After posting a USD 17.4 billion profit for 2010, JPMorgan Chase & Co awarded Chief Executive Jamie Dimon restricted stock and options that could be worth USD 17 million.
The award is a large part of overall compensation for Dimon, who runs the second-largest US bank by assets. It includes a grant of about USD 12 million worth of restricted stock, plus options worth about USD 5 million based on a commonly used valuation method.
Dimon's total pay for 2010 will likely be higher than that of most of his banking peers.
The details of his stock and option awards were released in a Thursday regulatory filing with the US Securities and Exchange Commission.
Full details on his pay, including salary, any cash bonus and perks, will be released in a proxy filing later this year.
The image of bankers being awarded large pay packages after overseeing complex transactions that caused a near meltdown in the world economy became a political flashpoint during the financial crisis, and remains so even as the crisis recedes.
While some of the popular anger has died down, taxpayers have not forgotten the hundreds of billions of dollars that the US government used to prop up the financial sector.
JPMorgan has repaid the USD 25 billion of bailout funds it took from the US Treasury, and is widely considered to have weathered the crisis better than most other major US banks.
However, it still must overcome a slowdown in trading revenue, litigation tied to mortgages and foreclosure activity, and a USD 6.4 billion lawsuit over its ties to imprisoned Ponzi schemer Bernard Madoff.
Executive packages
Dimon was awarded 251,415 units of restricted stock, half of which vest on January 13, 2013 and half a year later, according to the filing.
He was also awarded 367,377 stock appreciation rights with a strike price of USD 47.73. These rights have a 10-year term and vest in five equal installments, beginning January 19, 2012.
In comparison, Goldman Sachs Group Inc chief Lloyd Blankfein was awarded USD 12.6 million of restricted stock. His salary more than tripled to USD 2 million. Morgan Stanley chief James Gorman received stock and option awards that could reach USD 7.4 million.
BlackRock Inc Chief Executive Laurence Fink got USD 13 million of restricted stock, while Bank of America Corp said Brian Moynihan was awarded restricted stock units worth up to USD 9.1 million.
Citigroup Inc Chief Executive Vikram pandit's salary will rise to USD 1.75 million from USD 1. Other elements of Pandit's compensation have not yet been disclosed.
Dimon could lose some of his award, or vesting could be delayed, if he were to be fired, hide important risks or hurt the bank's reputation, or if JPMorgan's financial performance were to suffer, the filing shows.
Shares of JPMorgan closed down 12 cents at USD 47.82 on the New York Stock Exchange on Thursday.
No comments:
Post a Comment