That's much less than last year, when his compensation was driven up by a generous stock award worth $5.9 million and a bonus of nearly $469,000, or 60 percent of his $787,500 salary.
In 2011, his total pay soared 76 percent, to nearly $7.2 million, even as the health care software company struggled in the wake of the $1.3 billion acquisition of hospital IT firm Eclipsys Corp. in 2010.
Mr. Tullman's compensation was harshly criticized by dissident shareholder HealthCor Management L.P., which in May filed suit to force a proxy fight over the election of new directors. HealthCor owns about 7.3 percent of Allscripts common stock.
HealthCor agreed to withdraw its suit after Allscripts nominated three new directors that the New York-based investment firm supported, Allscripts said on June 1.
In April, Allscripts fired its chairman, who led a failed coup against Mr. Tullman, and three board members also resigned. Following the upheaval, there are now five new members on the nine-member board that includes Mr. Tullman.
The new compensation plan signals a tough stance by a new board that recognizes the reality Allscripts faces: Rewarding Mr. Tullman while the company's stock has taken a beating would be irresponsible and wouldn't look good to shareholders.
“I think if anyone is under the spotlight, it is Glen Tullman,” said Charles Rhyee, a senior research analyst at New York-based Cowen Group. “I don't know if anyone needs to really point out to him that he's got to perform now.”
Mr. Tullman's 2012 salary has not yet been disclosed, but his cash bonus is tied to the approval of a cost savings plan, the company filing said.
Allscripts is showing signs of a turnaround since its stock price plummeted 34 percent in April, to $10.57 a share, following bleak first-quarter financial results. The company's stock was at $11.09 Tuesday morning, down nearly 1 percent on the day.
Total revenue climbed 3.7 percent, to $370.0 million, for the second quarter ended June 30, from $356.8 million during the same period last year. The company had $58.8 million in operating cash flow for the second quarter, a 12.4 percent increase from $52.3 million in the prior year's second quarter.
But the value of the company's new contracts for such things as software and services was down 20.8 percent, to $194 million for the three months ended June 30, from $245 million in the prior year.
The new board approved Mr. Tullman's compensation on Aug. 31.
HealthCor representatives did not return messages to comment, and an Allscripts spokeswoman declined to comment.