Carlos Ghosn feared Renault would sack him if the true scale of his Nissan salary were disclosed, according to court testimony by the whistleblower who triggered the downfall of the former automotive supremo. Hari Nada, the former head of legal affairs, appeared in public on Thursday for the first time since Mr Ghosn’s arrest in…
Tag: ceo pay
Former Kodak executives given millions in stock for options they did not own | Financial Times
Eastman Kodak handed five former executives stock worth millions of dollars this July in exchange for options they did not own, raising questions about the company’s controls just months after a proposed $765m loan from the Trump administration put it in the limelight. The company said internal “deficiencies” allowed five former officers and employees to…
Agenda – Pay and Risk Misalignment a ‘Friction Point’
Citibank’s disclosures in its proxy statements claiming compensation is tied to risk mitigation apparently weren’t enough to convince regulators that execs were addressing risk appropriately….While the financial services industry might have made strides, the compensation committee at Citigroup has work to do to become compliant with the OCC, according to the regulator. Citibank, which did…
VEA Vice Chair Nell Minow on Bonuses for Executives in Bankrupt Companies
Nell Minow, an expert in corporate governance and vice chair of ValueEdge Advisors, believes such bonuses should be tied to specific metrics, such as resolving bankruptcy issues by a particular date or taking other steps to ensure the company’s long-term viability. If restructuring efforts fail, some companies will end up having to liquidate and shut…
DynCorp Denied $6 Million CEO Payment Under Contract Cost Rules
If only shareholders had the same right to disallow excessive payments to CEOs. DynCorp International LLC failed to show entitlement to reimbursement of $6 million in severance paid to a former CEO because the payments weren’t reasonable under government contract cost rules, the Armed Services Board of Contract Appeals said in a decision released Tuesday….
Mark Carney says banks should link executive pay to Paris climate goals
Former Bank of England governor Mark Carney has said banks should link executive pay to climate risk management, as part of efforts to align the finance industry with Paris climate goals. \\…He said banks must “have some interim objectives and targets that are disclosed. Ideally a governance process that’s clear in terms of … specific…
While Millions Lost Jobs, Some Executives Made Millions in Company Stock – The New York Times
If we had a dollar for every time we pointed out that stock and option grants to CEOs and other top executives should be indexed to the peer group, then we’d probably have $60 million, too. This is not rocket science. These gains have nothing to do with the individual performance of these companies or…
Pharma Execs Boost Prices to Boost Pay
The House Oversight Committee released two major reports Wednesday that expose the internal strategies used by drug makers Celgene and Teva to repeatedly jack up the price of their blockbuster drugs revlimid and copaxone. The reports, which are the culmination of an 18-month investigation based on internal company documents, outline in vivid detail how both…
Darden Restaurants — As You Sow
At As You Sow, Roseanna Weaver points out that the Darden board found a way to give the CEO a bonus even though COVID-19 has meant decreased revenues for the restaurant businesses. The Compensation Committee “approved modifications to the performance goals for fiscal 2020 annual incentives” because of the impacts of the COVID-19 pandemic. Lowering…
Investors Want ESG Targets in CEO Pay
From Veritas The investor landscape around ESG (Environmental, Social, and Corporate Governance) metrics in executive compensation programs is quickly evolving as institutions are pressured to set stricter, and more public, policies covering this formerly niche area, rating agencies are increasingly reporting on the use of ESG executive compensation metrics, and there are a growing number…
