Difference. SM Call (702) 425-6559 or visit cnb.com to find a Wealth Management advisor near you. City National Wealth Management Non-deposit Investment Products: Past performance is not an indication of future results. are not FDIC insured Member FDIC are not Bank guaranteed may lose value ©2013 City National Bank 9 4/11/13 3:43:27 PM