Oracle Corp (NASDAQ:ORCL) said its newly appointed president, Mark Hurd, will be paid an annual salary of $950,000 and the former Hewlett-Packard (NYSE:HPQ) chief will be eligible for a target bonus of $5-$10 million under its executive bonus plan for fiscal 2011.

On Monday, Oracle hired Hurd, who resigned last month from Hewlett-Packard amid a scandal, as president and named him to its board.

Hurd's offer letter states he will be granted a stock option to purchase 10 million of Oracle's common stock, the company said in a regulatory filing.

Hurd, currently a director of News Corp, will not stand for re-election, Oracle said.