Couple thoughts:
- Gary, Chad and King have good advices. As I've said here before, "A lowered head gathers no lead."
- "Do what they can to keep you" doesn't necessarily mean "salary", so don't assume.
- I worked for GE for years; even within the company, the same job didn't command the same salary. I was Environmental Counsel for a division, and the same job in NBC was about 15% less salary, because it was NBC. That same job in another group was 10% more, because, well, that group was headquartered in East Cockjack, and you had to travel to every company location. So you have to not only understand what the numbers are, but WHERE and FOR WHOM.
- "Compensation" doesn't mean "salary" to companies. It does to us, because that's how we pay the bills, but not to companies. If they offer competitive benefits, long term care insurance, life insurance, 401(k) matching, etc., that all gets factored in. You, unfortunately, can't go off the amount in your check, but the amount they are coming out of pocket for you.
- It IS easier to get a bump with a job change over an annual review. The manager likely has a pool of money to distribute and so it's a zero sum game; giving you more takes from someone else, and so he's just guaranteeing that he has that conversation again with someone else.
- No offense, I'm sure you are very talented (I know you personally to be very bright and astute) and do your job well, and to be in the succession plan is a VERY big thing, don't kid yourself, but everyone thinks they are underpaid. If you go in, you should have a concrete, tangible reason, not just "I think I'm underpaid". Most salaries in companies are planned and thought out. Not to say they are never wrong, or "pay him this until he complains", but rarely if ever is it "Oh, wow, you're right! We had no idea!" So you have to give them a reason and a rationale to fight for you.
Good luck.